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Compensation Levers that build your HR Brand

Updated: Mar 22, 2019

There are 4 basic kinds of compensations in your Aesthetics business.








1. Base (hourly or annual) salary

2. Short Term Incentive (STI) – commissions on sales monthly

3. Long Term Incentive (LTI) – annual bonuses / profit share / Equity

4. Benefits


Understanding how to use these compensation levers to build the culture of your business is a critical step that many of our clients struggle with as they develop their compensation model resulting in high staff turnover. Its not uncommon that we see business owners struggle with one or more of the key components of overall compensation that provide balance and build sustainable and strong corporate culture.

How the 4 levers of compensation work for (or against) you.


1. Base Compensation – This is the easiest of the 4 to figure out. Go to Glassdoor or any other HR site and find out the range of salaries in your market for the position you need to fill. Generally, a qualified new hire should come in at the midpoint of the range leaving room for annual increases while staying within range. If you are working through developing your compensation model when you already have current staff on board you may find yourself in a situation where some of your employees are overpaid and other are underpaid. If that is the case, you need to classify your employees to establish a base line before moving forward.


Start by marking those staff members who are underpaid (below the average) by market standards with a “green flag”, those at the midpoint you can leave with no flag and those at the high end or above the range mark with a “Red Flag”.