How to price your barber services for profit

Pricing is one of the most important decisions you'll make. Price too low and you're working hard for little reward. Price too high and chairs stay empty. Here's how to find the sweet spot.

Know your costs

Before setting prices, understand what it actually costs to deliver a service:

Fixed costs (monthly):

• Rent

• Insurance

• Software subscriptions

• Loan payments

Variable costs (per service):

• Products used (pomade, aftershave, etc.)

• Towels and cleaning supplies

• Credit card processing fees

Your time:

• How much do you want to earn per hour?

• Include time between clients for cleanup

The pricing formula

Here's a simple formula:

Service Price = (Labor Cost + Product Cost + Overhead) × Profit Margin

For example:

• Your target hourly rate: $50/hour

• Service takes 30 minutes: $25 labor

• Products used: $2

• Overhead per service: $5

• Base cost: $32

• With 30% profit margin: $32 × 1.3 = $41.60

Round to $40 or $45 for simplicity.

Research your market

Check what other barbers in your area charge. You don't need to be the cheapest, but you need to be competitive. Consider:

• Your experience level

• Your location (downtown vs suburbs)

• Your shop's atmosphere and amenities

• Your specialties

Tiered pricing strategies

Consider different price points:

• Standard cut: Your bread and butter

• Premium cut: Extra time, hot towel, styling products

• Specialty services: Designs, colors, treatments

This lets clients choose their experience level.

When to raise prices

Raise prices when:

• You're fully booked consistently (demand exceeds supply)

• Your costs increase significantly

• You add new skills or services

• Annually (even small increases add up)

Communicate increases clearly and give existing clients notice.

The confidence factor

Many barbers underprice because they lack confidence. Remember: you've invested in your skills. Clients pay for expertise, not just a haircut. Price accordingly.