Handling tips that are paid out daily

Handling tips that are paid out daily

In our industry (restaurant/coffee shop) it is common for tips to be paid out daily instead of via payroll.

We do tip pooling based on hours worked (sales/tips are not specific to a team member).

LOVE that Square took our suggestion to do tips by job instead of employee, will make running payroll faster and less manual updating.


I would now LOVE for additional Square capabilities to support businesses that pay out tips daily.

1. Have a simple report that closers can run that tells them the tips/employee at end of day. They do by hand on their phones, I am sure there are frequent mistakes.

2. Have the payroll report (CSV download) add a column that shows "net paycheck" with the tips removed from the paycheck (since they were already paid out daily), and allow us to pick this amount for direct deposit. Without this feature, we cannot do direct deposit.

3. Allow for payroll adjustments. There is a field for reimbursements, but it doesn't allow for negative amounts to be entered. This is needed in case we have to adjust tips because someone forgot to clock out/in so daily tips were calculated incorrectly.


Would appreciate others supporting/adding to these suggestions!


1 Reply
Square Community Moderator

Thanks for sharing these feature requests with us @ibrogden. I will be moving your post to the Feature Request board for better visibility.