Just Launched: 7shifts Tip Payouts!

Just Launched: 7shifts Tip Payouts!
Brent Beatty

By Brent Beatty

For many in the hospitality industry, tipping is an integral part of their restaurant's culture. It influences the livelihoods of restaurant workers around the world. That's why we're so proud to launch a new product that simplifies the process for employers and employees alike. I'm excited to introduce Tip Payouts, an easy-to-use tip payment solution that empowers restaurant managers to send tips directly to employees' bank accounts in seconds.

We created Tip Payouts because we felt there should be an easier, faster way to pay out hard-earned tips. Our tip management journey started back in September 2021 with the release of our Tip Pooling feature, which covered the calculation portion of the process. Now with Tip Payouts and Payroll, the journey of how and when tips get distributed to employees is complete. With 7shifts, you can now manage your tips and your team all from the same platform.

How Tip Payouts works

Tip Payouts enables managers to pay tips instantly to their employees' existing debit accounts. A pre-funded float ensures there's always money available to send tips, and every transaction is tracked for easy referencing.

5 step graphic of 7shifts tip payout process

How Tip Payouts helps

You and your team will feel an immediate impact from Tip Payouts. By automating tip calculations and instantly paying out tips to employees digitally, managers save precious time from eliminating cash runs and counting. Customers using Tip Payouts have seen a 39% increase in time savings per week processing team payouts. They can spend less time managing tips and more time on the guests' experience. Plus, organized record keeping makes compliance easier, ensuring you can quickly reference documents for law and tax purposes.

Employees will appreciate the convenience and transparency Tip Payouts provides them. They can get their tips faster (no more delays) and have a digital record of all the tips they received. Increased transparency and trust means happier employees, and happier employees stay longer. It's a win/win.

The reviews are in

“I like to consolidate our vendors to save on costs and make things easier, and I know the direction that 7shifts is going. Tip Payouts is less than half the cost of our previous vendor. You guys innovate more than any other company I know—and so quickly.”
- Hollis Silva, Owner of The Melting Pot Spokane
“I don’t have to worry about misplacing cash, take time to go to the ATM, or wait for my manager to count the drawer and then wait for my money. It’s way easier and saves so much time.”
- Savannah Stoyka, Employee at Whitehall Tavern

Frequently Asked Questions

What's the difference between 7shifts Tip Pooling and Tip Payouts?

Tip Pooling and Tip Payouts are separate but complementary tip management features.

Tip Pooling calculates shared tips based on your restaurant's unique contribution and distribution rules. Avoid doing manual math and save hours every week. The data is available for you to use in any way you want, like exporting to payroll or syncing directly to Tip Payouts!

Tip Payouts deposits earned tips into individual employees’ debit accounts with just a few clicks. A direct transaction from restaurant to employee saves time and increases team happiness.

Is Tip Payouts secure?

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 to ensure your management team does not exceed a maximum transfer amount. 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.

What are the requirements to use Tip Payouts?

To be eligible for Tip Payouts:

  • Your restaurant must operate in the USA
  • Employees must have an eligible debit card
  • Employees must use the 7shifts mobile app to register account information

What if an employee doesn't have a debit card?

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.

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Brent Beatty
Brent Beatty

VP of Product @ 7shifts. He grew up in restaurants and has done it all from cooking and cleaning to serving, bartending, and managing. He now helps make team management easier for restaurants.