Why a Taxed Digital Tip Is Still Worth It

Despite the clear benefits of digital, cashless tipping, employee concerns about taxes remain a top barrier. Worries about take-home pay and unfamiliarity with long-term gains are real — but solvable. The first in our White Paper series on the implementation and impact of cashless tipping, this article explores the role of trust, transparency, and education in overcoming this challenge. A taxed digital tip is still a tip—and a powerful tool to support workers, increase earnings, and modernize hotel operations.