We own a small bakery that is looking to hire a cake decorator. While I know that regions dictate prices both of salary/hourly rate and prices you can charge for cakes, I looking for a pay structure that works best.

We are thinking of an hourly rate for basic cupcake and cake decorating, but offering a percentage of a custom order cakes.

Does anyone have good ideas for being fair to both the employee and to the business?

Specifically, we would like to know your opinions on what percentage would be a good percentage to offer the decorator on the custom cakes. Please explain why it would be that percent in your mind.

APaying based on a percentage of sales might work for partners or commissioned salespeople, but a cake decorator should probably be paid hourly, with the wage based on both market rates and the efficiency/skill of the employee.