Ready to get started with Tip Payouts? Here's what happens next!
This Quick Start Guide outlines the benefits, onboarding process, and how payouts work. Through 7shifts, you can enter tip amounts for each employee and have that money directly deposited into their debit cards after a shift.
In a few simple clicks, you'll be digitally sending employee tips on the same day they're earned.
Got more questions? Start a live chat by clicking on the blue icon at the bottom right - our team is ready to show you everything you need to know! Learn more about starting a trial or booking a demo here.
3 Steps to Get Started
Here are three easy steps you'll need to take to start sending instant tip payouts:
Why teams love 7shifts Tip Payouts (and why you will too!)
For Admins/ Managers
It's a solution. Counting cash and ensuring that there is enough on hand causes unnecessary challenges at the end of a long day. This includes making trips to the bank to withdraw large sums of cash.
It saves you time. Automating the process, allows you to move faster and accomplish more on your checklist. Simplify your pay cycle and manage tips all in one place.
It's reliable. The digital movement of money leaves a paper trail so you can increase accountability. You can rely on reports to look back and see what happened - right when you need it.
Employees love it. It’s not surprising! Tips are deposited instantly and can be done while they're off-site. Boost employee retention and keep your talent happy.
For Employees
It's transparent. Employees can track their payment history and see the exact amount they're receiving.
It's immediate. Quick and immediate calculations mean Employees receive tips in a timely matter. There's no need to wait around on-site, or for payroll to receive tips.
It's safe and secure. Nobody wants to risk leaving work late at night with cash on hand. Instead, payment information is now stored securely and compactly.
Key Features
Auto Top-up Float Amount
Select an amount that you want in your 7shifts float account at all times. You'll have the flexibility to hold a maximum float amount of $30 000 within your account.
This ensures you'll always have the funds to pay out your staff. 7shifts will automatically top-up funds into the account when the balance falls below the amount you have set. We also recommend that you allocate 4x the amount of your busiest day of tips to account for bank processing times (typically 2-3 business days).
Secure Payout Limits
Each time you send a payment, you're able to send up to a set maximum of $2000 to each employee - and only what is currently the available balance in your Account. This acts as a safety net to prevent typing errors and incorrect amounts from being sent to a payee.
Flexible Payout Frequencies
As the user who is initializing the batch, you can determine your pay frequency. Whether that be daily, bi-weekly, or at the end of the week - this will be entirely up to you. We recommend using a consistent frequency and keeping in mind your local labour laws.
Please note that there is a transaction fee associated with each payment.
FAQs
Q: What's the difference between Tip Payouts and Tip Pooling?
A: Tip Payouts allows you to enter tip amounts for each employee and have that money directly deposited into their debit cards - a direct transaction from your restaurant to your employees.
Tip Pooling allows you to establish your own rules for contributing and distributing tips. The calculation is done for you and the results are available for you to use in any way you wish (for example, export to payroll)!
Currently, the two features work separately but are complimentary of one another. They do not synchronize data automatically.
Q: What are the requirements to use Tip Payouts?
A: To be eligible for Tip Payouts...
- Your restaurant must operate in the U.S.
- Employees must receive tips via an eligible debit card.
- Employees must be using the 7shifts mobile app to register account information.
Q: What do we do if an employee doesn't have a debit card?
A: If your Employee doesn't own a debit card, most prepaid debit cards will work. However, we recommend using Chime. Chime provides a free Visa Debit Card® with a Checking Account that can be managed directly from a smartphone. Click here to learn more about Chime.
Q: How do I run a Tip Payout report?
A: To run a Tip Payout report...
Log in as an Admin or Manager/Assistant Manager with permissions > click Reports in the top navigation bar > select Tip Payouts in the left-hand menu.
From here, you can use the filters to set a date range and Location. If you'd like, you can export the report as a CSV file onto your local device.
Q: Is Tip Payouts secure?
A: Yes. Security at 7shifts is our number one priority. You can trust 7shifts to keep your information secure and your funds safe. We have placed limits around the maximum amount that can be transferred, to ensure your management team does not exceed certain payout limits. You'll also be able to control which team members have permission to send payments.
7shifts is also FDIC-insured, so you can feel confident knowing your deposits are backed by the full faith and credit of the United States Government."
As well, our team constantly assesses ways to enhance the protection and security of your data across all platforms, ensuring that the necessary measures are taken. Here is how we secure & protect your information:
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Encryption. Data in transit is always encrypted and we meet or exceed industry best practices. All team members at 7shifts work on devices with encrypted storage.
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Backups & Disaster Recovery. We maintain backups of all our systems which are distributed to multiple regions for your safety.
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Data Residency. We leverage leading Cloud providers for infrastructure services. All our production and backup data is encrypted and resides in the US.
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Service Level Agreement (SLA). The SLA that governs our data is based on leading public Cloud provider(s) capabilities. We have alerting and monitoring in place that dispatched on-call team members 24/7/365. You can view our systems at https://status.7shifts.com.
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Software Security. Our team works under a secure development methodology and utilizes static and dynamic application security testing. We also maintain the least privilege principles to protect your data.
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Infrastructure Security. We leverage state-of-the-art security with the leading public Cloud provider(s) & regularly conduct vulnerability scans and penetration testing. We also patch and update our servers based on risk ranking the severity and impact you our services.
More information can be found in our Privacy Policy, and Terms of Service.
We also recommend that you enable 2-step Verification for an added layer of protection and security. Once enabled, we'll send a message to your trusted phone number whenever
a new payout batch is initiated, or a new float amount is set. If the person isn't you, we'll stop
them from taking either action. Click here to learn more!