Can Payroll Software Handle Tip Calculations for Tipped Employees?

Yes, restaurants and similar businesses should look for payroll software that can handle their tip calculations for tipped employees. Keep records of all reported tips to avoid audit consequences from the Internal Revenue Service. Good record-keeping also ensures greater accuracy and the ability to find paperwork as you need it for any employee. The most reliable and comprehensive payroll software lets users edit their payer preferences to include taxable tips. You should have no problem entering a taxable tip value into a selected field. Speak to a potential payroll vendor before you invest in any payroll software. Do not assume that using a payroll software tool to add taxable tips to a form is as straightforward as filling out a form, yourself. Look for adaptable payroll software options.

AMS Payroll software is a trustworthy tool for small businesses looking to handle tip calculations for tipped employees. Download our free 1099-etc Demo software to explore our useful tip tools, including direct deposit payments, over 30 types of checks, after-the-fact payroll management, and data reporting.

Software Solutions from AMS

Our W-2 and 1099 Forms Filer is our only required platform. From there, users pick the services they need. Choose from the tools below to build out your customized accounting software.