Tips and Cash Handling

This page defines the key terms and system rules for tips and cash handling.

Terminology

Tips are the tip amounts tracked across the POS workflow.
Cash Out is customer-facing cash disbursement linked to payment or tab workflows.
Cash Off is the workflow used when servers collect their tips from the register.
Register Float is the in-register cash float used for expected register settlement workflows.

Cash Out and Cash Off are different workflows and are not interchangeable.
Tab tips are split automatically.
Tab tip splits are based on each server’s percentage of the sale.
Cash Out is excluded from split tip calculations.
All tips are expected to be settled through the register float.
Outside-of-register tip payment is not currently available.
Card tip payout on settlement is planned, but is not yet part of the current settlement flow.

A company-wide Card Tip Withholding percentage can be set on the Company Profile (range 0–100%). Cash tips are never withheld.
When set, the percentage is deducted from the card portion of each tip cash-off at the moment of payout.
The withheld amount is recorded on a dedicated liability account (Tip Withholding Payable, code 2410) and remains part of the business’s cash position until it is classified and remitted (or released) by a manual journal adjustment.
The cash-off screen and receipt show both the gross card tips owed and the withheld amount, so staff see the net that will be handed over.
The rate applied is the rate current at the moment of cash-off, not the rate at the moment of sale.