Paying contractors Tips not possible no import option , no manual option

[novosartovt]

We own Hair Salon and all stylist are contractors who can get tips from clients. In Square payroll tips do not import during payroll run . Also , there is no column to even put tips manually. I think this feature is critical for correct tax reporting and issuing 1099 correctly. 

Square i'm paying such high monthly fees and cannot import tips ? This is truly frustrating and needs to be looked at ASAP. I see post from 2022 and still not such feature other customer complained and raised this more than 2 years ago ? Do you care and listen to your customer at all? I want this post to be escalated to RND and Senior team and i want to be heard about critical issues Square has that impact many business . WHY AM I PAYING monthly fees for payroll if i cannot import tips automatically ? 

[TheRealChipA]

Hey there @novosartovt. While researching your question, the help documents that are available to me are somewhat contradictory.  In one place, I was told that contractor tips were a thing, as long as the team member profiles were set up correctly.  In another, I found a message that contractor tips were NOT a thing, no matter what.  I’m telling you this because I want you to know that I’m trying to resolve that discrepancy with various Square teams and that I will get back to you once I do.

In the meantime, for now I can’t see a reason why you can’t use the “additional pay” field in Square Payroll to record the contractors’ weekly tips.  This will be reported as additional income, subject to taxes, etc, and will keep you legal on all fronts.

While I am waiting on information from Square, can you please answer the following questions:

• Are your contractor team profiles set up as being tip eligible (as shown in the screen shot below)?   If not, you can click on edit job, and mark the job as tip-eligible.  As long as all contractors have the same job code, changing this once will change it for them all.  Otherwise, you will have to edit each job to mark it as tip eligible.
• Second, do your contractors record their time in Square?  I assume that they do, and that when you run payroll, you just import their timesheets.

Honestly, this looks like a combination of both setup issues as well as Square documentation issues.  I thought that recent changes allowed contractors to record tips and to have them imported, but I need to be sure before I go there with you.  Please hold tight.  Until then, I hope that the “additional pay” field will help you manually record tips during payroll runs.

[novosartovt]

Hello, yes all of them are tip eligible , also contractors are hair stylist so the earn % commission. When i run payroll i import their amounts . Front desk contractor would be on time sheet. 

[TheRealChipA]

Thanks for the information.  For some reason the screen shot did not post.  That happens sometimes.  I’ll take you word for the fact that everything is set up correctly.

[Ellie_]

Hi there, @novosartovt,

I’m happy to come in here and clarify some of this confusion. The exact feature you are looking for to import tips for contractor payments is currently a feature request. I recommend submitting that on our Seller Ideate board for other Sellers to vote on this for our product managers. In the meantime, I would recommend that you import the time and wages and then manually add the tips to the “Amount” column on the contractor payment.

Thank you, for flagging this confusion in documentation, @TheRealChipA, I have made sure our team has been made aware of this. If either of you have any questions, please let me know!