Salon Employee Handbook Template

8 min read

Running a salon or spa means balancing client service excellence with strict sanitation requirements and complex compensation structures. A salon employee handbook helps you document licensing requirements, sanitation protocols, and the policies that protect your clients, staff, and business reputation.

This guide covers everything you need to include in a salon-specific handbook, plus a free template to get you started.

Why salons need a specialized handbook

Generic employee handbooks don't address the unique requirements of beauty businesses. Salons and spas have specific needs that standard templates miss:

  • State board compliance — Licensing, sanitation inspections, continuing education
  • Sanitation protocols — Tool disinfection, bloodborne pathogen exposure, single-use items
  • Complex compensation — Tips, commissions, booth rental, product sales
  • Client relationships — Confidentiality, social media consent, rebooking
  • Appearance standards — Staff represent the brand through their own appearance
  • Classification issues — Employee vs. independent contractor distinctions

A salon-specific handbook addresses all of these while helping you avoid state board violations, wage disputes, and client complaints.

Download the template

Get started with our free employee handbook template. It includes all the standard sections, which you can customize with salon-specific policies.

This is our general template. Add the salon-specific sections outlined below to make it complete for your business. Need help? See our step-by-step handbook guide. Also check out our retail handbook template for additional customer service policies.

Key sections for salon handbooks

Beyond standard handbook content, salons need these specialized sections:

1

Licensing & Certification

State board requirements, license display, continuing education, scope of practice

2

Sanitation & Disinfection

Tool sterilization, workstation cleaning, single-use items, blood exposure protocols

3

Client Service Standards

Consultation process, service delivery, client complaints, rebooking procedures

4

Appointment & Scheduling

Booking policies, no-show handling, cancellation fees, walk-in procedures

5

Tip & Commission Policies

Tip distribution, commission structures, product sales incentives, pay schedules

6

Dress Code & Appearance

Professional attire, hair and makeup standards, tattoo and piercing policies

7

Product & Inventory

Retail sales procedures, backbar usage, product knowledge, inventory controls

8

Client Confidentiality

Privacy expectations, social media policies, before/after photo consent

9

Booth Rental vs. Employee

Classification differences, independent contractor requirements, tax responsibilities

10

Health & Safety

Chemical safety, ventilation, ergonomics, allergy and sensitivity protocols

Sanitation and disinfection standards

State boards of cosmetology conduct surprise inspections. Your handbook must document proper sanitation procedures:

Tool disinfection

  • Clean all tools to remove debris before disinfection
  • Use EPA-registered hospital-grade disinfectant
  • Follow manufacturer's required contact time (typically 10 minutes)
  • Store disinfected tools in clean, covered container
  • Label containers "clean" and "used" clearly
  • Never use disinfected tools on multiple clients without re-disinfecting

Workstation requirements

  • Clean and disinfect chair, counter, and mirrors between clients
  • Fresh cape or drape for each client
  • Dispose of single-use items immediately (neck strips, applicators, gloves)
  • Keep personal items separate from work area
  • No eating or drinking at workstation

Blood exposure protocol

  • Stop service immediately if skin is broken
  • Put on gloves before touching the wound
  • Clean wound and apply antiseptic and bandage
  • Dispose of contaminated items in sealed bag
  • Disinfect any tools that contacted blood
  • Document the incident

State board requirement

Sanitation violations can result in fines, license suspension, or salon closure. Your state board sets specific requirements — check your state's cosmetology regulations and update your handbook accordingly. Most states require licenses to be displayed at each workstation.

Tips and commission policies

Salon compensation is complex. Clear policies prevent disputes and ensure legal compliance:

Tip policies

  • Cash tips belong to the individual stylist (unless tip pooling in place)
  • Credit card tips paid out [weekly/bi-weekly] with regular wages
  • No credit card processing fees deducted from tips
  • Tip-out to assistants/shampoo techs: [specify percentage or amount]
  • Employees responsible for reporting tip income for taxes

Commission structures

  • Service commission: [X%] based on [specify — before or after discounts]
  • Product sales commission: [X%] of retail sales
  • Commission paid on [collected revenue vs. booked services]
  • Chargebacks for services refunded or disputed
  • Commission rate increases based on [tenure/performance metrics]

Wage compliance

  • Commission + tips must equal at least minimum wage
  • If not, employer makes up the difference
  • Overtime calculated on total compensation, not base rate alone
  • Deductions for product usage cannot reduce pay below minimum wage

Wage law warning

Many salons have faced lawsuits for improper tip handling, illegal deductions, or misclassifying employees as independent contractors. Document your compensation structure clearly and consult with an employment attorney to ensure compliance with your state's wage laws.

Booth rental vs. employee classification

Many salons use a mix of employees and booth renters. Understanding the difference is critical for legal compliance:

Employee characteristics

  • You set their schedule and hours
  • You provide tools, products, and supplies
  • You control how services are performed
  • You set service prices
  • You withhold taxes and provide benefits

Booth renter (independent contractor) characteristics

  • They set their own schedule
  • They bring their own tools and products
  • They control their service methods
  • They set their own prices
  • They pay rent for the space
  • They handle their own taxes (1099)

Classification matters

Misclassifying employees as independent contractors can result in back taxes, penalties, and lawsuits. If you control how work is performed, the person is likely an employee — regardless of what you call them. The IRS and state agencies audit salons frequently for this issue.

Template vs. digital handbook

Salon staff are often on their feet all day serving clients. They need quick access to policies without digging through a binder:

Paper/PDF Handbook

  • Free to create
  • Can keep copy at front desk
  • Gets lost or damaged
  • Hard to update when rates change
  • No proof new hires read it

HandbookHub

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  • Access on phone between clients
  • Update commission rates instantly
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Frequently asked questions

What should be in a salon employee handbook?

A salon handbook should include licensing requirements, sanitation and disinfection protocols, client confidentiality policies, dress code and appearance standards, tip and commission policies, appointment and scheduling procedures, product usage guidelines, and professional conduct expectations.

What sanitation requirements do salons need to follow?

Salons must follow state board of cosmetology sanitation rules including proper disinfection of tools between clients, use of EPA-registered disinfectants, single-use item protocols, hand hygiene, workstation cleaning, and proper storage of clean vs. used implements. Blood exposure protocols are also required.

How should salon tip policies be documented?

Tip policies should clearly state whether tips are pooled or individual, how credit card tips are processed, any tip-out requirements for support staff, timing of tip payouts, and tax reporting responsibilities. Document these in writing to avoid disputes and ensure wage law compliance.

What's the difference between a salon employee and booth renter?

Employees have their schedules, methods, and pricing controlled by the salon owner, while booth renters (independent contractors) set their own schedules, bring their own tools, and set their own prices. Misclassification can result in significant tax penalties and lawsuits.

How do I get stylists to acknowledge the handbook?

Have each employee sign an acknowledgement form confirming they've received and read the handbook. Keep these on file — they're important if you ever need to enforce policies or address performance issues.