Seven Money Mistakes Creatives Make: An Interview with Christine Luken
Seven Money Mistakes Creatives Make: An Interview with Christine Luken
By Carol Phillips, BeauteeSmarts Global
Part of BeauteeSmarts’ Financial Wellness Series
As beauty professionals and creatives, you pour your heart into your craft—whether it’s styling, artistry, or building your brand. But managing money? That can feel like a whole different challenge. In our Financial Wellness Series, I’m thrilled to sit down with Christine Luken, the Financial Dignity Coach, to explore the financial challenges creatives face and how to overcome them. Christine shared her top seven money mistakes creatives make, along with practical fixes to help you thrive. Join us for her Financial Wellness Webinar Series to dive deeper, and read on for her expert advice.
1. Waiting Until You Have More Money to Manage It
Carol: Christine, I hear from so many beauty pros who say they’ll focus on finances once they’re earning more. Why is this a problem?
Christine: It’s one of the biggest money mistakes creatives make, Carol, is waiting for a bigger paycheck, which only amplifies the chaos when more money arrives. Managing what you have now builds the habits to grow your wealth. Learn where you are right now – learn to manage the Franklins now, and it helps prevent errors with thousands.
How to Fix It: Start today, no matter your income. Create a simple spending plan to track revenue and expenses. Open separate accounts for your business or projects, and review them weekly to ensure clarity.
Financial Wellness Tip: Join Christine in our Financial Wellness Webinar to learn budgeting basics tailored for creatives.
Pro Tip: Christine recommends tools like Monarch Money to simplify tracking. Follow the link for a 50% off private discount from Christine.
2. Not Having a System to Track Your Money
Carol: What’s another common financial stumble for creatives?
Christine: Flying blind—no budget, no tracking, no idea where money goes—is a recipe for stress. The “hope and vibe” approach isn’t a strategy. It’s a classic money mistake creatives make.
How to Fix It: Download your last three bank statements. Print them out so you can see where your money is going. It’s easier to see it on a letterhead-sized piece of paper than scrolling on your phone. Choose a tracking tool that suits your style, such as YNAB, EveryDollar, or a spreadsheet. Track income, expenses, and savings goals to align spending with your values.
Financial Wellness Tip: Discover Christine’s favorite budgeting tools in our Financial Wellness Webinar.
Quick Start: Christine suggests spending 10 minutes weekly reviewing transactions.
3. Undervaluing Your Skills and Art
Carol: I know many beauty pros struggle to charge what they’re worth. Why does this happen, and how can they fix it?
Christine: Undercharging or giving too much for free is a painful money mistake for creatives, Carol. If you don’t value your talent, others won’t either, which limits your income and sustainability. Shift your mindset: your creativity deserves fair pay. Research industry rates, consult with peers, and set prices that reflect your experience and impact. Define what you need to make per hour to support your lifestyle.
How to Fix It: Review your pricing and consider raising it by at least the standard cost of living if it seems too low. Test the response and stand firm in your worth.
Financial Wellness Tip: Get Christine’s pricing strategies in our Financial Wellness Webinar.
Action Step: Christine urges you to review your rates this week.
4. Focusing More on Your Credit Score Than Your Net Worth
Carol: Christine, some creatives obsess over their credit score. Is that the proper focus?
Christine: A good credit score is helpful, but focusing on it over your net worth—your assets minus debts—is a mistake. A high score with no savings and heavy debt isn’t progress. Net worth measures real wealth.
How to Fix It: Pay down high-interest debt, save consistently, and invest when possible. Even saving $100 monthly adds up. (which by the way is only $3.33 a day)
Financial Wellness Tip: Learn why net worth matters in our Financial Wellness Webinar. rebates
Resource: Christine points to this Investopedia guide for more on net worth.
5. Not Making Investing for Retirement a Priority
Carol: Retirement can feel far off for beauty pros with unpredictable income. Why should they prioritize it now?
Christine: Delaying retirement planning is a costly money mistake creatives make. The longer you wait, the more difficult it becomes to build a secure future. Start small—open an IRA or Solo 401(k) if self-employed, and set up automatic contributions, even $30 a month ( a dollar a day), to leverage compound interest.
How to Fix It: Explore retirement accounts at Vanguard or Fidelity and start contributing today.
Financial Wellness Tip: Christine shares retirement tips for creatives in our Financial Wellness Webinar.
