Tipped Wage Calculator

What do you really earn per hour once tips and tip-out are counted? Enter your base hourly rate, hours worked, total tips and the percentage you tip out, and you'll see your take-home and your true effective hourly rate. Updates as you type.

How it works

take-home = base × hours + tips × (1 − tip-out %)

effective hourly = take-home ÷ hours

• Tip-out is the cut you pass to bussers, bar or the pool — set it to your house rule.
• Effective hourly is the honest number to compare shifts and jobs by.
• Tips are taxable — set money aside; this shows gross before tax.

An educational estimate of gross pay. It excludes tax and assumes tip-out is a flat % of tips. Not financial advice.

FAQ

How do I calculate my real hourly wage with tips?

Add your base pay (base rate × hours) to the tips you keep after tip-out, then divide by hours worked. If you make $8/hour base over 30 hours plus $250 in tips and tip out 15%, you keep $212.50 of tips, so total pay is $240 + $212.50 = $452.50, or about $15.08 an hour.

What is tip-out?

Tip-out is the share of your tips you pass to support staff — bussers, bartenders, runners or the tip pool. It is often a percentage of your tips or of your sales. This calculator subtracts your tip-out percentage from your tips before working out your take-home.

Are tips taxable?

Yes — in most places tips are taxable income and should be reported. This calculator shows gross take-home before tax so you can see your real earning rate; set aside money for tax separately based on your local rules.

Why calculate effective hourly pay?

Because base rate alone is misleading for tipped roles. Knowing your true hourly — across good and slow shifts — helps you compare jobs, pick the best shifts, and judge whether a section or schedule is worth it.

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