This guide will be removed on April 29, 2022. Please use our new, easier-to-use Toast technical documentation site. All updated content is on the new site.

Service charge overview

You can configure service charges that can be optionally added to a check as an upcharge. For example, you can configure an open service charge for your restaurant to specify a service charge amount independent of the price of the check. As another example, you could configure a distance-based charge for delivery orders that would apply to checks when the appropriate conditions are met.

Service charges are monetary amounts that a restaurant requires a guest to pay, such as a mandatory fee for an order delivery. Service charges are thus different from tips, which are discretionary (optional or extra) payments determined by the guest. Note that a check can have both a service charge and a tip.

Service charges are configured with thresholds that determine if the service charge is automatically added to the check price. For example, you can configure a gratuity service charge that is applied only if the order is over $100. If a service charge is not automatically applied to a check, you can manually apply the service charge with the Update Service Charge dialog box on the Toast POS device.

Choose Payments > Checks & receipt setup > Service charges and select the name of the service charge you want to edit to change its configuration.