How to set up Quebec tips

Setting up and paying out Quebec tips in Sage 50 Accounting, and understanding how this affects the Relevé 1 (RL-1).

1. Create a new account called Tips in the Chart of Accounts.
2. Go to Setup, Settings, Payroll, then Income.
3. Select the Track Quebec Tips checkbox.
4. Click OK.
5. Create a new Reimbursement type of income for Quebec tips.
   NOTE:

   When creating this income, link the new Quebec tips income to the Tips account.

You can now see the Quebec Tips tab upon selecting an employee when making a paycheque.

The Tippable Sales field is for the total sales that will automatically allocate 8% into Tips Allocated based on the Quebec law.
 NOTE: Refer to Revenu Quebec's instructions for calculating tippable sales.

• The tips will affect the gross amount and federal tax, once you process the paycheque.
• The Tips from Sales amount will lower the 8% minimum requirement.
• If the tips haven't reached the minimum requirement, the Tips Allocated will indicate the amount unallocated.
  
  
  

The information regarding Quebec tips will automatically flow into the following boxes on RL-1:

• Box S (Pourboires reçus): the sum of Tips from Sales
• Other Tips box T (Pourboires attributés): Tips Allocated