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Food Service Restaurants

Top 10 Best Tip Management Software of 2026

Discover the top 10 best tip management software to streamline your workflow. Compare features & pick the best fit—click to read more!

Sarah Mitchell

Sarah Mitchell

Feb 11, 2026

10 tools comparedExpert reviewed
Independent evaluation · Unbiased commentary · Updated regularly
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In the dynamic hospitality industry, effective tip management is essential for fostering staff equity, optimizing operational efficiency, and enhancing guest experiences. With a spectrum of tools now available—from automation and pooling to instant payouts and reporting—choosing the right software can transform how businesses handle tips, making it both fairer and more streamlined. Below, our curated list of the top 10 solutions addresses this need, featuring options tailored to diverse operational scales and needs.

Quick Overview

  1. 1#1: TipHaus - Automates tip pooling, tracking, and equitable distribution for restaurant staff.
  2. 2#2: Kickfin - Provides instant tip payouts and comprehensive tip management for hospitality teams.
  3. 3#3: Locket - Offers a digital tip jar and management system for seamless guest tipping and staff payouts.
  4. 4#4: 7shifts - Integrates tip tracking and reporting with employee scheduling for restaurants.
  5. 5#5: Toast - Delivers advanced tip reporting, pooling, and compliance features within its restaurant POS platform.
  6. 6#6: Homebase - Facilitates tip pooling and payout tracking alongside time clock and scheduling tools.
  7. 7#7: TouchBistro - Manages tip collection, splitting, and reporting through its iPad-based POS system.
  8. 8#8: Revel Systems - Handles customizable tip prompts, pooling, and sales reports in its cloud POS solution.
  9. 9#9: Square - Supports flexible tip screens and easy tip tracking for small businesses via its POS app.
  10. 10#10: Clover - Enables tip management and reporting integrated with its hardware and software POS ecosystem.

We rigorously evaluated tools based on key factors including feature depth, ease of use, integration potential, and overall value, ensuring a balanced ranking that serves both small businesses and larger hospitality operations.

Comparison Table

This comparison table simplifies choosing the right tip management software, featuring tools like TipHaus, Kickfin, Locket, 7shifts, Toast, and more. It breaks down key functionalities—from ease of use to reporting capabilities—and compares practical details to help readers align options with their specific needs, offering a clear, actionable overview for businesses seeking efficient solutions.

1TipHaus logo9.7/10

Automates tip pooling, tracking, and equitable distribution for restaurant staff.

Features
9.8/10
Ease
9.5/10
Value
9.4/10
2Kickfin logo9.1/10

Provides instant tip payouts and comprehensive tip management for hospitality teams.

Features
9.5/10
Ease
8.8/10
Value
8.7/10
3Locket logo8.7/10

Offers a digital tip jar and management system for seamless guest tipping and staff payouts.

Features
9.2/10
Ease
8.4/10
Value
8.1/10
47shifts logo8.6/10

Integrates tip tracking and reporting with employee scheduling for restaurants.

Features
9.1/10
Ease
8.3/10
Value
8.0/10
5Toast logo7.8/10

Delivers advanced tip reporting, pooling, and compliance features within its restaurant POS platform.

Features
8.2/10
Ease
7.5/10
Value
7.0/10
6Homebase logo7.8/10

Facilitates tip pooling and payout tracking alongside time clock and scheduling tools.

Features
7.5/10
Ease
8.5/10
Value
8.0/10

Manages tip collection, splitting, and reporting through its iPad-based POS system.

Features
8.1/10
Ease
8.4/10
Value
6.7/10

Handles customizable tip prompts, pooling, and sales reports in its cloud POS solution.

Features
8.2/10
Ease
7.9/10
Value
7.1/10
9Square logo7.8/10

Supports flexible tip screens and easy tip tracking for small businesses via its POS app.

Features
7.5/10
Ease
9.2/10
Value
8.5/10
10Clover logo7.6/10

Enables tip management and reporting integrated with its hardware and software POS ecosystem.

Features
7.8/10
Ease
8.2/10
Value
7.2/10
1
TipHaus logo

TipHaus

specialized

Automates tip pooling, tracking, and equitable distribution for restaurant staff.

Overall Rating9.7/10
Features
9.8/10
Ease of Use
9.5/10
Value
9.4/10
Standout Feature

AI-driven fair tip distribution engine that customizes pools based on roles, hours, and sales contributions

TipHaus is a leading tip management software tailored for restaurants, bars, and hospitality businesses, automating tip pooling, distribution, and IRS-compliant reporting. It integrates seamlessly with popular POS systems like Toast, Square, and Clover, enabling real-time tip tracking and employee self-service declarations via mobile app. The platform ensures fair tip splits, minimizes disputes, and provides detailed analytics for payroll and compliance.

