Hi all! Quick question—I’m a commission-based W-2 employee at a salon, and it’s my first year in the business. I know I can write off things like foils and combs, but what about manicures? My nails are a big part of my job since I use them every day when washing clients’ hair, and my clients love how they feel on their scalp. Manicures are expensive, but I feel like they’re necessary for my work. Can I claim this as an expense?
Unfortunately, manicures and nails are not deductible. Are all your earnings W-2 income? It’s surprising your employer doesn’t cover materials like foils. What state are you in?
Zorion said:
Unfortunately, manicures and nails are not deductible. Are all your earnings W-2 income? It’s surprising your employer doesn’t cover materials like foils. What state are you in?
I’m in South Carolina! In the commission W-2 setup, it’s normal for stylists to provide their own clips, combs, and styling tools. My boss does supply foils, but I prefer the thicker, patterned ones to avoid slipping, so I buy those myself. Thankfully, I don’t need to stock things like color, back-bar products, or towels.
@Emerson
I hate to break it to you, but under current tax laws, none of those expenses are deductible for W-2 employees, whether it’s tools or personal items. There’s no federal or South Carolina deduction for this.
You can’t deduct anything as a W-2 employee, not even your work supplies. Your employer should be covering those, but even if you could deduct business expenses, personal grooming like nails wouldn’t qualify.
W-2 employees can’t claim deductions for work expenses on federal taxes. Check your state’s rules, though.
Are you classified as a statutory employee? Some hairdressers qualify, depending on how the salon operates. Statutory employees file a Schedule C and can claim business expenses, but they also pay self-employment taxes. If you’re not sure, ask your employer. Either way, you still can’t write off manicures.
@Tatum
It doesn’t sound like this setup qualifies as a statutory employee situation. Commission pay alone doesn’t meet the requirements.
Vega said:
@Tatum
It doesn’t sound like this setup qualifies as a statutory employee situation. Commission pay alone doesn’t meet the requirements.
True, but some hairdressers have been classified that way. It’s worth asking the employer just to be sure.
Check your pay stubs to see if Social Security and Medicare are being taken out. If they are, you’re a W-2 employee and can’t deduct expenses. If not, you might be considered self-employed, which changes things.