Missouri Tipping Laws & Regulations (2026)

Tip Credit Rules

Missouri allows a tip credit equal to 50% of the minimum wage, provided that:

• The employee receives tips that, combined with the tipped wage, equal or exceed the minimum wage
• The employee is customarily tipped (servers, bartenders, cocktail servers, bussers)
• The employee is informed of the tip credit amount in writing before employment begins
• Tips are properly documented and claimed
• If tips fall short in any pay period, the employer must immediately make up the difference
• Missouri's tip credit adjusts automatically each January 1 along with the minimum wage

Tip Pooling Regulations

Missouri allows pooled tip arrangements with clear restrictions:

• Tips may only be pooled among employees who are customarily tipped (servers, bartenders, bussers, food runners)
• Non-tipped employees (kitchen staff, dishwashers) cannot participate in tip pools
• Managers and supervisors generally cannot take a share of tips
• The tip pool must be reasonable and transparent
• Employees must be informed of the tip pool arrangement in writing

Tip Sharing Policies

While tip sharing is allowed within legal parameters:

• Servers may voluntarily share tips with front-of-house staff (bussers, runners, hosts)
• Tips cannot be forcibly shared with non-customarily-tipped positions
• An employer cannot require tips to be shared as a condition of employment
• Each shared arrangement should be documented in writing

Overtime Rules for Tipped Employees

When calculating overtime for tipped employees:

• Overtime is calculated on the full minimum wage ($12.30), not the reduced tipped wage
• Tipped employees are entitled to 1.5x the full minimum wage for hours over 40 per week
• This is a critical compliance point many Missouri employers overlook
• Gratuity Solutions automatically recalculates for overtime compliance

Record-Keeping Requirements

Missouri employers must maintain:

• Daily tip records for each employee claiming tip credit
• Documentation of the tip credit policy provided to employees
• Proof of any tip make-up payments when tips fall short
• Records of tip pooling or sharing arrangements and distributions
• These records must be kept for at least 3 years

Unique Provision: Annual CPI Adjustment

Missouri's most distinctive feature is its annual wage adjustment:

• Effective January 1 each year, Missouri's minimum wage adjusts based on the Consumer Price Index (CPI)
• The tip credit automatically adjusts to 50% of the new minimum wage
• This creates a moving target that requires careful tracking
• Gratuity Solutions automatically updates your wage calculations every January 1
• Failure to timely update wages can result in wage violations