Can You Accept Tips via Mobile Payment?

Mobile payments offer merchants and other small businesses an affordable, convenient way to accept credit cards and to improve their customer service. But what about waitstaff and other service providers who receive tips as part of their income? Do they get shafted? Absolutely not.

Tipping Is Easy

Most mobile payments systems allow for the inclusion of tips on bills, tabs, or checks. For example, GoPayment allows service providers to turn on a Tips setting, which activates a series of screens that permits customers to add a tip to their purchase total.

Here’s how the Tips setting works:

  • After you’ve processed a transaction with GoPayment on a smartphone, the signature screen appears with a green Add Tip box in the upper left corner.
  • If your customer chooses that option, another screen appears with a series of boxes corresponding to numerical percentages inside them (5%, 10%, 15%, etc.).
  • To leave a tip, the customer selects a percentage box, and the updated total bill appears with the tip included.
  • If the customer agrees with the new total, they tap the Apply Tip button to return to the signature screen, where they sign the touchscreen field to complete the transaction.

This method of tipping offers distinct advantages to those who count gratuities as a substantial portion of their income. For starters, it enables customers who don’t carry much to leave a more generous tip. In addition, it encourages patrons to be more generous, especially when the mobile payment is processed by the employee who served them, such as a waiter handling the transaction table-side at a restaurant.

But perhaps the best part of the tipping process with mobile payments is that customers don’t have to do any math: The tip percentages are listed on the smartphone screen and the total is calculated for them.

Tracking Is Easy

Beyond providing a simple way for customers to tip, GoPayment can also keep track of tips for each server or staff member. Then, at the end of the business day, night, week, or pay period, the small-business owner can easily tabulate the total tips each employee has earned and either pay them out of the cash drawer, cut them a check, or deposit the funds electronically via direct deposit. A business owner can also analyze the tip data to determine which employee is receiving the most tips per shift — and see who’s providing the best customer service.

So, if you’ve been resisting the mobile payments trend because of anxieties regarding reduced tips for your employees, you can put that concern to rest. GoPayment and its Tips setting may even help them earn more.

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