Next Step: Set up a small automatic transfer to a retirement account this month.
6. Trying to Go It Alone
Carol: Many creatives take pride in their independence. How does that impact their finances?
Christine: Tackling finances solo can keep you stuck, Carol. Thinking you must figure it all out alone is a sneaky money mistake creatives make. Seek support—a financial coach, accountant, or money-savvy friend can transform your financial story without sacrificing control.
How to Fix It: Book a consultation with a coach like me or connect with a trusted advisor to get started.
Financial Wellness Tip: Learn how to build your financial team in our Financial Wellness Webinar.
Get Started: Christine offers free consultations at christineluken.com.
7. Letting Money Stress Run Your Life
Carol: Christine, I’ve seen money stress weigh heavily on beauty pros. How does it affect their lives, and what can they do about it?
Christine: Money stress is a silent money mistake creatives make, Carol. It saps your energy, clouds your creativity, and strains relationships. Constant worry about bills or unpredictable income can lead to burnout or even health issues. The emotional toll is real, but it’s fixable when you address the root causes.
How to Fix It: Take small steps to reduce financial uncertainty. Build an emergency fund, even $500, to ease anxiety. Practice mindful planning to feel in control. And don’t shy away from addressing the emotional side—journal about your money fears or consider speaking with a coach to shift your mindset.
Financial Wellness Tip: Christine will share stress-busting financial strategies in our Financial Wellness Webinar.
Action Step: Christine suggests setting aside $25 this week to start building an emergency fund and feeling more secure.
Your Path to Financial Wellness
Christine’s insights are a game-changer for creatives and beauty professionals looking to take control of their personal finances. BeauteeSmarts’ Financial Wellness Series is here to empower you with expert advice like this. Don’t miss Christine’s Financial Wellness Webinar to dig deeper into these strategies. Your craft and your future deserve a solid financial foundation.
About the Expert: Christine Luken, the Financial Dignity® Coach, has nearly two decades of experience helping thousands increase their net worth and pay off debt. Listen to her podcast, Money is Emotional, for more wisdom.
About the Author: Carol Phillips, Founder & Publisher of BeauteeSmarts Global™, is a keynote speaker and beauty industry educator dedicated to empowering professionals through platforms like the BeauteeSmarts Success Academy™.
Ready to transform your money story? Register for the Financial Wellness Webinar, contact Christine for coaching, or explore her resources today.
Labor Commissioner Cites Nail Salon $1.2 Million for Misclassification and Wage Theft of 36 Workers
OAKLAND, Calif., July 30, 2018 /PRNewswire/ — The Labor Commissioner’s Office issued more than $1.2 million in wage theft citations to a Temecula nail salon for misclassifying and failing to properly pay 36 workers. An investigation found that the workers at Young’s Nail Spa were not paid an hourly rate and not paid overtime despite working up to 50 hours a week.
“Using misclassification as a business model not only denies workers of their rightful pay, but also gives the employer an unfair advantage over law-abiding businesses,” said Labor Commissioner Julie A. Su. “California law is clear that if employers pay less than the minimum wage, when they are caught they will be responsible for paying not just the wages owed, but an equivalent amount in liquidated damages plus interest.”
The Labor Commissioner’s Office launched its investigation when the Labor and Workforce Development Agency referred the case following notification of a complaint filed through the Private Attorneys General Act. Investigators audited the business records over a 40-month period and determined that 36 workers employed at the salon were paid for each salon service performed instead of the total hours worked. Shifts averaged 9.5 to 10 hours per day but workers were not properly paid for overtime, nor provided proper meal and rest breaks. Young’s Nail Spa also failed to carry valid workers’ compensation insurance coverage during the last three years.
The $1,242,227 citation amount includes $670,040 payable to workers and $572,187 in civil penalties. Of the total due to workers, $126,702 is for minimum wage violations plus $17,375 in interest, $144,076 for liquidated damages, $118,825 for failure to pay overtime, $92,492 for not providing final paychecks as required by law, $87,155 for improperly paid rest periods, $65,312 for not providing proper itemized wage statements, and $18,103 for meal period violations.
The civil penalties include $207,887 for failure to maintain valid workers’ compensation insurance, $160,000 for misclassifying workers as independent contractors, $104,000 for not providing proper wage statements and $100,300 for penalties associated with the wage violations.
