Tip Pooling By Transaction: Time the transaction is adjusted with the tip

Hi - 

 

We are a single terminal location that has started to use tip pooling by the transaction. 

 

We do not adjust tips until the end of the evening.

 

I have two people clocked in and a table cashes out at 5 pm - for say $50.  We run the card, get authorization, have the customer sign the slip (yes, we still use paper trail) and they write in $10 on the tip line. 

 

At the end of the night, only ONE person is clocked in and is adjusting all the transactions to account for the tips that we received throughout the day.  

 

Is the tip of $10 being SPLIT between the two people that we clocked in WHEN WE RAN THE CARD AND OBTAINED AN AUTHORIZATION?

 

OR

 

Is the tip of $10 going to the one server that ADJUSTS THE TRANSACTION at the end of the day? 

 

I have tried calling Square Support on this issue the answer I got was:  the only way to guarantee that both employees share in the tip is to adjust it when they are both clocked in.  

 

Also, when I run payroll, there really is no way to check unless I manually do so.

 

Can this be true?  And if so, does anyone else find it wildly inefficient to have staff stop to adjust tips during busy service?  

 

Thanks in advance for any clarification ✌🏻

 

 

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I too have been led to believe the only way to split is based on who is clocked in. So, we've implemented a new pooling policy and now pool tips by total hours worked. Clearly this won't work for everyone but it has had some major benefits. Our evening shifts are notoriously hard to fill, pooling by hours worked has completely changed the morale of those working and everyone has become much better about filling in and working shifts needed rather than attempting to only work the shift with high tips. I recently coached a business owner implementing this by shift instead of total hours worked. Maybe that will spark a creative fix for you? good luck!

Take care of yourself and, as life provides, someone else too.
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Thanks for the reply Anthem - 

 

We were pooling based on total hours worked, however, that did not work for us.  This question is specific to WHEN the transaction is adjusted to add the tip. 

 

Thanks for trying though, I appreciate it!

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