Pros

  • Seamless integrations with major POS systems for effortless data sync
  • Advanced compliance tools including IRS Form 8027 automation and tip credit calculations
  • Intuitive mobile app for employee tip declarations and real-time payouts

Cons

  • Higher pricing tiers may strain very small operations
  • Initial setup requires configuration for complex pooling rules
  • Primarily US-focused, with limited international tax compliance

Best For

Mid-sized to large hospitality businesses needing automated, compliant tip pooling and real-time reporting.

Pricing

Starts at $99/month per location for basic plan; scales to $299+/month with advanced features and employee volume.

Visit TipHaustiphaus.com
2
Kickfin logo

Kickfin

specialized

Provides instant tip payouts and comprehensive tip management for hospitality teams.

Overall Rating9.1/10
Features
9.5/10
Ease of Use
8.8/10
Value
8.7/10
Standout Feature

Ultra-fast instant tip payouts to employees' preferred methods without holding funds overnight

Kickfin is a specialized tip management platform for restaurants and hospitality businesses, enabling instant digital payouts of tips to employees via bank accounts, Venmo, PayPal, Cash App, and more. It automates tip pooling, allocation, and compliance with tax regulations while integrating seamlessly with over 100 POS systems like Toast, Square, and Lightspeed. The software offers real-time reporting, audit trails, and analytics to simplify tip tracking and disbursement.

Pros

  • Instant payouts in under 60 seconds to multiple digital wallets and banks
  • Seamless integrations with 100+ POS systems for automated tip data syncing
  • Comprehensive compliance tools including tax reporting and tip pooling rules

Cons

  • Per-payout fees can accumulate for very high-volume operations
  • Initial POS integration setup may require technical support
  • Limited advanced customization for complex multi-location tip policies

Best For

Mid-sized to large restaurants and hospitality chains seeking efficient, compliant instant tip payouts to boost employee satisfaction.

Pricing

Flat per-payout fees starting at $0.30 for pooled tips and $1.20 for direct tips, with volume discounts and no mandatory monthly fees for most plans.

Visit Kickfinkickfin.com
3
Locket logo

Locket

specialized

Offers a digital tip jar and management system for seamless guest tipping and staff payouts.

Overall Rating8.7/10
Features
9.2/10
Ease of Use
8.4/10
Value
8.1/10
Standout Feature

Automated IRS tip reporting and 1099 form generation directly from pooled data

Locket is a specialized tip management platform for restaurants and hospitality businesses, automating tip pooling, distribution, and compliance reporting. It integrates with major POS systems like Toast and Square to track tips in real-time and ensures fair allocation based on customizable pool rules. The software also handles IRS-compliant reporting, including 1099 forms, reducing administrative burdens for managers.

Pros

  • Robust POS integrations for seamless tip tracking
  • Automated compliance tools including IRS 1099 reporting
  • Employee-facing mobile app for real-time payout visibility

Cons

  • Pricing can be steep for very small venues
  • Setup requires initial configuration with POS
  • Primarily US-focused with limited global tax support

Best For

Mid-sized restaurants and chains needing automated, compliant tip pooling and reporting.

Pricing

Starts at $149/month per location (billed annually), with enterprise plans custom-priced based on volume.

Visit Locketgetlocket.com
4
7shifts logo

7shifts

specialized

Integrates tip tracking and reporting with employee scheduling for restaurants.

Overall Rating8.6/10
Features
9.1/10
Ease of Use
8.3/10
Value
8.0/10
Standout Feature

Real-time POS tip syncing with automated pooling and IRS-compliant reporting

7shifts is a comprehensive restaurant workforce management platform that includes specialized tip management tools for tracking, pooling, and distributing tips. It integrates seamlessly with popular POS systems to capture tip data accurately and automates calculations for fair pools and compliance reports like IRS 7(i). Designed primarily for restaurants, it combines tip handling with scheduling, time tracking, and payroll for streamlined operations.

Pros

  • Seamless POS integrations for real-time tip tracking and accuracy
  • Automated tip pooling, distribution, and compliance reporting (e.g., 7(i) forms)
  • Tight integration with scheduling and payroll for holistic restaurant management

Cons

  • Overkill and higher cost for businesses needing only basic tip management
  • Steeper learning curve due to extensive feature set beyond tips
  • Limited customization for non-restaurant tipped industries

Best For

Restaurant operators who want an all-in-one workforce solution with robust, compliant tip management integrated into daily operations.