Enforcement investigations typically include a payroll audit of the previous three years to determine minimum wage, overtime and other labor law violations, and any payments owed and penalties due are calculated. Civil penalties collected are transferred to the State’s General Fund as required by law.
Required workplace postings on wages, hours and working conditions must be posted in an area frequented by employees where it may be easily read during the workday. Nail salons have a specific posting required for all Barbering and Cosmetology Licensees.
Worker misclassification is the practice of knowingly misclassifying an employee as an independent contractor. It deprives employees of minimum wage and overtime protections, as well as workers’ compensation coverage if injured on the job, and creates an unfair playing field for responsible employers who honor their lawful obligations to their employees. The Labor Commissioner’s Office enforces laws prohibiting the willful misclassification of workers.
When workers are paid less than minimum wage, they are entitled to liquidated damages that equal the amount of underpaid wages plus interest. If a worker quits, final wages are due within 72 hours of the notice. Waiting time penalties are imposed when the employer intentionally fails to pay all wages due to the employee at the time of separation. This penalty is calculated by taking the employee’s daily rate of pay and multiplying it by the number of days the employee was not paid, up to a maximum of 30 days.
The Division of Labor Standards Enforcement, or the Labor Commissioner’s Office, is the division within the Department of Industrial Relations (DIR) with wide-ranging enforcement responsibilities including adjudicating wage claims, inspecting workplaces for wage and hour violations, investigating retaliation complaints and educating the public on labor laws.
In 2014, Labor Commissioner Su launched the Wage Theft is a Crime multilingual public awareness campaign. The campaign defines wage theft and informs workers of their rights and the resources available to them to recover unpaid wages or report other labor law violations.
Employees with work-related questions or complaints may contact DIR’s Call Center in English or Spanish at 844-LABOR-DIR (844-522-6734).
Members of the press may contact Erika Monterroza or Paola Laverde (510) 286-1161, and are encouraged to subscribe to get email alerts on DIR’s press releases or other departmental updates.
The California Department of Industrial Relations, established in 1927, protects and improves the health, safety, and economic well-being of over 18 million wage earners, and helps their employers comply with state labor laws. DIR is housed within the Labor & Workforce Development Agency. For general inquiries, contact DIR’s Call Center at 844-LABOR-DIR (844-522-6734) for help in locating the appropriate division or program in our department.
https://www.facebook.com/CaliforniaDIR
https://twitter.com/CA_DIR
http://www.youtube.com/CaliforniaDIR
http://www.dir.ca.gov/email/listsub.asp?choice=1
SOURCE California Department of Industrial Relations; California Labor Commissioner’s Office
https://www.prnewswire.com/news-releases/labor-commissioner-cites-nail-salon-1-2-million-for-misclassification-and-wage-theft-of-36-workers-300688627.html
Paul Mitchell School San Diego
I had so much fun working with the future professionals. They had such a great spirit to learn!! The night students were outstanding, many almost all of them are committed to a full-time job while attendign night school 5:00-10:00 pm! A big shout out to all the Learning Leaders by leading by example. #allergictoaverage
Andrew Gomez Dream Foundation Adds Carol Phillips To National Speaker Roster
Press Release
Paul Mitchell The Schools
Feb 23, 2017
Beauty Industry Sales Expert, Carol Phillips, Has Been Approved By Andrew Gomez Dream Foundation For Paul Mitchell The Schools Nationwide
Carol Phillips is an internationally-known keynote speaker, trainer, industry consultant, and successful beauty business owner. For over 25 years, she has inspired clients all over the globe to re-focus on working smarter, using their resources at hand to build traffic, sales, and customer loyalty—especially useful information in today’s challenging business climate.
Carol Phillips’ unique selling approach enabled her spa to average 55% of total revenues from retail sales alone, causing her to be named American Salon magazine’s First Retailer of the Year for her outstanding work in salon display, merchandising, retailing and staff training.
Over the years, Carol’s professional articles and information have appeared in the Wall Street Journal, Life Magazine, American Spa, Day Spa Magazine, Spa Canada, American Salon, Modern Salon, Skin Inc., DermaScope, Salon Today, Nails, Nailpro, Medesthetics, and Les Nouvelles Esthetique, just to name a few.
