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The Best Restaurant Tip Pooling Software in 2025

July 24, 2025

5 min read

In the restaurant industry, tip pooling is a way to keep things fair for employees, build team morale, and ensure everyone—from bussers to servers—takes home a livable wage. 

But when you’re juggling peak hours, shift swaps, and a mix of roles, managing tip distribution manually can get messy. That’s where restaurant tip pooling software comes in. 

The right tool automates tip calculations, tracks payouts with a paper trail, and helps you stay compliant with labor laws—all while freeing up time and reducing errors. Plus, you can set up tip pooling to be paid out with your payroll.

In this guide, we’ll break down what tip pooling software does, the top features to look for, and which tools are the best fit for your restaurant in 2025.

TL;DR: Restaurant tip pooling software

Short on time, but want to know what restaurant tip pooling software can do for you? Here’s a quick breakdown of what we cover in this guide:

Tip pooling helps divide tips fairly across your team and supports a culture of teamwork. 

Restaurant tip pooling software automates the entire tipping process, helping you avoid spreadsheet errors and stay compliant with wage laws and tip pooling laws. You can also think of it as a tip transparency app—one that keeps everyone informed, reduces disputes, and tracks payouts automatically.

Benefits of restaurant tipping software include:

  • Eliminates spreadsheet errors and reduces human mistakes
  • Automates complex tip pool calculations
  • Reduces cash handling and theft risks significantly
  • Provides transparency and accountability
  • Integrates directly with payroll systems for seamless processing
  • Enables instant digital tip payouts to employee accounts
  • Creates a digital paper trail for compliance and tracking
  • Promotes team collaboration and reduces server competition
  • Ensures fair distribution across all service staff roles

Useful features in restaurant tip pooling software are payroll and POS integration, flexible tip rules, real-time calculations, digital payouts, compliance tracking, multi-location support, detailed reporting, and reliable customer support.

Our top restaurant tipping software picks for 2025:

  1. Homebase – Best for hourly teams and growing businesses
  2. TipHaus – Best for large restaurant groups
  3. Kickfin – Best for instant payouts and cashless teams
  4. Push Operations – Best for HR-heavy restaurant ops
  5. Toast Tips Manager – Best for restaurants using Toast POS
  6. Branch – Best for flexible scheduling and gig-based teams
  7. SpotOn – Best for restaurants using SpotOn POS

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What is tip pooling?

Tip pooling is when a restaurant collects all tips from a shift or day and distributes them among eligible employees based on a set of rules. These rules might divide tips evenly, based on hours worked, by role and percentage (e.g., more for servers than bussers), or using a restaurant tip pool point system.

For many restaurants, tip pooling ensures fair compensation in a tip system where tips make up a significant portion of wages. 

Why restaurants use tip pooling:

  • Creates equity among your team
  • Encourages teamwork and shared responsibilities
  • Helps support back-of-house staff who don’t typically get tips

Some employers worry that tip pooling may reduce how much customers tip, but research shows that sharing vs. keeping tips doesn’t affect tip amounts significantly.

Not to be confused with tipping out: Tipping out is another way to distribute tips among staff. With this method, staff who received tips directly from patrons, like servers and bartenders, share a portion of their tips with teammates who helped them, like bussers and kitchen staff.

What is restaurant tip pooling software?

Restaurant tip pooling software is a tool that helps automate how tips are calculated, distributed, and reported. A good tip pooling calculator app eliminates late-night spreadsheets and handles the math for you based on your pre-set rules.

In practice, it might look like this:

  • Your server clocks out, and their tips from the POS system are automatically logged
  • The tip system applies your custom pool rules—maybe servers keep 70%, 20% goes to bussers, and 10% to hosts
  • Tips are distributed digitally, synced with payroll, and everyone can view what they earned via the app

Tip manager is the next iteration of my spreadsheet. It just does it without me doing anything, using the information that I already have in Homebase.” — Andrew Campolong, Owner, Idyllwild Ice Cream Shop

Benefits of tip pooling software for hourly teams

Eliminates spreadsheet errors and reduces human mistakes

Spreadsheets can work for a while, but as your team grows, manual tracking quickly becomes error-prone. One misplaced decimal can lead to tip shortages or overpayments. Tip management software automates the math, so payouts are accurate and faster to process.

Automates complex tip pool calculations

Splitting tips across different roles and shifts can get complicated fast. Using a tip pooling calculator app, you can set logic for roles, hours, or points—then let the tool handle everything behind the scenes.

