Electronic tips collected

[Coffee_Man]

For electronic tips collected, does that amount get added into my overall credit card deposit at the end of day?

in other words if I do $500 in credit card sales and collect $50 in electronic tips, would my deposit be $550?

if so, is this something that I can pay out to give them cash or does it need to be added to their paychecks through payroll? 

[ryanwanner]

Hello @Coffee_Man 

Yes, the tips collected will be in your deposit.

As for how to pay out the tips, there are quite a few ways to do this, from taking the cash from the till that day to having it included in the paychecks.

For me, I have found that my CC deposits pay for all my day-to-day expenses, so I keep all the cash deposits in the safe and pay the team their tips in cash with the associated week's check. We still record the tips as a non-paid out option on their checks for tax purposes though. (Tips show as income but not included in the check--this is something my payroll provider allows, not sure all of them do.)