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Configure Percentage-Based Payroll Tiers for Instructors

Overview

In Hapana Core, businesses can calculate instructor payroll based on a percentage of revenue collected from client sessions. This setup offers flexible compensation based on how clients pay—whether with session credits, drop-ins, or unlimited memberships.

Additionally, fixed rates can be set for sessions paid with unlimited credits or via platforms like ClassPass, ensuring instructors are still compensated when per-credit values cannot be determined.


Prerequisites

  • Admin access to Edit Profile
  • Session types already created in Core (e.g., Group Classes, One-on-One)
  • Payroll report access via Reports > Staff > Payroll

Tip: Plan your credit pricing structure ahead of time for better accuracy when assigning percent-based payouts.


Step-by-Step Instructions

Step 1: Open Payroll Settings

  • Log into Core.
  • Click your profile initials in the upper-right corner.
  • Select Edit Profile.
  • In the left sidebar, click Payroll.

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Step 2: Create a New Payroll Tier

  • Click the plus icon (+) to add a Payroll Tier.

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  • Name the tier (e.g., “30% Class Earnings”).

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  • Save and select the new tier from the dropdown.

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Step 3: Add Tier Configuration

  • Click the plus icon (+) next to Tier Configuration.

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  • Choose the Session Type this tier applies to (e.g., Group Classes).

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Step 4: Select a Percent-Based Payroll Type

Choose one of the two options:

  • Percent per Credit / Amount Paid
  • Percent per Credit / Package Rate

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Step 5: Enter the Percentage Value

  • For example, enter 50 to calculate 50% of the session’s revenue for payroll.
  • Click Save.

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Tip: You can assign different percentages for different session types or instructors.


Example Calculation: Known Credit Values

Let’s say 10 clients attend a Group Class, paying as follows:

  • 4 clients used $10 credits → $40
  • 4 clients used $9 credits → $36
  • 2 clients paid $15 drop-in → $30

Total Session Value = $106

Instructor Earnings @ 50% = $53


Handling Unlimited Credits

For unlimited memberships or ClassPass where credit values can’t be calculated:

  • Scroll down in the tier configuration.
  • Toggle ON “Use Base Rate for Unlimited Packages”.
  • Enter a flat value (e.g., $7) to apply per client using unlimited credits.

Example Calculation: With Unlimited Credits

Let’s say 15 clients attend a session:

  • 4 clients used $10 credits → $40
  • 4 clients used $9 credits → $36
  • 2 clients paid $15 drop-in → $30
  • 3 clients on unlimited memberships → $7 x 3 = $21

Total Session Value = $127

Instructor Earnings = (40 + 36 + 30) × 50% + 21 = $74


Expected Outcome

Once configured, your instructors will automatically be paid based on:

  • The real value of credits or drop-ins used by clients
  • A fixed rate for sessions paid via unlimited memberships
  • The defined percentage in their assigned Payroll Tier

This improves accuracy, saves admin time, and ensures fair compensation based on actual session value.


FAQs

Q: Can I assign a flat rate for all sessions instead of using percentages?

Yes. You can create separate payroll tiers using fixed rates for specific session types.

Q: What if I don’t assign a value for unlimited credits?

The system won’t be able to calculate a per-credit value, and instructor earnings will not reflect those clients. Always assign a base rate if you use unlimited packages.

Q: Can I use this for 1:1 and workshop sessions too?

Yes. Percent per Credit tiers can be assigned to any session type you configure.


Need help?

Reach out to our support team via support@hapana.com