
The short answer
Price a salon service by adding the products it uses and your running cost for every hour it takes, then dividing by what is left after the stylist's commission and your profit. Charge for hair attachments as a separate item, and give each length its own service so the time and the price both change.
Key takeaways
- Time is your main cost: work out what one booked chair-hour costs you.
- Price = (products + hours x hourly cost) / (1 - commission - profit).
- Sell braiding hair as its own item on the bill, so the price is clear and stock stays right.
- Make each length a separate service with its own time and price.
- Check your prices every few months, when rent, light or product costs move.
On this page9 sections
- 01What goes into the price of a salon service?
- 02How do you work out what one hour costs you?
- 03How do you turn costs into a price?
- 04How should braids be priced by length?
- 05Should the hair be in the price?
- 06Pricing nails, barbering and short services
- 07What about VAT on services?
- 08Check your prices against real sales
- 09How MPOS helps
Many salons set prices by looking at the salon down the road. That is a start, but it does not tell you whether you make money on a six-hour set of knotless braids. A long service ties up a chair and a stylist for most of the day. If the price only covers the hair and a little extra, the busiest stylist can be the one losing you money.
This guide shows a simple way to price any service from your own costs. Every number below is an example. Put in your own rent, bills, product costs and commission rates.
What goes into the price of a salon service?
Four things go into every service price: the products used, the time it takes, the stylist's share, and your profit. Hair attachments are a fifth cost for braids and weaves, and they are easiest to handle as a separate item on the bill.
| Part of the price | What it covers | How to work it out |
|---|---|---|
| Products | Gel, mousse, relaxer, polish, wax, foil | Cost of the tub or bottle divided by the services it does |
| Time | Rent, light, water, data, cleaning, your own costs | Monthly running costs divided by booked chair-hours |
| Stylist's share | Commission, or the part of a salary the service must pay | A percentage of the price |
| Profit | What the business keeps to grow, repair and save | A percentage you choose |
| Hair attachments | Packs of braiding hair, bundles, wigs | Sold as products, at their own price |
How do you work out what one hour costs you?
Add up everything the salon pays each month that does not change with the number of clients, then divide by the hours your chairs are actually booked. That gives you a cost per booked hour, which every service must cover.
Here is an example for a three-chair salon in Madina.
- Rent: GH₵2,000 a month
- Electricity and water: GH₵900
- Data, cleaning, small repairs and money set aside for your software renewal: GH₵500
- Total running costs: GH₵3,400 a month
The salon opens 26 days a month for 9 hours, with 3 chairs. That is 702 chair-hours. Chairs are never full all day, so use the share of hours you really sell. If your diary shows chairs booked about 60% of the time, that is about 421 booked hours.
GH₵3,400 divided by 421 hours is about GH₵8 per booked hour. Use the real figure from your own diary: a salon with quiet weekdays will have a higher cost per booked hour than one that is full every day.
How do you turn costs into a price?
Add the product cost and the time cost, then divide by what is left after commission and profit. If the stylist earns 35% commission and you want 20% profit, 45% of the price is left for costs, so you divide your costs by 0.45.
Worked example: knotless braids to the middle of the back, client's hair sold separately.
- Products (gel, mousse, edge control, rubber bands): GH₵15
- Time: 6 hours x GH₵8 = GH₵48
- Costs to cover: GH₵63
- Price: GH₵63 / 0.45 = GH₵140
GH₵140
- ProductsGH₵15.00 (10.7%)
- Chair time, 6 hoursGH₵48.00 (34.3%)
- Stylist commission 35%GH₵49.00 (35%)
- Profit 20%GH₵28.00 (20%)
Source: Example figures
The stylist earns GH₵49, the costs are covered and the business keeps GH₵28. If you priced the same braids at GH₵100 to match a competitor, commission would be GH₵35, costs still GH₵63, and the salon would keep GH₵2 for six hours of a chair.
How should braids be priced by length?
Make each length its own service, with its own time and price. Longer braids take more hours and more product, so the price should rise with the time, not by a guess.
