Restaurant Staffing Software

It can be difficult to choose which restaurant staffing software best fits your business, but whatever your system looks like, there are certain payroll challenges it should address. These are the top 8 features you should look for in a quality staffing software.

Includes payroll best practices

To correctly run payroll, accurate record keeping is a must. When it comes to labor, not only are you required to comply with payroll regulations, but you must also document your compliance. You must track everything from overtime hours to shift changes and time off, to avoid costly noncompliance mistakes. A restaurant-specific system with built-in integrations can help you track the data specifically required for restaurants, such as tip income reports.

Correctly classifies workers

Misclassifying an employee as an independent contractor can be an easy mistake to make on payroll, but the penalty as a violation of the FLSA can be steep. Your payroll solution should allow for clear classifications and appropriate recordkeeping to document the job duties and relationship with a worker.

Meets Affordable Care Act (ACA) reporting obligations

Compliance is especially tricky for restaurants, which typically employ full-time employees, variable hour employees and seasonal or temporary employees. Calculating who is full time under ACA rules alone requires a strong data-tracking system to keep up with shifting restaurant schedules. Many restaurants store data from HR, payroll, schedules and attendance, and health benefits in separate systems, which means the data must be extracted, aggregated, and consolidated for IRS reporting. However, integrated payroll, HR, and scheduling systems allow for streamlined reporting capabilities and can help you meet reporting obligations.

Tracks and document tip records and tip credits

Documenting compliance with the regulations surrounding tip-earning employees requires extensive recordkeeping. Restaurants need to track metrics like the employees’ tips weekly or monthly, the amount of tip credits for each employee per pay period, and the hours worked as a tipped employee.

Integrates with your existing software

Controlling total restaurant labor costs relies on closely monitoring the relationship between your labor and your sales. You can adjust labor in near real time based on how the day is unfolding by aggregating sales data from your POS. Also, look for a payroll software that can directly pull data into your accounting system, this eliminates human error from manual data transfer.

Tracks performance management

You can also use employee scheduling software as a performance management tool. With it, you’ll be able to track absences, late clock-ins, average check sales, table times, and more.

Automates scheduling changes

Restaurant staffing software make schedules easily accessible via a free mobile app for all stakeholders. Managers post schedules online and employees can switch shifts with co-workers from their phones with final approval by managers. This helps to prevent last-minute staff shortages and no shows while helping to maintain a culture of work/life balance.

Offers Same Day Pay

To stand out as an employer, your restaurant may want to consider processing payroll more often than every two weeks. This new payment option is benefiting both workers and employers. Workers gain immediate payment for their hard work which can greatly reduce stress for those worried about expenses or living paycheck to paycheck. Operators benefit through improved recruitment and retention rates and can also use it as an incentive for workers to pick up extra shifts.