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Pay structure

Is commission or hourly cheaper for this chair?

Put one stylist's numbers in and see what they'd cost you on commission versus an hourly wage — including the Award top-up you're legally on the hook for. No spin, just the two figures side by side.

$
What this one chair bills in a week, before GST.
%
Their cut of service revenue.
$
What you'd pay per hour on a wage instead.
38 is full-time ordinary hours.
$
Hair & Beauty Award L1 adult ballpark — verify at fairwork.gov.au.
%
Super Guarantee is 12% from 1 Jul 2025.
Cheaper model this week
$147
At this revenue, commission costs you $147 less a week — about $7,635 a year.
Commission cost (incl. top-up)
$1,130
What the commission deal really costs you.
Hourly cost
$1,277
What the wage really costs you.
Award top-up needed
$9
You must lift commission to the Award floor — this is the gap.
Labour as % of revenue
45.2%
Wage cost against what the chair bills.
Crossover revenue
$2,850
Above this weekly billing, hourly wins; below it, commission wins.
Where it goes
Commission cost$1,130
Hourly cost$1,277
Heads up — check this scenario carefully.

Commission cost = (revenue × commission rate), topped up to the Award floor (award rate × hours) if it falls short, then × super if included. Hourly cost = rate × hours × super. Crossover revenue is where the two break even (super cancels out): hours × hourly rate ÷ commission rate. Labour ratio = commission cost ÷ revenue. Super 12% (from 1 Jul 2025). Commission earners must still be paid at least the Award/NES minimum — top up if below. Award rate is a ballpark for Hair & Beauty Award MA000005 L1 adult; verify your stylist's classification and penalties at fairwork.gov.au. This is a planning estimate, not payroll, tax or legal advice.

A working tool, not financial advice. It uses the figures and assumptions you enter — check them against your own numbers and your accountant before any pricing, wage or financial decision. Award and tax figures change (often each 1 July); verify current rates at fairwork.gov.au and ato.gov.au. Shear Profit gives no tax or financial advice.

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