Blog

Wow, it’s hard to believe that it has been 10 months since the watershed moment for UK hospitality, and the Allocation of Tips legislation became law. After years of ‘best practice’ advice and tronc tax arrangements that sought to bring...

The Employment (Allocation of Tips) Act 2023 has introduced significant changes to how tips, gratuities, and service charges are handled in the UK hospitality industry. Although the legislation does not stipulate the need for a tronc scheme, the requirements of...

Many hospitality businesses operating tronc schemes in the UK believe they need to establish a second PAYE scheme specifically for tronc payments. This is a common misconception that leads to unnecessary administrative burden and complexity. The belief stems from misunderstandings...

When you leave a tip at a restaurant or hotel, do you know where that money actually goes? Many places use a tronc scheme or “tip pooling” to share tips among all staff. While sharing sounds fair, these systems often...

Running a tronc scheme (a system for pooling and distributing tips among staff) seems straightforward, but mismanaging it can lead to legal issues, employee dissatisfaction, reputational damage and unwanted attention from HMRC. Here’s a comprehensive guide on pitfalls to avoid....

In the hospitality industry, understanding the nuances of tronc schemes and their tax implications can save businesses and employees significant amounts of money. One of the most important aspects to understand is that National Insurance Contributions (NICs) are not due...

Unlike countries such as the United States, where tipping culture is deeply embedded in the wage structure, the UK takes a different approach. This has evolved considerably in recent years, particularly with the introduction of the 2023 Employment (Allocation of...

Running a tronc scheme in your hospitality business brings many benefits. But the success of your tronc often comes down to one key person – your Troncmaster. It is so much more than a fancy title; the role comes with...

There is a lot of noise at the moment about how to distribute tips to employees following the Allocation of Tips Legislation that came into effect in October 2024. But another aspect of tips that also causes great confusion and...

In our latest blog, we answer some of the common questions asked of us by employees in the hospitality industry regarding tips received by businesses on behalf of employees and the implications of the new Allocation of Tips Act. If...

Contact us today to discuss your tronc and tipping service