Chart of Accounts

NU-LTGx · ‎September 12, 2018

Our company buys lunch/dinners for employees at times and have it delivered. The company will add a tip/gratuity to the total amount. So, the total amount is paid with the company bank card (Linked to the checking account). Do I separate the meal from the tip? If so, how do I do that and which account does the tip go under in the chart of accounts?

Thank you in advance!!

lynda · ‎September 12, 2018

Hello @NU-LTGx: The meal is the cost of dining out including the tip. Here is a good article on meals and entertainment expenses for 2018 as the new tax law has changed the way you expense it this year.

Lynda

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lynda · ‎September 12, 2018

Hello @NU-LTGx: The meal is the cost of dining out including the tip. Here is a good article on meals and entertainment expenses for 2018 as the new tax law has changed the way you expense it this year.

Lynda

View solution in original post

NU-LTGx · ‎September 12, 2018

Thank you! And thank you for the quick reply!

Teri · ‎June 11, 2020

@lynda @NU-LTGx

Beware if you happen to work on Federal Government contracts that there are additional requirements and tips would NOT be included in the cost of meals. https://www.gsa.gov/travel/plan-book/per-diem-rates

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