In the salon, a large portion of revenue is paid in cash or by card at the register. Cash register management is therefore the first thing auditors look at: a certified cash register, receipts for every customer, daily closings, and a cash on hand balance that matches the cash book. We check every month during bookkeeping to ensure everything is correct, so there are no surprises later.
In addition to services, many salons sell hair care products. Purchases and sales of merchandise should be tracked separately so you can see if stocking the shelves is worth it. When it comes to gift certificates, loyalty cards, and discounts, accurate recording is key.
Tips are tax-free for employees under certain conditions, but they count as income for the owner. Your tax advisor will clarify how to handle this in your salon; we ensure that they are clearly separated in the cash register.
Some salons rent chairs to self-employed hairstylists or work with independent estheticians. This raises questions regarding bogus self-employment and VAT, which a tax advisor or attorney should evaluate. We accurately record rent and commissions in accordance with your contracts.
Gift certificates are popular in salons, especially around Christmas. They’re sold in December but often not redeemed until spring. Whether VAT is due at the time of sale depends on whether the place and tax rate of the later service are already fixed at that point; your tax advisor will assess this. We track sold and redeemed gift certificates so that the cash register stays accurate over the turn of the year and no gift certificate is counted as revenue twice.