Massachusetts tip pooling laws & tipped minimum wage
In Massachusetts, employers can pay tipped workers $6.75/hr as long as tips bring them to the $15.00 minimum — here's how that works and who can legally share your tips.
| Regular minimum wage | $15.00/hr |
| Minimum cash wage for tipped workers | $6.75/hr |
| Maximum tip credit | $8.25/hr |
| Tips belong to | Employees — always |
A tip credit lets an employer count your tips toward the minimum wage it owes you. Rates reviewed July 2026. Rates change — confirm with the Massachusetts labor department. Not legal advice.
What's specific to Massachusetts
Massachusetts has one of the strictest tip laws in the country: tip pools may ONLY include wait staff, service employees, and service bartenders — kitchen staff can never be included, even when no tip credit is taken.
The Massachusetts Tips Act limits who can share your tips
Massachusetts sets its minimum wage at $15.00 an hour. Tipped workers can be paid a service rate as low as $6.75 an hour, with the employer claiming a tip credit of up to $8.25, as long as your tips bring you to at least $15.00.
What sets Massachusetts apart is the Tips Act, one of the strictest tip laws in the country. A valid tip pool may include only three groups: wait staff, service employees, and service bartenders — people who serve customers directly. Owners, managers, and supervisors are barred entirely. Anyone with even a small amount of managerial authority cannot take a share.
Kitchen and back-of-house can never be in the pool
Under the Tips Act, cooks, dishwashers, and other back-of-house staff cannot be included in a tip pool — and this holds true even when the employer takes no tip credit and pays the full minimum wage in cash. Paying more does not unlock the pool for kitchen staff the way it does under federal rules.
If your employer has been routing your tips to back-of-house workers, managers, or the house, that is a Tips Act violation regardless of what you are paid per hour.
How to raise a Tips Act problem
Tips and service charges belong to the service staff who earned them. If yours are being shared with people the law excludes, you can file a complaint with the Massachusetts Attorney General’s Fair Labor Division, which enforces the Tips Act.
Tip pooling in Massachusetts
Pools are restricted to wait staff, service employees, and service bartenders. Including kitchen staff or anyone with managerial duties violates the Massachusetts Tips Act.
One federal rule applies everywhere: managers and supervisors can never take from a tip pool. Separately, credit card processing fees may only be deducted from tips where state law allows it.
What this means for your tip-out
Because part of your legal wage in Massachusetts comes from tips, the employer's tip credit assumes those tips reached you. Use the tip-out calculator to split a shift by your house's percentages or by hours, and see standard tip-out percentages to check whether your house's rates are typical.
Massachusetts tip law FAQs
What is the tipped minimum wage in Massachusetts?
Employers in Massachusetts may pay tipped employees a cash wage of $6.75/hr and claim a tip credit of up to $8.25/hr toward the $15.00 minimum wage. If tips don't close the gap in a workweek, the employer must make up the difference.
Is mandatory tip pooling legal in Massachusetts?
Pools are restricted to wait staff, service employees, and service bartenders. Including kitchen staff or anyone with managerial duties violates the Massachusetts Tips Act.
Can my manager take a share of the tip pool in Massachusetts?
No. Federal law prohibits managers, supervisors, and owners from keeping any portion of employee tips in every state, including Massachusetts. A manager may keep only tips they directly and solely earned (e.g., a table they personally served start to finish).
Can kitchen staff share in my tips if my employer pays full minimum wage?
No. The Massachusetts Tips Act bars back-of-house and kitchen staff from tip pools even when the employer takes no tip credit and pays the full $15.00 minimum in cash. Only wait staff, service employees, and service bartenders may share.
Can my manager take a cut of the tip pool?
No. Owners, managers, and supervisors — anyone with managerial authority — are barred from the tip pool under the Tips Act. You can report a violation to the Massachusetts Attorney General’s Fair Labor Division.