Monthly payroll for a brewpub team in an Indian city
Labour is usually one of the two biggest monthly costs in a brewpub, next to rent. Here is how to build the payroll properly, including the costs that sit on top of each salary.
Start from the rota, not the org chart
A brewpub runs long hours, usually seven days a week, with two very different operations under one roof. The brewhouse works mornings and needs skill more than headcount. The floor and kitchen work evenings and weekends and need headcount more than anything. Build payroll from a weekly rota: how many people, in which roles, for which hours, on a quiet Tuesday and on a packed Saturday.
Only then turn the rota into roles and salaries. Founders who start from a list of job titles tend to hire for the busiest night and pay for it all week.
The usual roles
- Brewing. A head brewer and one or two assistant brewers or cellar hands, depending on batch frequency.
- Kitchen. A head chef, line cooks, helpers and dishwashers. Often the largest team.
- Floor and bar. A floor manager, captains, servers, bartenders and hosts.
- Back office and support. Accounts, purchase and stores, housekeeping and security, sometimes outsourced.
Our brewery staffing guide sets out how roles change as a brewery grows. The head brewer is usually the hardest single hire, which we cover in hiring your first head brewer.
What sits on top of the salary
The cost to company of each employee is more than their take-home pay. In India it typically includes:
- Employer contributions to Provident Fund, once your establishment is covered.
- Employer contributions to ESI for employees within the wage ceiling, where the scheme applies.
- Gratuity, which becomes payable to employees who complete the qualifying service period.
- Bonus under the statutory bonus rules, for eligible employees.
- Professional tax, deducted from salaries and paid over in states that levy it.
- Leave encashment, overtime and festival advances, depending on your policies.
Thresholds, wage ceilings and rates change. Use a chartered accountant or a payroll provider who keeps them current. Budget these costs from the first month rather than discovering them in the first audit.
The costs that are not on the payslip
Staff meals, uniforms, accommodation or transport for late shifts and training time all cost money. So does hiring. Restaurants in Indian cities often see high turnover on the floor and in the kitchen. Every replacement costs recruitment time and the weeks before a new server is up to speed. Service charge, where you levy it, also needs a clear written policy on how it is shared. Rules and guidance on service charge have changed in recent years, so check the current position.
Remember the night shift. Late closing means safe transport home for staff, especially women working late. Some states attach conditions to that. Put it in the budget.
Keep labour in proportion to sales
Track labour cost as a percentage of net sales every month. Weekly is better. The healthy range depends on your format, your city and your price point, so set a target from your own business plan and watch the trend. A brewpub with a big kitchen will run a different ratio from a taproom with a small snack menu. Our guide to taproom economics shows how labour fits next to rent and cost of goods.
When the ratio climbs, look at the rota first. Slow weekday lunches staffed like Friday nights are the usual leak.
A worked rota, in outline
Here is how the rota turns into a payroll, without salary figures, since those vary widely by city. Suppose the brewpub opens at noon, closes at midnight and brews three days a week. The brewhouse needs a head brewer and one assistant on brew days, with the assistant covering cellar work and cleaning on other days. The kitchen needs two shifts on weekends and a lighter split shift on weekdays. The floor needs a manager on every shift, more servers from Thursday to Sunday and a skeleton team for weekday lunches.
Count heads per shift, multiply by days and add weekly offs and leave cover. That headcount, not the job titles, is what you price. Then add the statutory costs and the extras above and you have a payroll you can defend.
Pay on time, every time
Pay day is the one promise every employee checks. A brewpub that pays late once will hear about it on the floor for months. Keep at least two months of payroll in reserve during the first year. Licence delays, a slow monsoon or a closure for repairs should not mean staff waiting for salaries.
Payroll looks simple on a spreadsheet and gets complicated quickly in a real team. Building it properly, with the statutory costs, the rota and the link to sales, is a skill that pays back every month.
Common questions
What is cost to company for a brewpub employee?
It is the gross salary plus employer costs such as Provident Fund and ESI contributions where they apply, gratuity provision, bonus and benefits like meals or transport.
What share of revenue should a brewpub spend on labour?
It depends on the format, city and price point. Set a target in your business plan and track the ratio monthly so you can spot a rising trend early.
Do I need a payroll provider?
Not necessarily, but someone must keep statutory rates and filings current. Many small brewpubs use a chartered accountant or a payroll service.
