Recording tips and how they were shared

Enter a tip pot per period, share it over approved hours, and keep the record the law now asks for.

2 min readUpdated Today
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The Employment (Allocation of Tips) Act requires a written tipping policy and a record of how tips were actually shared out. Paddl keeps the second half of that.

What Paddl does

You enter the pot for a site and a period, and Paddl shares it over the approved hours in that period and records the result. That is the whole scope. Paddl never moves any money, produces no payslip, and takes no view on whether a payment is taxable, who your troncmaster is, or how National Insurance applies. Those are questions for your accountant.

Entering a pot

A pot has a source: card, cash or service charge. They are kept separate because operators account for them separately. Enter the amount for the period, then share it out when the hours for that period have been approved.

How it is shared

In proportion to approved hours. Every line on a timesheet counts toward the tronc unless you exclude it, which you do with the tips checkbox on the timesheet line. Use it for a salaried role or any exclusion your written policy names.

The pennies always add up. Where a share does not divide evenly, the remainder goes to the largest share and is marked as carrying it, rather than disappearing. Sharing the same pot twice gives the same answer.

Changing a pot

Once a pot has been shared out, the allocation is the record. Changing the amount underneath it would leave a set of shares that no longer add up, so Paddl asks you to share it again instead.

You still need the written policy. The record of what happened is only half of what the Act asks for. The policy itself is a document you write and give to staff.

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