Washington Tip Pooling Laws (2026)

Washington does not allow a tip credit: tipped staff get the full $17.13 minimum wage ($17.73 from January 1, 2027) plus their tips. Employers may set up a required tip pool, state law does not restrict who is in it beyond excluding exempt managers, and an automatic service charge must show on the menu and receipt how much goes to the staff.

Last reviewed October 11, 2026.

At a glance

Minimum wage	$17.13 an hour in 2026; $17.73 from January 1, 2027
Tip credit	Not allowed
Required tip pools	Allowed
Back-of-house in a pool	Not restricted by state law
Managers	Exempt executive, administrative and professional employees excluded
Card fees taken from tips	Prorated share allowed
Service charges	Staff share disclosed on menu and receipt
Seattle	$21.30 in 2026; $22.14 from January 1, 2027

Minimum wage and tips

Tips and service charges paid to employees are in addition to the minimum wage and cannot count toward it (RCW 49.46.020). The state minimum is $17.13 an hour in 2026 and $17.73 from January 1, 2027. Several cities set higher rates.

Who can share in a tip pool

Washington law does not prohibit a tip pool set up by the employer, but the pool may not include anyone exempt from the definition of employee, such as executive, administrative or professional employees (Department of Labor & Industries policy ES.A.12). The state does not otherwise say which employees can be included, and because Washington never allows a tip credit, federal rules allow back-of-house staff in a required pool.

An employee may not be required to put more into a pool than they actually received in tips. The department recommends written policies for required pools.

Managers

An employer may not keep any portion of employees’ tips, and employers, managers and supervisors may accept tips only for services they directly provide (ES.A.12). Federal law also bars managers and supervisors who meet the executive duties test from pools.

Credit card tips

The employer may deduct up to a prorated share of the processing fee charged on the tip, never more. Tips the employer receives must be paid no later than the wages for the same period.

Service charges

An employer that adds an automatic service charge must disclose on the itemized receipt and on any menu the percentage that goes to the employees serving the customer (RCW 49.46.160). Any part of a service charge not clearly designated as kept by the employer is owed to the employees who served.

Local minimum wages

Rates for 2026 include Seattle $21.30 ($22.14 from January 1, 2027), SeaTac $20.74 for hospitality and transportation employers, Tukwila $21.65, Renton $21.57 from July 1, 2026, and Bellingham $19.13. Burien, Everett and unincorporated King County set rates by employer size.

Washington tip pooling FAQ

Does Washington allow a tip credit?

No. Tipped employees get the full minimum wage, $17.13 an hour in 2026, plus all their tips.

Can kitchen staff share tips in Washington?

They can be included. Washington does not restrict who is in an employer’s tip pool apart from exempt managers, and with no tip credit federal law allows back-of-house staff.

Can a Washington employer deduct credit card fees from tips?

Up to the prorated share of the processing fee charged on the tip, never more.

What must a Washington restaurant disclose about service charges?

The percentage of an automatic service charge paid to the employees serving the customer, on the itemized receipt and on any menu.

Official sources

This page summarizes the law for restaurant operators and staff; it is not legal advice. Wages and rules change, and cities can set their own minimums. Check the linked official sources, or ask an employment lawyer, before changing how you handle tips.