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Centsless processes tips with FLSA compliance built in — ceiling rounding always favors employees, so no tip amount is ever rounded down. Tip pools support equal, weighted, and hours-based distribution, and the wage theft detection endpoint surfaces patterns that may indicate unauthorized deductions or below-minimum-wage violations.

Recording a cash tip

Use POST /tip/cash to record a cash tip against a completed transaction. Required fields: transaction_id, employee_id, employee_name, tip_amount (in dollars).
Cash tip rounding uses FLSA-compliant ceiling rounding — fractional cents always round up, never down, in favor of the employee.

Recording a credit card tip

Use POST /tip/credit-card with the same fields as a cash tip. The endpoint creates an audit trail for the credit card tip.

Creating and distributing a tip pool

Tip pools let you aggregate tips across multiple employees and distribute them using a defined method. The flow is two steps: create the pool, then distribute it. Step 1 — Create the pool with POST /tip/pool/create: Required fields: pool_name, tip_ids (array of tip IDs to include), distribution_method (equal, weighted, or hours_based), and participants (array of employee objects with employeeId and employeeName).
Step 2 — Distribute the pool with POST /tip/pool/distribute. Pass the pool_id returned from the create step:

Processing an employee payout

Use POST /tip/payout to process a tip payout to an employee. Required fields: employee_id, employee_name, payout_amount, payout_method (cash, check, or direct_deposit).

Validating tip credit compliance

Use POST /tip/validate-compliance to check whether a merchant’s tipping practices comply with state-specific tip credit regulations and FLSA requirements. Required fields: state, hourly_wage (dollars), average_tips_per_hour (dollars).
The response indicates whether the combination of hourly wage and tip income satisfies the applicable state and federal minimum wage requirements.

Wage theft detection

Use GET /analytics/tip-wage-theft to analyze tip patterns across your merchants for potential wage theft indicators. The endpoint surfaces patterns including:
  • Tip skimming — tips recorded but not disbursed to employees
  • Unauthorized deductions — amounts withheld from tip totals without a valid reason
  • Below-minimum-wage violations — hourly compensation falling below state or federal minimums after accounting for tips