How do you allocate credit card tips to the employees working during those tip hours?

[amandasue5]

Please explain how credit card tips can be distributed amongst the employees working.  Employee A worked from 6a - 10a alone and the tips at that time were $20.  At 10a, employee B came in, and at 2p employee A left.  From 10a - 2p there were $20 more in credit card tips.  So employee A receives $10 form that and employee B receives $10 from that.  Employee A, in total, received $30 in tips that shift.  How can we do this through Square and put it on their payroll?

[BobbyHowe]

I had this question last night, I am in the same boat, the only thing I can think to do is figure out the tax burden on the tip, ie 30 percent, so on a $10 tip $3 goes to taxes, leaving $7 to split between the employees.  Person A that is logged into the system would then give $3.50 to B person. However Person A's Tips will be higher on payroll, hence the reason Person B only gets 35% because Person A has the tax burden on the whole tip amount.  Only other way I can see to do it is they ring up their own orders to keep everything seperate.  In our case Person A cooks for those 3 hours and Person B bartends/serves, at bigger resturants servers make less than cooks due to tips or have a set percentage they have to give to the cook at the end of the day.

[Tom · Accepted solution]

Thanks for bringing this up, @amandasue5, and for helping out, @BobbyHowe! 💯

I also wanted to surface that automatic tip reconciliation is available with Team Management. With this feature, you can assign employee passcodes so there’s no re-calculating involved with figuring out tips and commissions. Learn more about getting set up in our Support Center: Subscribe to Team Management.

Hope this helps. 🙂

[5thandjefferso1]

So the trouble in our situation is that every employee on staff could be taking an order or making an order. We can't have each person involved in the order "logged in" to calculate it this way.

[puka]

Hey @5thandjefferso1 - The ability to split tips amongst employees based on hours worked is a feature request per EJ's answer below. We'll make sure to pass on your feedback to our Employee Management team to consider for future improvements.

[Blue-Door-Cafe]

Since the new tip splitting went into effect last week, credit card tips were not pooled and split across ALL eligible employees that were clocked in when the tip transaction occurred at our point of sale.

How do we correct that when importing tips during square payroll?

[thegreenbeanery]

We still await this feature 🙂 we cancelled our square team management until this feature is available

[cmmangum71]

So, I can't be the only person that has their bartenders tip out a barback, right? But I don't want the barback to be hit with equal shares of tips (because they don't get equal - they get 20%)  How do you take the 20% off the bartenders allocated tips and apply them to the barback?  Just switched to Square Payroll and would love for the system to do this automatically for tax reporting.

[_Violet]

Hi @cmmangum71 - Thanks for reaching out to us here on the Square Seller Community👋

If you take a look at this Support Article, does the Tip Pooling feature sound like what you're looking for?

If not, please let me know!

[EpicFun]

Square doesn't allow you to do this. It really stinks. 

[badhabit]

did you ever get a response to how to do this? I would love to know how... similar situation ... needing to allocate 30% of cc tips received to shift lead off the top, then distribute everything else equally including the shift lead.

[FIXCoffeebar]

..

[MayaP]

Hey there @FIXCoffeebar ,

I don't see your question anymore, are you still needing help? 

[FIXCoffeebar]

Think I managed to sort it out thank you

[MayaP]

Glad you were able to figure it out @FIXCoffeebar .

If you need anything else reach out! 

[Potters]

Pretty straight forward question. 

We have a tasting room. 2 shifts per day, 2 employees per shift. 

Can we divvy up tips based on hours worked for each employee? 

If so, I can't figure it out. 

[EJ_]

Hi @Potters

I've moved your post over to this existing thread with a similar question. 

You can account for tips accepted by sorting your Sales Summary report to a certain timeframe. 

Employee Management, as mentioned in the Best Answer of this thread, has tip reconciliation as well.

Let me know if this helps!

[thegreenbeanery]

Employee management does not quite fix this problem for us that I can tell. Tips are recorded under the person who is currently logged onto the register, rather than being split between the people clocked in. Is there a way to change this? 

[EJ_]

Hi @thegreenbeanery

You're correct here, as tips are automatically assigned based on the employee who is signed in for each sale.

This is a feature request that our Employee Management team is tracking, so if anything comes up I'll be sure to post an update. 

[madman]

We need to spilt the tips equally too, please add that feature asap. thank you

[bswanz]

Does using Employee Management mean using Square to run payroll?