Reduces cash handling and theft risks significantly

Handling large volumes of cash at the end of every shift increases the risk of theft or miscounting. Digital tip payouts remove the need for envelopes or drawer counts, making things safer, simpler, and more trackable.

Provides transparency and accountability

One of the biggest sources of tension in tip distribution is uncertainty—employees want to know they’re getting their fair share. A tip transparency app lets employees view their earnings and how they were calculated, which helps build trust and reduce tension.

Integrates directly with payroll systems for seamless processing

Manually syncing tip payouts with payroll can be a pain. Connecting tip data to payroll eliminates double entry and ensures taxes and withholdings are handled properly. It simplifies compliance and saves admin time.

Enables instant digital tip payouts to employee accounts

Some platforms allow employees to receive tips as soon as their shift ends—no need to wait for payday. That flexibility helps hourly workers manage cash flow and shows that you value their time.

Creates a digital paper trail for compliance and tracking

Labor laws around tips vary by state, and failing to comply can mean major penalties. A digital record of who earned what, when, and why gives you built-in protection if you’re audited or need to confirm a payout. 

Promotes team collaboration and reduces server competition

When tips are pooled fairly, servers stop competing for the best sections and can work as a team. Tip pooling can promote a healthier workplace culture and allow everyone to feel like a valued contributor.

Ensures fair distribution across all service staff roles

Tip pooling software makes it easy to include everyone who contributes to the guest experience. And fair tip pooling helps make up for wage differences across roles, especially where hourly pay may not reflect effort or impact, like how much bartenders make compared to kitchen staff or runners.

While tip pooling can promote collaboration among staff, it’s worth noting that public opinion isn’t always favorable about tip pools. Transparency about your tip distribution process—something tipping software helps with—can ease some of these concerns.

Top features to look for in a restaurant tip pooling software

POS integration

The best tip distribution software talks directly to your point of sale system so you don’t have to manually export data. POS integration ensures that sales and tips are pulled automatically, creating  a seamless workflow with less manual entry and fewer errors.

Custom tip rules

Good tip pooling software lets you create flexible distribution rules based on role, hours worked, or points per shift. This way, your system reflects your restaurant's unique policies. And when roles or policies change, updating the rules is easy.

Real-time calculations

A tip pooling calculator app with real-time updates lets managers and staff see accurate earnings before they clock out. For managers, it provides peace of mind that the books are balanced and that everyone will be paid correctly. Say goodbye to end-of-shift delays.

Digital payouts

A tip management software with digital payouts lets you send tips straight to employees’ bank accounts or prepaid cards. This is especially useful if your team works different shifts at different locations. Everyone gets paid accurately and on time, with no extra steps.

Payroll integration

Connecting your tipping software to your payroll provider makes managing tax compliance—including FICA tip credits—a whole lot easier.  It also speeds up the payroll process and reduces the risk of costly errors or omissions.

Compliance tracking

Tip regulations can be tricky and vary by state, so tip pooling software can alert you when a distribution setup may violate minimum wage laws or eligibility requirements. Some tip distribution software even generates reports to help prove compliance during audits or labor investigations.

Multiple location support

If you’re running more than one restaurant, or planning to grow, look for a platform that centralizes your tip pooling across locations. This allows you to apply consistent rules, monitor performance, and keep oversight simple across locations.

Detailed reporting

Tip pooling software should give you access to payout history, pool configurations, and employee earnings so you can monitor patterns and optimize your setup. Plus, a digital paper trail is also useful for audits or adjusting policies based on actual data.

Customer support

Even the best software can run into hiccups. When it does, you’ll want responsive, knowledgeable support that knows how restaurants work. Look for platforms that offer onboarding help, real-time chat, or even restaurant-specific support teams who can walk you through complex setups or rule changes.

Best restaurant tip pooling software options in 2025

1. Homebase – Best for hourly teams and growing businesses

  • Best for: Small to mid-sized restaurants with hourly workers
  • Key features: POS integrations, automatic calculations, payroll sync, team messaging
  • Mobile app: Yes
  • Starting price: Free plan available; paid plans from $24/month
  • POS integrations: Square, Clover, Toast, Shopify, Payanywhere, GoDaddy, Talech, Lightspeed, Revel
  • Why we like it: All-in-one solution with built-in hiring, restaurant employee scheduling, and payroll features—no need to juggle multiple platforms

