Each store has a set payroll dollar amount that varies depending on size, traffic, and coverage. This set payroll dollar amount is called your base. Your base is your minimum amount of payroll dollars needed to efficiently staff your store – even if your store doesn’t sell one thing for the entire week! This is your bottom line, it is not your budget! Your budget is 12% of sales OR your base. If you have a really busy week then you need to staff appropriately for that and that would usually require you to go over your base amount.
A tactic we like to use is to take 12% of what your weekly GOAL is supposed to be and then plan your payroll dollars accordingly. If 12% of your goal is over your base, no big deal! If you aren’t making goal then you can always cut shifts as necessary to get your payroll dollars down. You always want to make sure your store is set up for success when it comes to making goal. You don’t want two people scheduled and the store to be swamped! If your goal for the week is high then staff your store like you will need every person on the schedule. High sales come from great staffing, energy, and merchandising – these are your keys to success! You can always cut shifts, but it’s MUCH harder to add shifts on a busy day once the schedule has been finalized!
In Dropbox you have different tools and spreadsheets designed to make you more successful as a manager. One of the most efficient tools you’ll find is the Payroll Calculator. Simply go to Dropbox, Payroll Calculator, Month, and then open your store’s spreadsheet to enter in the information.