Ignore the following mis-information and business bashing.
squash_blsm said:
Spa consultants tell their clients (new spa owners) that they should pay no more than 35%
We NEVER recommend paying by %. Makes no sense and is hard to track.
Most consultants only work for larger operations who can afford their fees -- which means they are working for spas with employees. Given the cost of employee benefits plus the fact that most employees are paid hourly + commission, it is perfectly understandable why a spa would be crazy to pay anything approaching 35%. Ritz Spas for instance, pay $10 per hour plus 15% commission (avg. massage is $120) plus a guaranteed 15% tip.
Compensation = Rate * Volume. % is meaningless without a discussion of volume or cost of services. 35% of a Ritz Carlton experience is very different than 35% of what you get in a treatment room at a hair salon.
Also, being an IC vs. Employee will influence the rate of compensation.
squash_blsm said:
So we are seeing - in our area any way - the commission/or commision structure going down. And they have sneaky ways of doing this.
One of the most common way is to tell the therapist that they will be getting xx% commision less a product fee (this is supposed to be for supplies used, etc - but to my mind this should come out of the facility's %).
If they tell the therapist up front about it, I am not sure how this is sneaky...
Legally, if the therapist is an MT the facility has to charge a product and/or equipment fee to avoid running afoul of labor laws.
squash_blsm said:
In areas that have local schools churning out hundreds of new therapists every year you will see lower pay/wage scales
You also tend to find lower pay / wage scales in areas that lack regulation. Anyone in PA can call themselves a massage therapist. Pay in Philly is lower than in a regulated state with a comparable cost of living.
Your best bet is to figure out what you think you time, effort and training are worth - factoring in the fact the establishment is providing you with clients (the hardest thing about any service business) and whatever else they offer.
Once you figure out what you are willing to work for, find someone who will pay you that. Anything less and you will be unhappy.