Pricing

Starts at $29.99 per location/month (Essentials plan); Pro at $52.99, Advanced and Enterprise custom; 14-day free trial.

Visit 7shifts7shifts.com
5
Toast logo

Toast

enterprise

Delivers advanced tip reporting, pooling, and compliance features within its restaurant POS platform.

Overall Rating7.8/10
Features
8.2/10
Ease of Use
7.5/10
Value
7.0/10
Standout Feature

Real-time tip pooling directly synced with POS transactions for instant accuracy and audit trails

Toast is a full-service restaurant POS platform with integrated tip management tools that automate tip calculations, pooling, and payouts based on sales data. It offers customizable tip distribution rules, detailed reporting for payroll and tax compliance, and guest-facing tip prompts on receipts. While primarily a POS system, its tip features streamline operations for tipped staff in hospitality settings.

Pros

  • Seamless POS integration for real-time tip tracking and accuracy
  • Flexible tip pooling configurations supporting multiple strategies
  • Robust reporting and payroll exports for compliance

Cons

  • High pricing tied to full POS subscription
  • Steep learning curve for non-POS users
  • Limited standalone functionality outside Toast ecosystem

Best For

Restaurants and bars already using Toast POS that need reliable, integrated tip management.

Pricing

Starts at $69/month per location plus processing fees (2.99% + $0.15 per transaction); tip management included in core plans with hardware costs extra.

Visit Toasttoasttab.com
6
Homebase logo

Homebase

other

Facilitates tip pooling and payout tracking alongside time clock and scheduling tools.

Overall Rating7.8/10
Features
7.5/10
Ease of Use
8.5/10
Value
8.0/10
Standout Feature

Automated tip pooling tied directly to verified shift hours and roles for fair, compliant distribution

Homebase is a comprehensive workforce management platform with built-in tip management tools designed for tipped industries like restaurants and hospitality. It allows employees to log tips via a mobile app, supports customizable tip pooling strategies, and generates detailed reports for payroll, taxes, and compliance. Integrated with scheduling and time tracking, it streamlines tip distribution while reducing administrative errors.

Pros

  • Seamless integration with scheduling and time tracking for accurate tip allocation
  • User-friendly mobile app for quick tip logging by employees
  • Customizable tip pools and automated report generation for compliance

Cons

  • Tip management requires a paid plan (not available in free tier)
  • Lacks advanced analytics or forecasting specific to tips compared to dedicated tools
  • Best suited as part of broader HR suite, not standalone tip software

Best For

Small to mid-sized hospitality businesses needing integrated scheduling, time tracking, and basic tip management without complex standalone systems.

Pricing

Free for 1 location (limited features); Essentials $29.99/location/month (includes tip management), Plus $59.99, Premium $149.99 (billed annually).

Visit Homebasejoinhomebase.com
7
TouchBistro logo

TouchBistro

enterprise

Manages tip collection, splitting, and reporting through its iPad-based POS system.

Overall Rating7.6/10
Features
8.1/10
Ease of Use
8.4/10
Value
6.7/10
Standout Feature

Automated tip pooling that calculates and distributes shares based on customizable rules like hours worked or sales performance

TouchBistro is a full-featured restaurant POS system that includes integrated tip management capabilities, allowing servers to prompt for and collect tips directly during transactions. It supports customizable tip percentages, tip pooling, and automated distribution based on shifts or hours worked. Detailed reporting provides insights into tip earnings, payouts, and trends, making it suitable for busy restaurant environments where tip handling is embedded within broader operations.

Pros

  • Seamless tip collection integrated with POS transactions
  • Flexible tip pooling and automated distribution options
  • Comprehensive tip reporting and analytics

Cons

  • High cost primarily driven by full POS features, not tip-specific
  • Overkill for businesses needing only tip management
  • Requires reliable internet and hardware investment

Best For

Full-service restaurants looking for an all-in-one POS with reliable, integrated tip handling rather than standalone tip software.

Pricing

Starts at $69 per terminal/month (billed annually), plus one-time hardware costs (~$500+ per terminal) and payment processing fees (2.3%+).

Visit TouchBistrotouchbistro.com
8
Revel Systems logo

Revel Systems

enterprise

Handles customizable tip prompts, pooling, and sales reports in its cloud POS solution.