Her first book, In The Bag-Selling in the Salon, has become the gold standard on spa and salon sales training. Carol was on the International Spa Association team that wrote the definitive book, Retail Spa Management. Carol has produced over 25 DVD and audio spa sales training and 2 cutting-edge in-spa music programs. Now beauty professionals around the world are being trained with the first online complete sales and marketing beauty curriculum designed and produced by Carol Phillips.
Thousands of beauty pros are boosting service and retail sales after complete this training. “Robert Cromeans Salons boosted a 40% increase in Take Home after one of Carol’s Classes.” Robert Cromeans is the Global Artistic and Business Director for John Paul Mitchell Systems.
Carol is the founder of BEAUTEESMARTS, which offers full service consulting, marketing, branding, training, product development, and sales programs. Carol and her group have done work for industry icons such as John Paul Mitchell Systems, Eminence, JCPenney Salons, SuperCuts, Mama Mio, Intraceuticals, Osmosis, Environ, and Jane Iredale.
Carol has had the pleasure of consulting and training great spas and salons like Wynn, Encore, Hilton, Waldorf Astoria, Canyon Ranch Resorts, Red Door Salons, Gaylord Resorts, Glen Ivy Hot Springs, Grove Park Inn, MGM Hotel, and Exhale Spas. Carol designed the original prototype spas for Estee Lauder’s-flagship Origins Spa and General Nutrition Centres.
Carol has worked in every phase of the beauty business, from behind the chair, the counter, the front desk, and a microphone. Her unique insight into every layer of the beauty industry helps her design a SMART (Sales, Marketing, Advertising, Retail, and Training4Success) programs that get results for beauty businesses.
** For more information on the Andrew Gomez Dream Foundation
Andrew Gomez Dream Foundation was founded to honor a successful Paul Mitchell School graduate whose struggle against mental illness ended tragically in suicide. The foundation helps cosmetology students, graduates, their families, and cosmetology-related enterprises. Funds have provided educational opportunities, hurricane relief, and support in the fights against breast cancer, domestic violence, and other destroyers of self-esteem.
For more information on Paul Mitchell The School
** Paul Mitchell The Schools booking:
Contact Carol Phillips:
o 760.678.0022 c 760.828.5005
CarolPhillips@BeauteeSmarts.com BEAUTEESMARTS.com
300 Carlsbad Village Dr. Carlsbad CA 92008
Brand Intimacy
Retail trends: excerpt from National Retail Federation by Susan Reda
Brand intimacy describes an essential relationship between a person and brand. It transcends usage, purchase and loyalty, and according to brand agency MBLM, intimate brands create enhanced business performance.
So which brands succeed at developing intimate connections? That depends on gender.
Women connect with a broad and more mature staple of brands that involve more aspects of their daily lives. Apple is the most intimate brand among female consumers, followed by Disney, Amazon, Whole Foods and Toyota, according to MBLM. The top five brands for men are Harley-Davidson, Apple, Toyota, Nintendo and Lexus.
MLBM partner Rina Plapler insists that how people form bonds with brands transcends gender. “It’s important to see the types of brands women tend to connect with and how age and income influence brand choices. … [It] helps marketers better promote their products and services and form deep brand attachments.”
What else did they learn? Age also plays a role in determining brand preferences. Among female Millennials ages 18 to 34, the top five are Apple, Amazon, Sephora, Target and Whole Foods; 18- to 34-year-old men pick Nintendo, Samsung, PlayStation, Xbox and YouTube as their top five.
Women earning $34,000 to $49,000 are most connected with health and beauty brands, with L’Oréal, Revlon and Dove in their top five. Among those with incomes of $50,000 to $75,000, the list leaders include Apple, Starbucks, Olay, Coca-Cola and Netflix. For those earning $75,000 to $150,000, Apple, Sephora, Amazon, Target and Clinique top the list.
Whose The Focus
Dear Product Vendors…
You might want to train your sales reps to be customer focused vs “I” focused. This was in my email today from our “Customer Service Representative” The email had 118 words and 10 times she used the word “I”. There was no personalization to email. BTW this person has been our rep for all of 2 months yet this only 2nd email ever received. Yep, no phone call(s) to introduce themselves either. Thinking this company needs my BeauteeSmarts Sales Rep Sales Class ASAP (wink)
Actual copy of email sent to me by sales rep
Sales Rep Sloppy Email