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Tip calculation when using gift cards
Ok square this has been an issue for a LONG time. The tip is not calculating properly when a sale for a massage service is paid for partially with a gift card. Its also not calculating when combined with retail, I AM LOSING MONEY!!! As a professional BUSINESS OWNER when checking out a customer I am not going to ask them to manually recalculate the tip (especially when they are zoned out after a massage) on a service that was given (part or full) as a gift on a gift card. I am looking at other payment systems and I am going to stop selling gift cards. I cannot imagine Im alone in this and imagine your plastic gift card provider will also start to feel the impact in decreased sales. FIX THIS ISSUE!!!
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Hello can you share with me an example? I'm considering adding e gift cards to my massage biz. How is it screwing up? Have you got an answer back yet from Square?
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Let me see if I can explain it. Spend some time searching these discussions regarding tipping on services when combined with retail and regarding tipping when gift cards are used as payment.
A client has just had a massage for 90 minutes and the cost is $150. When it’s time to pay for the service they have a plastic gift card for $100. They swipe the plastic gift card and you are then prompted for the second payment for the remaining $50. The customer then slides their credit card and are prompted with the tip screen asking if they’d like to add a tip. The tip is then calculated only on the $50. I would be embarrassed to actually point out to them that they are tipping me on only a partial amount.
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Totally know what you mean! Just almost had a server quit over it today in fact. I don't want to turn off the gratuity check boxes for the same reason: I don't want the customer having to do the math after food and drinks (not trying to belittle anyone, but there were many arithmetic errors before the boxes) .
I understand square being cautious about payments tendered, but this is a really specific situation. Like, there is only one way this comes about and that is a gift card payment that uses the whole gift card but leaves a remainder of the check. Then, the remainder is paid by credit card. That partial credit total is what the gratuity is based on, which is not right. In this scenario, the grat should be based on the previous total because the customer is just going to check the box which leaves a pretty small gratuity. They never check that the total is less then the check and leave a custom tip. So the server gets the short end of the stick on this EVERY TIME. There has to be a way to fix this.
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YES. PLEAAE SQURE FIX THIS! It’s been YEARS!
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I totally agree, If someone pays a $51 ticket with a $50 gift card and the balance on a credit card, they only offer a tip on the $1 charge. We often have parties where the host gives everyone a gift card and the guests pay any remaining balance but only tip on the balance. The same is true if they pay with more than one type, say cash and charge. Then the tip is only calculated for the credit amount. If I add it in manually as a gratuity then I have to manually add it to each pay check for each pay period. Even using a third party gift card will not solve this issue.
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