Overall Rating7.8/10
Features
8.2/10
Ease of Use
7.9/10
Value
7.1/10
Standout Feature

Automated tip pooling with customizable rules and real-time floor adjustments via mobile iPad interface

Revel Systems is a cloud-based iPad POS platform primarily for restaurants and retail, featuring integrated tip management tools for handling tip entry, pooling, and payouts. It provides real-time tip reporting, customizable distribution rules, and compliance features like audit trails to meet labor regulations. While not a standalone tip solution, its seamless POS integration makes it efficient for high-volume hospitality operations managing tips alongside sales.

Pros

  • Seamless integration with POS for real-time tip tracking and sales data
  • Flexible tip pooling and auto-distribution options
  • Robust reporting and compliance tools for audits

Cons

  • High cost as a full POS system, overkill for tip-only needs
  • Requires iPad hardware and setup, not purely software-based
  • Learning curve for advanced tip configurations

Best For

Busy restaurants and bars needing an all-in-one POS with reliable tip management embedded in daily operations.

Pricing

Starts at $99/month per terminal (Core plan), plus hardware ($500+ per iPad), processing fees (2.3%+), and custom enterprise pricing.

Visit Revel Systemsrevelsystems.com
9
Square logo

Square

enterprise

Supports flexible tip screens and easy tip tracking for small businesses via its POS app.

Overall Rating7.8/10
Features
7.5/10
Ease of Use
9.2/10
Value
8.5/10
Standout Feature

Customizable suggested tip percentages on terminals and digital receipts to boost gratuity collection

Square is a versatile point-of-sale (POS) and payment processing platform that includes built-in tip management capabilities for businesses in hospitality and services. It enables customizable tip prompts on receipts and terminals, real-time tip tracking per employee, and detailed reporting for payouts and taxes. While not a standalone tip solution, its seamless integration with transactions makes it efficient for capturing and distributing gratuities without extra apps.

Pros

  • Intuitive setup for tip prompts and employee tracking
  • Real-time tip reports integrated with sales data
  • No monthly software fees, only per-transaction processing

Cons

  • Limited advanced features like automated tip pooling or complex distribution rules
  • Requires Square hardware or app for full functionality
  • Transaction fees can add up for high-volume tipping businesses

Best For

Small restaurants, cafes, and service businesses using Square POS that need simple, integrated tip handling without dedicated software.

Pricing

Free POS software with no monthly fees; 2.6% + 10¢ per in-person transaction, 2.9% + 30¢ for online/keyed.

Visit Squaresquareup.com
10
Clover logo

Clover

enterprise

Enables tip management and reporting integrated with its hardware and software POS ecosystem.

Overall Rating7.6/10
Features
7.8/10
Ease of Use
8.2/10
Value
7.2/10
Standout Feature

Highly customizable tip screens and prompts that adapt to encourage higher tips based on business preferences

Clover is a versatile point-of-sale (POS) system that includes tip management features tailored for restaurants and service-based businesses, allowing customizable tip prompts on receipts and screens. It enables real-time tracking of tips collected via integrated payment processing, with reporting tools for monitoring tip earnings by employee or shift. While not a standalone tip management solution, it supports basic tip pooling through add-on apps from the Clover App Market.

Pros

  • Seamless integration with POS and payment processing for accurate tip collection
  • Customizable tip percentage presets and open-tip options to boost collections
  • User-friendly reporting dashboards for tip tracking and payouts

Cons

  • Limited native advanced tip pooling or distribution without third-party apps
  • Higher costs due to required hardware and transaction fees
  • Overkill for businesses only needing tip management without full POS

Best For

Small to medium restaurants and bars seeking integrated POS with reliable basic tip handling.

Pricing

Software plans start at $14.95/month (Register Lite) up to $99.85/month (full suite), plus hardware from $49 and 2.3% + $0.10 per transaction.

Visit Cloverclover.com

Conclusion

Among the reviewed tip management solutions, TipHaus leads with its strong focus on automating tip pooling, tracking, and equitable distribution, making it the top recommendation. Kickfin follows closely, impressing with instant payouts and comprehensive features for hospitality teams, while Locket stands out for its seamless digital tip jar and streamlined guest-to-staff payment process. Each tool offers distinct benefits, but TipHaus excels in delivering end-to-end efficiency.

TipHaus logo
Our Top Pick
TipHaus

Don’t miss out on optimizing your tip management—try TipHaus to experience smoother operations and more fair, transparent practices for your team.