Using the same example costs (GH₵8 an hour, 35% commission, 20% profit):
| Service (example) | Time | Products | Costs | Price |
|---|---|---|---|---|
| Knotless, shoulder length | 4 hours | GH₵12 | GH₵44 | GH₵100 |
| Knotless, mid-back | 6 hours | GH₵15 | GH₵63 | GH₵140 |
| Knotless, waist length | 8 hours | GH₵18 | GH₵82 | GH₵185 |
| Cornrows, straight back | 1.5 hours | GH₵6 | GH₵18 | GH₵40 |
Prices are rounded to an easy figure. Size matters too: small knotless take longer than medium, so give "small" and "medium" their own services if the time is very different.
Source: Example figures
Should the hair be in the price?
It is clearer to sell braiding hair as a separate item on the same bill. The client sees what the service costs and what the hair costs, a client who brings her own hair pays only for the service, and every pack sold comes off your stock.
If you prefer one all-in price, add the hair cost to the costs before you divide. Three packs at an example GH₵25 each add GH₵75 of cost, which changes the mid-back price a lot. Whichever way you choose, write it on your price list so nobody argues at the till.
Pricing nails, barbering and short services
The same method works for short services, but product cost matters more and time matters less. A gel manicure might use GH₵10 of product and an hour of time, so costs are GH₵18 and the example price is GH₵40. A haircut uses very little product, so the price is mostly time and the barber's share.
For services under an hour, round the time up to the slot you book. If a line-up takes 15 minutes but blocks a 30-minute slot in a busy diary, price the 30 minutes.
What about VAT on services?
If your salon is registered for VAT, decide whether your prices include tax. Many salons prefer prices that include tax, so the client pays the number on the board. Then the price above is before tax, and you add 20% (VAT 15%, NHIL 2.5% and GETFund 2.5%, all on the same price). In the example, a GH₵140 service becomes GH₵168 on the board.
GRA said in January 2026 that the GH₵750,000 registration threshold applies to goods only, not services. Our guide to VAT for salons and barbershops explains what that means, and you should confirm your own position with GRA.
Check your prices against real sales
A price list is a guess until you check it against what really happens. Every few months, look at three things: how long each service really took, what each stylist sold, and what the salon kept after commission and costs.
- Total last month's running costs
- Count the hours your chairs were booked
- Work out your cost per booked hour
- Recost your five most popular services
- Change the prices that no longer cover costs
How MPOS helps
In MPOS each service has its own duration and price, so the diary blocks the right time for a six-hour booking and the till charges the right amount. Braiding hair, wigs and products sit on the same till with stock levels, so they go on the same bill as the service. Commission is worked out per stylist from real sales, and the sales and staff reports for any period show what each service brought in.
When you know your prices, the next questions are how to pay your stylists and how to keep hair and product stock right. For the whole picture, read the complete guide to running a salon or barbershop. If you want to set your services up properly, you can start a free trial.
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Sources
FAQ
Frequently asked questions
Quick answers to what business owners ask us about this.
How do I price knotless braids?
Add the products used and the hours it takes multiplied by your cost per booked hour, then divide by what is left after commission and profit. Give each length and size its own service, because the time changes.
Should braiding hair be included in the price?
It is clearer to sell the hair as a separate item on the same bill. Clients who bring their own hair then pay only for the service, and your hair stock stays right.
How do I work out my cost per hour?
Add your monthly running costs, such as rent, light, water and data, and divide by the hours your chairs were actually booked that month.
Should I copy the prices of the salon next door?
Check them, but price from your own costs. A price that matches a competitor can still lose money on a long service if your rent or commission is higher.
How often should I change my prices?
Review them every few months, and whenever rent, electricity or product costs change.
Still have a question?
Talk to the team on WhatsApp: real people in Ghana who know your kind of business.
About the author
Emmanuel Akyeam is the founder of Manuel Technologies in Ghana, which builds MPOS: the till, bookings and stock system for restaurants, salons, barbershops and shops. He works directly with business owners to set up their systems.
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