Tip-Out Calculator: What You Tip Out vs. Keep
Work out how much of your tips you tip out to support staff — and how much you actually keep — so you know your real take-home for a shift after the house tip-out.
Adjust the inputs and select Calculate for a full breakdown.
Compare Common Scenarios
How the numbers shift across typical situations for this calculator:
| Scenario | Tipped out | You keep |
|---|---|---|
| 20% of $300 tips ($60 out) | 60 | 240 |
| 15% of $250 tips | 37.5 | 212.5 |
| 30% of $400 tips | 120 | 280 |
| 5% of $2,000 sales (sales-based) | 100 | 1,900 |
How This Calculator Works
Enter the tip-out percentage and your tips for the shift. The calculator returns the amount tipped out and what you keep. If your restaurant tips out on a percentage of sales rather than tips, enter your total sales instead — but be aware that changes the math significantly.
The Formula
Percentage of an Amount
Amount is the base value, Percentage is the rate applied to it
Worked Example
Tipping out 20% of $300 in tips means $60 goes to support staff and you keep $240. Tip-outs compensate the team that helps you serve — bussers, bartenders, food runners, and hosts — and the percentage varies by restaurant, typically 15%–30% of tips. A crucial distinction: some houses tip out on a percentage of tips (as here), while others tip out on a percentage of sales, which can take a much bigger bite on a low-tip night, since you owe the tip-out even if a table stiffed you.
Key Insight
Tip-out structure has a big effect on a server's real earnings, and the percentage-of-tips versus percentage-of-sales distinction is the key thing to understand. Tipping out on tips is proportional — you tip out more when you make more — so a bad-tip night costs you less in tip-out. Tipping out on sales is riskier for the server: you owe a percentage of what you sold regardless of what you were tipped, so a table that runs up a big bill and leaves nothing can actually cost you money out of pocket on that table. Either way, your real take-home is tips minus tip-out, which is what this calculator shows. For budgeting and comparing jobs, always think in post-tip-out terms, and know your house's policy: who you tip out, at what rate, and on what base. Tip pooling (where all tips are combined and split by formula) is a different model again, and tip-out and pooling rules are also subject to labor laws about who can legally share in tips — managers generally can't. The fair, legal version distributes the tip-out to the staff who genuinely contribute to service.
Frequently Asked Questions
How is a tip-out calculated?
Multiply your tips by the tip-out percentage. Tipping out 20% of $300 in tips is $60 to support staff, leaving you $240. If your house tips out on a percentage of sales instead, apply the percentage to your total sales.
What's a typical tip-out percentage?
Often 15%–30% of tips, varying by restaurant and how many support roles share in it (bussers, bartenders, food runners, hosts). The exact rate and who's included is set by house policy, so confirm it when you start — it directly affects your take-home.
What's the difference between tipping out on tips vs. sales?
Tipping out on tips is proportional — you owe more only when you earn more. Tipping out on sales means you owe a percentage of what you sold regardless of your tips, so a table that tips poorly can cost you money out of pocket. The sales-based model is riskier for servers on low-tip nights.
Is tip-out the same as tip pooling?
No. Tip-out is when a server shares a portion of their tips with support staff. Tip pooling combines all tips and redistributes them by a formula. Both are common, but they're different structures — and both are governed by labor laws about who may legally share in tips.
Can managers share in the tip-out?
Generally no. Labor laws in many places prohibit managers and supervisors from sharing in employee tips or tip pools. Tip-outs are meant for staff who contribute to service (bussers, bartenders, runners, hosts). If you're unsure whether your house's policy is legal, check local tip rules.
Related Calculators
Methodology & Review
The tip-out is the tip-out percentage applied to the base (tips or sales); the remainder is what you keep. It models a single percentage tip-out and does not handle multi-role pooled-house formulas or tip-outs based on a percentage of sales rather than tips.
Written by Ugo Candido · Last updated May 22, 2026.