Understanding Cash Tips vs. Declared Tips in Tip Pools

When reviewing your Tip Pool report in 7shifts, you may come across two different types of tips: Cash Tips and Declared Tips. Understanding the difference between these can help with accurate tip tracking and payouts.

Declared Tips: Tips that an employee manually records on their punch at the end of their shift. These are tracked within 7shifts and can be used for reporting purposes. Declared tips is a feature that can only be enabled by an Admin.

Cash Tips: Tips paid out in cash directly to employees. 7shifts does not support pooling cash tips automatically.

How Tip Pools Handle Cash vs. Declared Tips

• 7shifts Tip Pools do not support Cash Tips. This means that any cash tips will not be automatically included in the tip pool calculations.
• If cash tips need to be included in a tip pool, create a manual tip pool or instruct employees to record cash tips as Declared Tips when they clock out.
• Some POS systems (e.g., Toast) may provide cash tip data, but this is only for reporting purposes (e.g., WH&W report). These cash tips will not be included in the automated 7shifts tip pool.

Declared & Cash Tips: POS vs. 7punches Behavior

The way declared and cash tips are handled depends on whether you’re using a POS integration or 7punches for time clocking. Keep the following in mind when reviewing or setting up your tip pools:

• POS integrations – Declared and cash tips cannot be brought into 7shifts unless the POS is also being used for time clocking.
• Punch requirement – Declared/cash tips are always tied to a punch. If no punch exists in the POS, the declared tips will not transfer. (In contrast, credit card tips are assigned to the employee who processed the payment and do not rely on punches.)
• 7punches with Declared Tips enabled – If Declared Tips are enabled in 7punches settings and “Declared Tips” are included in your tip pool setup, the declared tip data from 7punches will be used in the pool.
• 7punches without Declared Tips enabled – If Declared Tips isn't turned on in 7punches, including them in your tip pool setup won’t bring in any tip data.