Recording tip pay outs

To help you comply with the new tipping legislation that came into effect from 1st October 2024, you can calculate and record your tip pay outs in the back office. 

You can distribute tips based on: 

• Shift hours (according to the rota)
• Activity hours (based on clock in and out times)
• By manually entering the tips to allocate to each employee

Note: With any of the above methods you can choose to exclude certain staff members from the tip pay out.

To calculate and record a Tip payout, go into the back office & select Staff & Roles > Tip payouts.

When you first open the Tip payout module, there will be no previous reports to view, so you will need to create your first Tip payout report. 

Click the blue Add a new Tip payout report button.

The Tip payout will display to the right of the screen. You will see a snapshot of information in the Totals boxes at the top of the screen:

• Tips & service charge totals
• # of hours on the rota
• # of activity hours worked

For your first Tip payout, you will need to select the from date and the to date to reflect the period you are recording a payout for. For any subsequent Tip payouts, the from date will be set to the last payout date.

Note: You cannot select a to date that is in the future.

You can then choose the Distribution method from the dropdown:

• Based on shift hours
• Based on activity hours
• Manual distribution

Note: The tip distribution selected will be saved as the preference for the next time a tip payout is ran.

If you need to add any notes to the Tip payout, you can do so in the empty Notes field.

Pay outs based on shift or activity hours

For a Tip pay out based on shift or activity hours, you will be able to see:

• Staff names as per your weekly rota
• Hours worked (based on the distribution method selected)
• Tip share as a value
• Tip share as a percentage

Note: Any staff who have no shift hours or activity will be indicated with a -.

If you need to exclude any staff members from the tip payout, switch the green Included toggle at the end of the row to Excluded. The tip share will then be re-calculated based on the remaining included staff members.

Click the blue Save button, to save your Tip payout. You can come back to this Tip payout later if you need to edit or delete it.

Payouts based on manual distribution

If you calculate your tip split outside of the system and just want to record the payout, you can select Manual distribution. With this method you can enter the amount of tips that you are paying to each staff member.

Note: To submit the tip payout, the amounts entered must add up to the total tips and service charge to be distributed.

Submitting your tip pay out

When you are ready to submit your payout, click the green Submit tip payout button. When you submit your payout, you will no longer be able to make any changes.

At the confirmation prompt, click the blue Yes button to submit your report.

Your submitted Tip payout report will be displayed and can be viewed at any time (see viewing your tip payout reports).