Managing payroll can be quite a chore in restaurants where time is of the essence. Many businesses face these challenges: time consumption and errors made while doing payroll. Luckily, Toast Payroll is a product developed for the restaurant industry that tackles these challenges head-on. Being part of the entire Toast ecosystem, this payroll software provides effortless work integration, enabling restaurant owners to eliminate non-compliance risks and focus on more critical business areas, providing excellent dining experiences.
In this complete guide, we’ll discuss how Toast Payroll has improved the process of payroll management in restaurants, its novel features, advantages, pricing, and its importance to business owners.
What Is Toast Payroll?
Toast Payroll is a web-based payroll and team management solution for the restaurant industry. Rather than employing a standard payroll system, Toast Payroll can be effortlessly integrated into Toast Point of Sale (POS) systems, enabling restaurant owners to focus on critical tasks like:
- Employee scheduling
- Time management
- Tip allocation
- Tax compliance
With its comprehensive recruiting, employee onboarding, and management tools, the software goes beyond mere payroll processing. Its integration simplifies overtime calculations and tip pooling, helping restaurant owners reduce mistakes and save time.
Features of Toast Payroll
Integrate with POS and Enjoy Smooth Workflows
One of the areas where Toast Payroll shines the most is its integration with the Toast POS. With the integration of employee hours, clock-ins, and breaks, there is no need for manual data entry, allowing for a fast, accurate, and painless payroll experience.
Reporting & Tip Management
Toast Payroll’s automated tip pooling and reporting ensure tips are properly recorded for tax purposes, which is necessary for compliance, operational integrity, and employee satisfaction.
Onboarding Employees
Toast Payroll streamlines the onboarding process by allowing new employees to digitally submit paperwork effortlessly. This reduces human error and speeds up the process.
Tools For Compliance
Toast Payroll helps restaurant owners navigate compliance challenges. It supports payroll and employment law adoption in all 50 states, calculates taxes, and files returns automatically.
Payments and Cheques
Direct deposit is utilized to enable employees to receive their paychecks directly in their bank accounts on payday, saving time and ensuring proper payment.
Integration For Time Tracking
Employees can sign in and out of the Toast POS with built-in time tracking, reducing the need for separate software and ensuring accurate pay calculations.
Customization Of Reporting
Comprehensive reports on payroll costs, overtime, taxes, and more help managers make data-driven decisions to cut labor expenses and increase productivity.
Benefits Of Using Toast Payroll
Saves Time
Toast Payroll eliminates manual entry of hours and calculations, allowing managers to focus on essential tasks.
Managing Payroll With Improved Accuracy
Its integration with the Toast POS minimizes mistakes caused by manual data entry, ensuring employees are compensated appropriately and reducing disputes.
Managing Payroll With Enhanced Compliance
Automated compliance with local labor laws minimizes costly penalties, while automated tax filings simplify the process.
Managing Payroll For Better Employee Experience
Employees gain access to a centralized platform where they can view pay slips, work hours, and benefits, improving satisfaction and reducing administrative inquiries.
Managing Payroll For Scalability
Toast Payroll is suitable for both multi-location chains and single-location restaurants. Its flexibility allows it to grow alongside businesses of any size.
Toast Payroll Pricing
New Restaurant Basics Plan
This plan includes essential payroll and scheduling tools and starts at $110/month for small and new restaurants, with an additional $4 per employee for new users.
Custom Add-On Plans
Existing Toast POS account users can access tailored pricing based on their needs, such as multi-location management, tip pooling, and advanced payroll features.
Additional costs apply for off-cycle payroll runs, advanced reporting, and printed W-2s. While it may be pricier than its competitors, its restaurant-specific features make it worthwhile for many businesses.
Challenges to Consider
Despite its many advantages, Toast Payroll does come with a few challenges:
- Initial Setup: Processes like data entry may feel daunting for businesses new to Toast systems.
- Learning Curve: New users may need a grace period to learn the software.
- Cost: Toast Payroll’s higher pricing may deter smaller restaurants.
Real-World Success Stories
Many restaurants, including the multi-branch Protein Bar & Kitchen, have reported a 60% reduction in payroll processing time after switching to Toast Payroll. Automated calculations allow these businesses to focus more on team building and customer service.
Final Remarks
Toast Payroll has revolutionized the way restaurants manage payroll. With automation and integration, it reduces administrative overload, boosts accuracy, and enhances employee satisfaction. By streamlining compliance, reporting, and tip handling, it allows managers to focus on improving customer experiences.
While its pricing may not suit smaller eateries, Toast Payroll remains an excellent choice for businesses looking to automate HR processes and payroll management.
If you’re ready to elevate your restaurant operations, consider exploring Toast Payroll. Schedule a demo today and see how it can transform your business.
