Archive for January 2026
Overtime + Tips: A Washington-Specific Pressure Point
In Washington, tips generally do not count toward the regular rate of pay for overtime, but wages absolutely do. That means payroll systems must cleanly separate: Straight wages Overtime wages Tip income Service charges (which are not tips) When employees work multiple roles — especially common in Bellevue venues with bar, dining, and event service…
Read MoreService Charges vs. Tips: A Frequent Seattle/Bellevue Issue
Service charges are not tips under Washington law. They are considered employer revenue unless explicitly designated otherwise, and they: Must be reported differently May count toward regular wages Can affect overtime calculations Payroll systems that lump service charges and tips together create serious compliance exposure. Employees often assume service charges are tips, and if payroll…
Read MoreBusiness Size Has a Major Impact on Payroll Complexity and Regulatory Requirements
Business size has a major impact on payroll complexity and regulatory requirements, and the effects vary depending on the industry. When onboarding payroll clients, understanding how large the business is—and what sector it operates in—helps anticipate compliance thresholds, reporting needs, and system configurations. Below is an overview of how business size influences payroll in several…
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