The FICA Tip Credit
you’re missing
out on.
A dollar-for-dollar tax credit for every employer who pays FICA on employee tips — up to 7.65% of reported tips, three years back. Filed by CPAs, $0 upfront. Thousands of restaurants, bars and hotels leave it unclaimed every year. Yours doesn’t have to.
- Up to 7.65% of reported tips
- Up to 3 years back · amended returns
- $0 upfront · paid only when you’re paid
- CPA-prepared · IRS-compliant
- A credit, not a deduction
In partnership with Tip Tax Refund — $1B+ in credits, refunds & settlements processed · 1,000+ businesses · all 50 states
What kind of business?
Any business with tipped staff can qualify.Tap one ↓
Money the IRS already owes you. Go get it.
Hospitality owners across America are claiming the FICA Tip Credit with Better Growth and Tip Tax Refund- Dollar-for-dollar — reduces tax owed, not just income
- Often 30% more than do-it-yourself filings
- Stacks with Better Payments & the 125 Plan
You pay 7.65% in FICA on every reported tip. Congress lets you take it back.
- Paying FICA on tips you never pocketed
- Three years of credits left on the table
- Form 8846 never filed
- “My CPA would have told me”
- $20,000+ a year, unclaimed
- Dollar-for-dollar credit
- Up to 7.65% of reported tips
- Three years back
- CPA-prepared, IRS-compliant
- $0 upfront
- No minimum size
A credit, not a deduction. A deduction lowers taxable income; the FICA Tip Credit lowers the tax you owe, dollar for dollar. A restaurant with 20 tipped employees can see $20,000+ a year — and up to three years of it at once.
Three years of credits. One form.
7.65% of reported tips, dollar for dollar, filed by CPAs — $0 upfront. In partnership with Tip Tax Refund.
Sixty seconds to start. Zero upfront. Paid when you’re paid.
Better Growth runs the program with Tip Tax Refund — a team that has processed over $1 billion in FICA tip credits, ERTC funds and Visa/Mastercard settlements. Their CPAs prepare and file; our specialist stays with you start to finish.
- 1
Check eligibility
Sixty seconds above — tipped W-2 staff, FICA paid on reported tips, Forms 941 and 8027 on file. That’s it.
No cost · no obligation - 2
Get started
Submit the short application with Tip Tax Refund. Their CPAs gather what’s needed — 941s, 8027s, your 1120 / 1120S / 1065 — and prepare the filing.
CPA-prepared - 3
Filed with the IRS
Form 8846 plus amended returns for up to three prior years. Every number documented; the team works with the IRS through approval.
IRS-compliant · documented - 4
Funded
Credits typically arrive in 16–24 weeks. You pay a contingency fee only on what’s recovered — nothing upfront, nothing if nothing comes back.
16–24 weeks
Illustrative. The credit is 7.65% of tips above the federal minimum-wage threshold — your number depends on your team’s reported tips. Check it in 60 seconds above.
Any business with tipped staff. No minimum size.
Full-service restaurants
Steakhouses, diners, bistros — any dining room with tipped servers and bartenders.
Bars & nightclubs
Sports bars, pubs, lounges and clubs — bartenders, barbacks and cocktail servers.
Hotels & resorts
Bellhops, room service, concierge, valet and the hotel bar — all tipped, all eligible.
Catering companies
Wedding and corporate caterers, private chefs and event staff who are tipped.
Coffee shops & cafes
Baristas and counter staff with a tip jar or a tip line — reported tips count.
And more
Casino restaurants, cruise lines, food delivery, valet services — if tips are reported and FICA is paid, you qualify.
Your staff receive tips
- From customers — cash or card
- Any tipped W-2 role counts
- No minimum headcount
Tips are reported & FICA is paid
- Employees report tips to you
- You pay the employer share of FICA on them
- That 7.65% is the credit
The paperwork exists
- Form 941 (quarterly payroll)
- Form 8027 (tip reporting), where required
- Your 1120 / 1120S / 1065 — the CPAs take it from there
Filed right. Filed back. Filed for more.
Tip Tax Refund has processed over $1 billion in FICA tip credits, ERTC funds and Visa/Mastercard settlements for 1,000+ businesses across all 50 states.
Credits prepared by CPAs who do this every day are frequently 30% larger than do-it-yourself filings — the threshold math and the look-back are where owners leave money.
Contingency only: a percentage of the credit actually secured, disclosed in writing before you sign. Nothing recovered, nothing owed.
Same owner, two wins: claim the credit with Better Growth, then take card fees to zero with Better Payments and raise take-home pay with the 125 Plan.
Checks your eligibility, hands you to the Tip Tax Refund CPAs, and stays on your account through filing and funding — in English or Spanish. Someone who answers the phone.
Your tips. Your credit.
Restaurants, bars, hotels, cafes — if your people are tipped and you pay FICA on it, the credit is yours to claim.
Claimed. Recovered. Deposited.
Results shared by our partner, Tip Tax Refund. Yours takes sixty seconds to estimate.
What exactly is the FICA Tip Credit?
A federal credit under IRC Section 45B for employers who pay the employer share of Social Security and Medicare taxes (FICA, 7.65%) on employee tips. It’s a dollar-for-dollar credit against the tax you owe — not a deduction.
How is it calculated?
7.65% of the tips that exceed the federal minimum-wage threshold (minimum wage × hours worked, less the wages you actually paid). The CPAs run the math from your 941s and 8027s.
Is there a minimum business size?
No. Any employer with tipped, reported, FICA-taxed staff qualifies — from a six-person cafe to a multi-location group.
Can I claim prior years?
Yes — up to three years back through amended returns. That’s where the biggest checks usually are.
What does it cost?
Nothing upfront. The fee is a contingency — a percentage of the credit actually secured — disclosed in writing before you sign. No credit, no fee.
Does claiming it raise my audit risk?
The credit is a standard part of the tax code and is claimed on Form 8846. Properly documented filings prepared by CPAs are the norm, not a red flag.
What documents will I need?
Your business return (Form 1120, 1120S or 1065), Form 941s, Form 8027s where applicable, and Form 8846 if you’ve ever filed it before. The Tip Tax Refund team tells you exactly what to send.
Can I combine it with other credits?
Yes — it can be combined with WOTC and ERC, though not on the same wages. Note your wage deduction is reduced by the credit amount; the CPAs handle that.
What’s the 125 Plan I’ve seen under Better Growth?
A pre-tax benefit plan that raises your team’s take-home pay and cuts your payroll tax at no net cost. It’s the second half of Better Growth — ask your Better Specialist to run it alongside the credit.
Claim it. Starting now.
Check eligibility, get started with Tip Tax Refund, and let the CPAs file up to three years of credits — with a Better Specialist on your account from start to deposit.