Stylist pay and commission in Latvia: salary, percentage or chair rental
Short answer: this article is about Latvia. Salons there pay professionals in three ways: a fixed salary, commission on the services they perform and products they sell, or chair rental, where a self-employed professional pays the salon. The most common is a mix: base pay that covers the minimum wage plus commission. In 2026 an employee's full-time pay cannot be below 780 euros a month, and the employer pays a further 23.59% in social contributions on top of gross pay. Write the rules down so each professional can check her own figure.
This is general information, not legal or tax advice, checked on 29 October 2026. The full Latvian version with sources is here.
Pay models
| Model | How it works | What to watch |
|---|---|---|
| Fixed salary | employment contract, monthly or hourly rate | little incentive to fill the schedule |
| Commission only | a share of the professional's own sales | an employee still gets at least the minimum wage, and minimum contributions apply |
| Mixed | base pay plus commission | agree which amount the percentage is taken from |
| Chair rental | self-employed professional pays rent and collects from clients | if the salon sets prices and hours, it may be employment in substance |
There is no single market rate. Before agreeing a number, decide: commission before or after discount and VAT, different rates for services and products, who gets credit for a service versus a product sale, when commission arises (completed and paid sales only) and how refunds are handled.
Worked example
Assumptions: full-time employee, salon not VAT-registered, non-taxable minimum applied at this job, no dependants. Base pay 780 euros, 15% of 3000 euros of services and 10% of 400 euros of products.
| Item | Amount |
|---|---|
| Gross pay (780 + 450 + 40) | 1270.00 euros |
| Employee contributions 10.5% | −133.35 euros |
| Income tax 25.5% of (1270 − 133.35 − 550) | about −149.60 euros |
| Net pay | about 987 euros |
| Employer contributions 23.59% | +299.59 euros |
| Total cost to the salon | about 1570 euros |
Chair rental and the self-employed options are covered in self-employed or SIA in Latvia.
How Tervita calculates commission
In Compensation you add commission rules (services, products or everything; a percentage or a fixed amount; for everyone or one staff member) and base pay per month, week, shift or hour. Compute commissions accrues commission on completed sales in the chosen date range: percentages are taken from the line amount after discount and excluding VAT, service commission goes to the professional who performed the visit and product commission to the seller. The Payroll table adds base pay from scheduled hours or shifts to commission.
Tervita does not pay salaries, does not calculate social contributions or income tax and does not file with VID; hand the payroll figures to your accountant. Try Tervita free for 14 days.