The new tipping rules, handled properly
Tips are now tightly regulated. The Employment (Allocation of Tips) Act 2023 came into force on 1 October 2024, and it changes what employers must do with the money customers leave for staff.
Hospitality Accountants for Restaurants, Bars & Hotels
Hospitality runs on thin margins and long hours, so the numbers have to be right and they have to be timely. We help restaurants, cafes, bars and hotels stay on top of tips, VAT, gross profit and a constantly changing payroll — with a dedicated named accountant, a fixed monthly fee and cloud-first books that link to your till so you always know where you stand.
Hospitality
What's involved
Here's exactly what's involved — and how your own named accountant handles each part for you.
VAT on food and drink, applied correctly
Few sectors have VAT as fiddly as hospitality, where the treatment can change from one item on the menu to the next. Getting it wrong on every transaction quietly adds up to a significant error.
Tight margins and the numbers that protect them
In hospitality the difference between a good month and a bad one is often a few percentage points, so waiting for year-end accounts to see how you are doing is far too late.
Payroll for seasonal and casual teams
Hospitality payroll rarely sits still. Hours change week to week, staff come and go with the seasons, and everything still has to be reported to HMRC on time and paid correctly.
Your till, your cash and your books, joined up
Cash and card takings, deposits, refunds and float all need to reconcile, and in a busy venue that is easy to lose track of. We connect your EPOS system to your cloud books so sales flow through automatically and the day's takings tie back without a weekly paper chase.
Chartered-standard, cloud-first, easy to switch
We run your books in Xero, QuickBooks or Sage with your till feeding in, so your numbers are always current across one site or several. Joining us is paperless and usually takes a few days, with your records collected under professional clearance.
What's included
- Tips handled correctly under the new tipping law
- Tronc set up to administer tips National-Insurance-efficiently
- VAT on hot, cold, eat-in and takeaway sorted properly
- Weekly management accounts with gross profit %
- Stock control and labour-cost % kept in view
- RTI payroll for seasonal and casual staff
- Fixed monthly fee with your own accountant
Last reviewed: June 2026. This page is general guidance, not advice — figures relate to the 2025/26 UK tax year and may change. Please get in touch for advice tailored to your circumstances.
FAQ
Frequently asked questions
Since the Employment (Allocation of Tips) Act 2023 came into force on 1 October 2024, you must pass on 100% of tips to workers, allocate them fairly and keep a written tips policy. We help you meet these duties and keep the records that show you have.
Get started
Ready to work with an accountant who's genuinely on your side?
Book a free, no-obligation consultation and we'll show you exactly how MMR can help — with a clear fixed-fee quote and no pressure.