Free staff pay & hr tool
Tip Pooling Calculator: Split Tips by Hours or Points
To split a tip pool, divide each person's hours (or points) by the total hours (or points), then multiply by the pool. A $600 pool split among people who worked 30, 20 and 10 hours pays $300, $200 and $100. Who may share in a pool is set by federal and state law, so check eligibility, including for managers and owners, before you use the result.
Prepared by Prospyr · Reviewed October 11, 2026 · Free, no sign-up, runs in your browser
Names stay in your browser. They are not sent or added to the page address.
Each person's share
$600.00total
- Team member 1 (30 hours)$300.00
- Team member 2 (20 hours)$200.00
- Team member 3 (10 hours)$100.00
Share = pool × person's hours ÷ total hours (60). Leftover cents go to the largest remainders so the shares add up to the pool.
Not legal advice. Who may take part in a tip pool, including whether managers, supervisors or owners can, is set by federal and state law, and rules differ by state. Check them with your state labor department or an employment attorney before you run a pool.
Running payroll for a growing team? Work out the full cost of a team member, not just the pay →
The formula
Share = pool × person's hours (or points) ÷ everyone's hours (or points).
Worked example with placeholder numbers: a $600 pool and hours of 30, 20 and 10 give $300, $200 and $100. For a $100 pool and three people with equal hours, the exact share is $33.333, so the calculator pays $33.34, $33.33 and $33.33.
Check the rules before you pool
A calculator can split the money; it cannot tell you who is allowed to receive it. Eligibility, whether you may require a pool, and how tips must be recorded and reported are set by federal and state law and can change. Read the sources below, and check with your state labor department or an employment attorney. This is not legal advice.
Related tools
Work out regular and overtime pay with the overtime calculator, plan variable pay with the commission calculator or the bonus calculator, and see the full cost of a team member with the employee cost calculator.
Frequently asked questions
How do you split a tip pool by hours?
Add up everyone's hours, divide each person's hours by that total, and multiply by the pool. With a $600 pool and hours of 30, 20 and 10 (60 in total), the shares are 50%, 33.3% and 16.7%, or $300, $200 and $100.
How does a points system work?
Give each role a number of points that reflects how your practice weighs it, then use the same split with points in place of hours. Some practices multiply hours by a role value; to do that, enter the product (for example 10 hours × 1.5) as the person's points.
Who can be included in a tip pool?
That depends on federal and state law and on how your pay is set up, and the rules differ by state. Federal law says an employer may not keep tips, including by letting managers or supervisors keep any part of them. Check your state labor department or an employment attorney before you decide who is in.
Are tips taxable?
Employees must report tips they receive, including amounts from a tip pool, to the employer, and the IRS page linked below describes the employer duties that follow, such as withholding on reported tips. Ask your accountant how it applies to you.
How are cents handled?
The calculator works in whole cents. It gives each person the rounded-down amount, then hands the leftover cents out one at a time to the people with the largest remainders, so the shares always add up to the pool exactly. A $100 pool among three equal people pays $33.34, $33.33 and $33.33.
Are the names I type saved?
No. Names and numbers stay in your browser, are not sent anywhere and are not added to the page address. They clear when you reload.
Sources and scope
- 29 U.S.C. 203, Fair Labor Standards Act definitions (Cornell Legal Information Institute)
Section 203(m)(2) says an employer may not keep employees' tips, including by letting managers or supervisors keep any portion, and allows pooling among employees who customarily and regularly receive tips.
- IRS: Tip recordkeeping and reporting
Describes employer duties for reported tips, including tips received through tip pools.
Arithmetic on the numbers you enter. Not legal, tax or payroll advice. Tip-pool eligibility, including for managers, supervisors and owners, is set by federal and state law; check it before you run a pool.