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Does Toast do payroll? What it covers and what stays with you
Written by Back of House Ops, which is one of the options compared. Checked on October 1, 2026. General information, not legal or tax advice.
Does Toast do payroll?
Yes. Toast sells Toast Payroll & Team Management, payroll built into its restaurant platform. Toast says it pulls hours and tips from the POS and calculates the tip make-up to minimum wage. Like any payroll software, it processes what it is given: someone at the restaurant still reviews timecards, tips and new-hire paperwork before each run.
What Toast says its payroll does
This is a summary of Toast's own product pages and help documentation as we read them on September 22, 2026. Check Toast's site for current features and pricing; we do not quote its prices.
- Pulls hours and tips straight from the Toast POS into payroll.
- Handles overtime across locations and multiple pay rates.
- Calculates the tip make-up to minimum wage.
- Flags problems such as missing Social Security numbers and unapproved tips before the run.
- Lets new hires complete their paperwork on their phones, with the employer still completing its own I-9 verification.
What any payroll software leaves with the restaurant
Payroll software calculates, pays and files. It does that from the hours, tips and employee records it holds. If a manager forgot to fix a missed punch, or a server was clocked in under the wrong job, the software pays the error accurately.
- Reviewing timecards and documenting every edit before the run.
- Checking that the tip pool was split by your policy and that only eligible staff shared in it.
- Making sure each new hire's I-9 documents were examined and Section 2 was completed on time, and the state new-hire report went in.
- Keeping personnel files, write-ups, handbook acknowledgments and separation paperwork.
- Getting the final paycheck ready on the day someone is let go.
- Approving the run. That is always the employer's job.
Where an HR administration service fits
The two are not alternatives. Software is the system payroll runs in; an administration service is the people who prepare what goes into it. BOHO assembles and checks the inputs each cycle, keeps the files behind them and brings the run to you for approval. Payroll is processed on the platform named in your proposal.
If a manager you trust already does that preparation reliably every cycle, software alone may be all you need. If the preparation depends on whoever has time that week, that is the gap a service fills.
BOHO is not affiliated with, endorsed by or a reseller of Toast or any payroll platform.
Software or service: a quick comparison
| Item | Payroll software | HR administration service |
|---|---|---|
| What it is | A system you run payroll in | People who prepare payroll and keep HR records |
| Calculates pay and files taxes | Yes | Through the payroll platform |
| Chases missing timecards and paperwork | No | Yes |
| Keeps personnel files and handbook current | Limited to what you upload | Yes |
| Who approves the run | You | You |
| Typical pricing model | Base fee plus per employee | Flat monthly retainer |
Massachusetts rules
The rules any option has to handle
How do I check that a server's tips brought them up to $15?
Shift by shift. Since January 1, 2019, the employer must compare the service rate plus tips against the minimum wage at the end of each shift, and add any shortfall to the next paycheck. A busy Saturday cannot average out a slow Tuesday.
Full answer and official sourceWho is allowed to share in a tip pool in Massachusetts?
Only wait staff, service bartenders and service employees. Wait staff means people who serve food or drink directly to customers or clear their tables, including bussers and counter staff in quick-service restaurants, and who have no managerial responsibility that day.
Full answer and official sourceWhen does a new hire have to complete Form I-9?
The employee completes and signs Section 1 no later than their first day of work for pay. The employer examines the documents and completes Section 2 within three business days of that first day, so for a Monday start, by Thursday.
Full answer and official sourceWhat payroll records does a restaurant have to keep, and for how long?
Keep each employee's name, address, occupation, pay for each pay period, and hours worked each day and each week, for at least three years. Employees may inspect their own records, and the Attorney General can ask for them.
Full answer and official source
Rules checked against official sources on . General information, not legal or tax advice.
Common questions
How much does Toast Payroll cost?
We do not publish other companies' prices, because they change. Ask Toast for a current quote for your headcount and locations, and ask what is included at that price.
Do I need an HR service if I use Toast Payroll?
Not if someone at your restaurant reliably reviews timecards, tips and new-hire paperwork every cycle and keeps the personnel files. If that work is not getting done, software will not do it for you.
Is BOHO connected to Toast?
No. BOHO is not affiliated with, endorsed by or a reseller of Toast or any other payroll platform.
See whether BOHO fits your restaurant
Your restaurant remains the employer of record and approves payroll and employment decisions. BOHO is not a PEO, a staffing agency, or legal counsel.