Record Cash and Charge Tip Income During Payroll Entry

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Pay employees

Set up other payroll deductions

Set up an employee

Perform other payroll tasks

Read the employee tips overview

Use this procedure during payroll entry to enter cash and credit card tip income. It is important that you enter the gross pay information first (number of hours worked or salary amount). Then, you need to enter your tip information. This way the Tip and CCTips income will properly adjust from the gross pay.

Note: This procedure assumes you have already set up cash and charge tips payroll fields. How do I set up cash and charge tips payroll fields?

  1. After selecting the employee ID during payroll entry, enter the number of hours worked or salary for the current payroll period.
  2. Enter the credit card tips paid in the CCTips payroll field.
  3. Enter the cash tips amount that the employee is reporting in the Tips payroll field.

Payroll taxes will adjust to include the combined tip income if you have subscribed to a Sage Business Care plan (Gold or Platinum) or a monthly subscription. However, the gross pay amount does not change. The W2Tips payroll field should reflect the total of CCTips and Tips.

Note: If you have not subscribed to a Sage Business Care plan (Gold or Platinum) or a monthly subscription, you will have to manually adjust your payroll taxes. You may have to adjust the W2Tips field as well.