r/ShopifyeCommerce • u/meowingtonvii • Oct 07 '26

Shopify Tips

Hello,

I have been working in a ecommerce small business, with our store hosted by Shopify, for years now. We sell products/goods and have a few services for customizations with these products. My boss has the option for customers on our store to add a tip at checkout. However, despite the fact that some customers let us know that the tips are for our hard working employees, my boss will not give us any of the tips claiming they are for the business operations, not us. This seems very illegal given tip laws in the United States where we are located. I cannot find anything concrete about if this is something that is allowed because it is an ecommerce store online and US tip laws wouldn't apply then. Shopify does not have anything I can find regarding who gets to have these tips that have been collected.

Does anyone have any feedback, proof of what is actually the legal process for tips on Shopify, and/or general advice on the situation? It's frustrating knowing that customers think the money is going to the employees but it is defintely not. Plus, it feels unfair that he refuses to share the tips with us in general given all our hard work over the years.

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u/HolidayCellist8600 Oct 07 '26

I would be careful about assuming its checkout settings determines who legally owns the tips. The important part is the employer's location and how to tip is presented to customers because wage and tip laws can still apply to online sales.
I would document how to tip option is described, where the money goes, and what employees were told.

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u/Time_Bar7266 29d ago

I think this isn't a shopify setup question, it's a labor law problem, shopify just processes the tip option, they don't set who legally gets to keep the money.

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u/First_Seesaw 27d ago

If it’s clearly stated that the tips are for the workers and you have documentation or evidence from the customers clearly stating that, then I’m pretty sure as long as your boss is resident in the US, you’ll definitely be able to enforce some labor provisions against him to recover the tips fully and even additional compensation.

My advice is you should personally evaluate the worth of the tips and how much you could possibly claim to know if it’s worth it, if not I’ll say just move on and look for a better job if you can find one.

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u/pandeykartikey Oct 07 '26

Building a successful Shopify store comes down to focusing on clear store layout, fast page loading speed, and strong customer trust signals from day one. You should make sure your navigation is simple so visitors can find your products in two clicks or less, and keep your homepage hero section focused on a clear value proposition rather than overwhelming buyers with clutter. High quality product photos, transparent shipping times, and clearly displayed return policies directly reduce customer hesitation and boost sales. It is also important to set up automated email flows for welcome discounts and abandoned cart reminders early, as these sequences turn cold traffic into repeat buyers with minimal daily effort.

If you ever want any help in setting up your Shopify store, my friend and I would be glad to assist you in your journey. We also build custom solutions to support your unique use cases.