What to Include in Your Monthly Salon Budget
- Kimberly Sulatycky
- Oct 13
- 3 min read
Running a successful salon isn’t just about delivering amazing services—it’s also about making sure your money works for you. A clear, realistic monthly budget ensures you’re covering all expenses, planning for growth, and setting aside profits. Think of your budget as the financial roadmap that helps you avoid surprises and stay in control of your business.
Below, we’ll break down the main categories every salon budget should include, along with reflective questions you can answer to start creating your own plan.
1. Fixed Expenses
These are predictable, recurring costs you must pay every month, regardless of how busy (or slow) you are.
Examples include:
Rent or lease payments
Utilities (electricity, water, internet, phone)
Insurance (business liability, property, or personal coverage)
Software subscriptions (booking system, payroll, accounting)
Reflective Questions:
What are my non-negotiable fixed costs each month?
Are there any subscriptions or services I’m paying for that I no longer use?
2. Payroll & Staffing Costs
Your team is your biggest asset—and your biggest expense. Payroll includes wages, salaries, commissions, vacation pay, and employer contributions (CPP, EI, etc.).
Reflective Questions:
What percentage of my monthly revenue is going toward payroll?
Do my staff’s hours and wages align with my current business flow?
Should I consider adjusting commission structures or incentives to match performance?
3. Supplies & Inventory
This includes all consumables you need to operate and deliver services.
Retail products
Backbar products (shampoo, masks, wax, nail polish, etc.)
Towels, gloves, sanitation products
Reflective Questions:
Am I tracking product usage to avoid waste?
Do I know my cost per service (i.e., how much each appointment costs me in products)?
4. Marketing & Client Retention
Marketing is an investment, not just an expense. It ensures a steady flow of new and returning clients.
Social media ads
Website hosting or maintenance
Email marketing tools
Loyalty programs or referral rewards
Reflective Questions:
Am I spending enough to attract new clients while retaining current ones?
Which marketing channels give me the best return on investment (ROI)?
5. Education & Training
Slow months are a great time to upskill yourself or your staff. Budget for:
Online courses
Beauty trade shows and events
Team training or certifications
Reflective Questions:
How much can I realistically set aside each month for education?
Which training will have the biggest impact on client satisfaction and revenue growth?
6. Emergency & Seasonal Planning
Every salon experiences busy and slow seasons. Setting aside money for slower months helps you stay afloat.
Reflective Questions:
Am I consistently saving a percentage of profits for seasonal dips?
Do I have a cash flow plan for October, November, or April (common slow months in salons)?
7. Profit & Owner’s Draw
At the end of the day, your salon isn’t just a job—it’s your business. Ensure you’re paying yourself fairly while reinvesting in growth.
Reflective Questions:
Am I setting aside a clear percentage of revenue as profit?
How much do I want to take home monthly without hurting reinvestment?
Final Thought: Create Your Own Budget
Your monthly budget should be a living document—review it, adjust it, and track your actual numbers against it. When you budget consistently, you’ll feel more confident, prepared, and in control of your business.
Action Step: Open up a spreadsheet or budgeting app today and start plugging in your expenses under the categories above. Even a rough budget will give you more clarity than no budget at all.
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