2. TipHaus — Best for larger establishments

  • Best for: Multi-location restaurants or groups
  • Key features: Flexible tip pooling configurations, real-time tracking, automated payout
  • Mobile app: Yes
  • Starting price: Contact for a quote
  • POS integrations: Toast, Square, Clover, Aloha, SkyTab, Heartland, Tonic, POSitouch, and more
  • Notable: Easy-to-use tool and known for strong customer support

3. Kickfin — Best for immediate payouts

  • Best for: Restaurants that want real-time, cashless tips management
  • Key features: Instant direct deposit, compliance tools, no cash needed
  • Mobile app: No app, but they have a web browser you can access on mobile
  • Starting price: Contact for a quote
  • POS integrations: Toast, Square, Skytab, Aloha, Heartland, POSitouch, Future POS, Harbortouch, and more
  • Notable: Employees choose to be paid instantly or via payroll

4. Push Operations — Best for restaurants with a big HR focus

  • Best for: Restaurants that want HR + payroll + tip pooling in one platform
  • Key features: Tips management, scheduling, time tracking, HR tools
  • Mobile app: Yes
  • Starting price: Contact for a quote
  • POS integrations: TouchBistro, Lightspeed, Toast, Square, Clover, Auphan, Givex, Squirrel, and more
  • Notable: Allows staff to access their HR and payroll documents in one place

5. Toast Tips Manager — Best for teams already using Toast POS

  • Best for: Toast users looking for tip management within their existing system
  • Key features: Direct sync with Toast sales data, flexible rule sets
  • Mobile app: Through Toast
  • Starting price: Add-on for your existing Toast plan
  • POS integrations: Toast
  • Notable: Limited to Toast ecosystem

6. Branch — Best for flexible teams and gig workers

  • Best for: Restaurants with fluctuating schedules and part-time staff
  • Key features: Instant payments, flexible pay schedules, digital wallet
  • Mobile app: Yes
  • Starting price: Free plan available 
  • POS integrations: Toast, 7shifts, PDQ, Revel, Nusutus, FoodTec, Revel, Aloha, and SpotOn
  • Notable: Offers earned wage access and financial wellness tools

7. SpotOn — Best for restaurants already using SpotOn POS

  • Best for: Businesses already on the SpotOn ecosystem
  • Key features: POS-integrated tipping, customizable tip sharing
  • Mobile app: Yes
  • Starting price: Included in paid tiers for POS, or get a custom quote
  • POS integrations: SpotOn POS
  • Notable: Limited to SpotOn ecosystem

Treat your team right with tip pooling

Automating tip pooling builds a stronger, more satisfied team. When employees know their pay is fair, transparent, and accurate, they’re more likely to trust you and work together better.

When you’re comparing tip distribution software, try them before you commit. Most tools, including Homebase, offer free trials or demos. Take advantage of these offers to really get a feel for each tool and see which one works best for you and your team.

“Homebase has helped us run a much smoother operation amongst our always changing and growing market & restaurant - with key elements of scheduling, time cards, internal messaging, and documenting cash tips. It makes these critical pieces of the operation much easier to keep organized and current. We recommend Homebase for any type of business!” — Ashlea Hogancamp, Owner & Co-founder, Herban Market

Ditch your tip spreadsheets and payroll prep and simplify tip pooling today with a tool that works for your whole team. 

Try Homebase for free and see how easy tip pooling can be.

FAQs about restaurant tip pooling software

What are different methods of tip distribution?

Different methods of tip distribution include even split, hours worked, role-based, and points-based. 

  • Even split: Equal tips for all staff
  • Hours worked: Based on how long each team member worked that shift
  • Role-based: Different percentages based on job title (e.g., server vs. busser)
  • Points-based: Roles are assigned points, and tips are divided accordingly

What states require tip pooling?

States don’t require tip pooling. Most states permit tip pooling, but there are federal and state laws about how to handle tips and tipped employees.

For example, in 2018, a federal law was enacted to allow back-of-house staff to be eligible for tip pooling. And on the state level, for example, California allows tip pooling, but only certain employees can receive tips (back-of-house staff are excluded from tip pools).

If you want to learn more, read our article all about federal and state tip laws.

What is the minimum wage for tip pooling?

The federal minimum wage for tipping pooling in the U.S. is $2.13/hour if tip credit is applied. However, many states set their own minimums. For example, California requires that tipped employees are paid a minimum wage of $16.50 before tips.

Employers must ensure that combined wages and tips meet the standard minimum wage, or they must make up the difference.

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Remember: This is not legal advice. If you have questions about your particular situation, please consult a lawyer, CPA, or other appropriate professional advisor or agency.

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