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Tip Redistribution / Tipouts

NOTE

The “complex tip” feature simply prints the suggested tipouts on each server/bartender’s checkout report. TIP REDISTRIBUTION MUST BE USED FOR CORRECT TAXING OF TIPOUTS!!!

  1. To set up the desired tip amounts (such as 1% of food sales for bussers, 1% of all sales to hostess, 3% of beer, wine, liquor sales for bartenders) to automatically print on the server’s checkout report, open MC and click Setup – System Preferences — Check Out Setup
  2. Double-click the first empty option in the Complex Tip field in the bottom right. These should be 01-, 02- 03-, etc.
  3. Type in the name of the tip out, select the pay category of the employees receiving the tip out in the “ReDist to” box, and enter the rates for the tip out for each department as whole numbers. For example, to setup a Hostess tip out for 1% of all sales, you would type in “Hostess Tipout” in the name, select “Hostess” in the “ReDist to” dropbox, and type in 1.00 in the box next to all departments.
  4. Click “OK”.
Review the next items to ensure all employees are taxed properly!!
  1. Ensure that the pay categories of employees receiving tip redistributions are set up to receive them by going to MC – Employees – Pay Categories – double-click the desired pay category and make sure the “Tip Redist Target” box is checked. If it is not, check it and click “OK”. Repeat for each pay category receiving redistributed tips and then click “done”
  2. Ensure the pay categories of employees paying tip redistributions (usually servers and bartenders) are set up to enter their payout amounts when they clock out. Do this by following the steps above and instead of checking the “tip redist target” box, check the “tip redist @ FOH”.
  3. When employees paying tip redistributions are clocking out, they will see a screen with all employees who worked today (including those still clocked in) and are set up to receive redistributed tips with arrows next to their name. They need to touch the arrow next to each employee’s name that they tipped out today and enter in the amount that employee received. For example, if their hostess tip out was $10 and that will be split by two hostesses, touch the arrow next to the two hostess’s names and enter $5 for each.
Updated on July 20, 2020

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