Adding allocation level gross receipts for the hours worked method

With the Hours Worked method of calculating tip shortfall, the application determines the shortfall by the ratio of hours worked by a tipped employee to the total hours worked by all tipped employees in the allocation level for the same tip period.

The Hours Worked method uses the hours worked by tipped employees in tipped jobs tracked by Tip Calculation (TP135), in the calculation of shortfall allocation.

Use Hours Worked Allocation (TP10.1) to enter gross receipts records to use in the Hours Worked method of calculating shortfall allocations for specific allocation levels.

Through Hours Worked Allocation (TP10.1) you can record charged tips, charged receipts, and service charges of less than 10 percent paid as wages to employees. The application uses this optional information for year-end federal reporting.

Before you process tip reports, you must define the company, process level, department, or shift allocation level parameters. Setting up Tips

Note: For year-end federal reporting, on Hours Worked Allocation (TP10.1), you can add charged tips, charged receipts, and service charges of less than 10 percent paid as wages to employees.

Add allocation level gross receipts for the hours worked method

  1. Access Hours Worked Allocation (TP10.1).
  2. Select a Company, Process Level, Department, or Shift to create gross receipts records for the Hours Worked Method of calculating the shortfall allocation for the Company, Process Level, Department, or Shift allocation level.
  3. Complete the form. Use the following guidelines to enter field values:
    Date

    Type the date of the transaction.

    If you do not type a date, the application date defaults.

    With form action Inquire, this field is required.

    Gross Receipts

    Type the gross receipts for the date entered.

    If you did not enter a date, the application date defaults.

    Charged Tips

    Type the amount of charged tips for the allocation level and date entered.

    Charged Receipts

    Type the amount of charged allocable receipts for the allocation level and date entered.

    Service Charges

    Type the total amount of service charges of less than 10 percent paid as wages to employees.

  4. Select the Add form action to add the form.

Related reports and inquiries

To Use
Report the gross receipts of allocation levels that use the Hours Worked method of calculating shortfall or to report any charged tips, charged receipts, and service charges of less than 10 percent paid as wages to employees added in Hours Worked Allocation (TP10.1) Gross Receipts Edit by Hours Worked (TP115)
Related topics