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Common Tip Structures for Standard Restaurant Operations
Common Tip Structures for Standard Restaurant Operations

Operations, Common Tip Structures, Common Tip-Outs, Common Tip Practices, Tip Percentages

Nathan Andrus avatar
Written by Nathan Andrus
Updated over a week ago

Common Tip Structures for Standard Restaurant Operations

Scenario: Casual Table Service

Employees

  • Hosts

  • Busser/Runner

  • Servers

  • Bartenders

  • Back of House

Tip Distribution

Servers

Server Share Rules Time of Sale

  • Servers tip out the Hosts 0.5-1% of Total Sales

  • Servers tip out the Bartender(s) 5-10% of Alcohol Sales

  • Servers tip out the Busser/Runner 1% of Total sales

Server Share Rules Daily

  • Servers tip out Back of House 2-4% of Food Sales

Server Cut

  • After tipping out the Support Staff and Back of House, individual Servers retain their remaining tips

Bartenders

Bartender Share Rules Daily

  • Bartenders tip out Back of House 2-4% of Food Sales

Bartender Pool Time of Sale

  • Bartenders Pool tips amongst themselves

Managers/Owners

Managers/Owners Share Rules Daily

  • Managers/Owners distribute 100% of tips between Servers/Bartenders/Support/Back of House

To-Go Orders/Delivery

To-Go/Delivery Share Rules Daily

  • 100% of To-Go tips are distributed between the Host and Back of House

  • Delivery tips are retained by the fake employee where the sales are rung (DoorDash, OLO, Online Orders, Default Online Ordering) and sent back to the 3rd party delivery service from the restaurant's bank account at the end of the month.

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