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Bookkeeping Business Forms

There is only one bookkeeping business form in the entire pet grooming industry that collects all the bookkeeping information, along with an easy way to collect that information by types of pets, services and retail sales breakdown. It's called the Manager's Daily Summary Report of Sales and Services, and yes we have to fall back again and give credit to its source, that venerable business manual, From Problems to Profits. It has been in use over 40 years. It's that perfect. They can even be purchased online at MyGroomingBusiness.com or call 800-556-5131 in the U.S., or 360-446-5348.

It only costs about 59 cents a day to use this marvelous form. Your bookkeeper will love it too! It only takes a few minutes a day to fill out the report. When you are done, attach any receipts for expenses paid by cash and a cash register tape if applicable, and that's it. Your few minutes of work filling out this form will save your bookkeeper a substantial amount of time, and it should reduce your bookkeeper's bill had you not filled out the form.

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Sources for pet grooming business forms are very limited, but what is available is very good. First you find quick information at Madson Business Forms and you can also call Barkleigh Productions. You can find their telephone number in PetGroomer.com Buyer's Guide in the Publishers Category.

Keep in mind that most software eliminates or reduces the need for bookkeeping-oriented software. However, no pet grooming software we have reviewed to date gives you the benefit of the Madson's Manager's Daily Summary Report of Sales and Services bookkeeping business mentioned above.

Professional Assistance

A good, cost-effective strategy is to have both a bookkeeper and Certified Public Accountant (CPA). The bookkeeper completes your monthly "books," including financial statements and support documents. Then, deliver the materials prepared by your bookkeeper to your CPA on at least a quarterly basis. The CPA can help you to determine if you need to make estimated tax payments to various tax authorities, and provide additional commentary on your success to reach your financial objectives. Further, the CPA will also use the bookkeeper's materials to prepare formal tax statements, for both you and the business. As you prosper, your CPA is a vital contact. By maintaining your financial records as prepared by your professionals, you will be better ready to acquire loans and make important purchases of property and to make wiser investments.

Projecting Pet Groomer Wages

One of the most popular questions asked by new career seekers considering the pet grooming industry is how to project what their wages will be as a pet grooming employee. Of course, the self-employed pet groomer tallies their income from providing grooming services and then deducts their costs of operating their business, and what is left over is potential income from self-employment. Pet groomer employees look to their employer instead for a compensation arrangement.

Pet grooming business owners, as well as veterinarians, kennels, and retail stores with grooming, most often look to "commission based" wages for their pet groomer employees. Indeed, pet groomers working for any of these businesses are legally employees and not "independent contractors." There is a common misconception that if you are paid by commission, you are automatically an "independent contractor." Not true.

If the business owner asks you to work on-site and you cannot take the work home with you, and you work hours the owner prescribes grooming the business' client-pets, that alone is enough to make you an employee and not an independent contractor, even if you supply your own tools. If you do not believe this fact, ask the IRS for form SS#8. Answer its questions about your working relationship with the owner, and the IRS will advice you whether you are an employee or independent contractor. We've done several, and every determination was "employee." If you were to lease or rent space to operate a pet grooming department within a veterinarian clinic, store or kennel, you may get an independent contractor determination.

Commissions are the norm, however, efficiency experts within the industry have proven that it is not the most profitable method for calculating wages. We suggest you read Has the Time Come to Eliminate Commission Based Wages? in this site's Articles section. Regardless, you need to understand what it means to be paid by commission.

Today, most pet groomers being paid by commission receive in wages 50% to 60% of the total service for each pet they groom. For example, if a Miniature Poodle service fee is $30.00, the pet groomer paid a 50% commission would receive $15.00 in wages for grooming the pet. The big question here is "Who does the pre-bath brush and comb, bath and fluff-drying? The groomer? Or does the owner "provide" a bather? It makes a major difference since you must allow for an average of 30 minutes for the bathing portion of the overall grooming. Most of the time, a groomer paid a 50% to 60% commission does the pet from start to finish, everything. However, some pet grooming business owners do provide a bather, typically as a "perk." Yet again, there are some owners that pay 50% to 60% and offer to have a bather employee do your bathing duties as an option for a fee, averaging around $3.00 to $4.00 per bath. The point is all owners paying by commission pay full-charge pet groomers 50% to 60% of the total service fee for each pet they groom, but bathing arrangements vary greatly.

In projecting your wages, you need to know how many days-a-week you will be employed, what the average service fee is and how many pets are you are capable of full-charge grooming. Often pet groomers just out of school can only do 4 pets from start to finish in an 8 hour work day where the pets require pre-bathing work, bathing and drying, pre-clipping and finish trimming. Ideally, graduates will improve their productivity to an average of 7 pets per workday.

Example. Average service fee: $30. Groomer capable of grooming 6 pets start-to-finish in 8 hours. Groomer works 5 days-a-week. Commission is 50% of total service fee.

The groomer generates gross income for the business of 6 pets per day at an average service fee of $30, or $180 a day. The groomer does this 5 days a week for a total of $900 in gross income. The owner paying 50% commission would then allocated $450 as the groomer's wages for the 5 days. From this amount the owner must withhold payroll taxes as with any other paycheck.

What is important for career seekers to consider is WHO they are working for? Is the business large enough with a stable clientele to consistently provide you with your quota throughout the year? This level of stability is often in question, especially in areas where winters are harsh and pet owners may visit their groomers less often. For this reason we have always found that career seekers come around to appreciate good steady salaries instead, where they are capable of maintain a regular household budget. Since commissions are the norm though, you must find a job in a busy and growing business if you desire maximum and stable income.

If you are an owner with an interest in hourly and salary wages instead of paying by commission, we suggest a consultation with our consultants. We have helped hundreds make the switch from commissions to salaries, dramatically increasing their net income, and without lowering groomer pay rates, quality or humane pet care. We've never paid commissions in 40 years, and senior groomers stay with us as long as 10 years.

    


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