The Restaurant Doctor - Electronic House Call

ELECTRONIC HOUSE CALL - January 22, 1999

PONDERING PAYROLL PROGRAMS
Justin Doucette has spent the last year reviewing accounting and payroll software geared for restaurants / hospitality. In all, he reviewed about 71 software packages using the following criteria

- Multiple deduction allowance (i.e. for cafeteria plans, 401(k), advances, etc.) with pre- or post-tax designation.
- Payroll direct deposit function.
- Tip reporting.
- "Traditional features" normally found on General Ledger and Accounts Payable software.
- Y2K compliant.

None of the software he reviewed could meet the criteria, primarily due to an inability to handle the following tip situation

An employee works one day (4 hours) during this pay period. He earns $1,000.00 in tips and leaves after his shift with that amount in his pocket. When payday comes, his gross wages of $20.00 (4 hours X $5 per hour) do not even cover his FICA taxes (on total earnings of $1,020.00), let alone insurance co-pays, etc. An adequate payroll software should track these "deductions owed" and report them on form W-2 at the end of each year. Further, the software should, whenever possible, automatically attempt to collect deductions owed when there are funds available.

Does anyone know of any software which accommodates the above scenario? If so, pass it along and I will put it in a future EHC.

MORE SCAMS
Joe Wagner of Jackson Java in Mississippi shares the following:
"A guy came up to our coffee bar and asked for change, my employee said sure. The guy pulled out two 10s and asked for a twenty. My employee pulled out the 20, took the two 10s and focused his sight on the cash register to put in the tens. The guy then pulled out a 1 dollar bill and said"Hey, this is what you gave me, where is my 20?" My employee said "I gave you a 20" and stared at him. The guy tried to incite an argument. My employee stared at him and said "Get out of here" The guy got the hint and left. My employee took a break from us and worked a fireworks stand in the summer. He said he got about one guy a day trying to pull that trick. My wife and I were shocked, as two 10s for a 20 is not change. Needless to say our employee handled it well and we learned a valuable lesson. We would like to hear any other quick change stories."

A note from the Doc: Are you routinely training your staff how to handle situations like these? If doing so sounds like a good idea, see the next item.

YOUR OPINION PLEASE
Readers tell me the most interesting parts of my book, "The Foolproof Foodservice Selection System" are the situation tests. These "Days from Hell" scenarios help staff and managers think through sticky situations before they arise, are wonderful training aids and make for very interesting staff meeting discussions. I have posted a few on my website at www.restaurantdoctor.com/ohno.html to give you an idea of what I am talking about.

What do you think about the idea of putting a bunch of these situations (taken from real life) into a book and soliciting ideas from a panel of operators on how to handle them? They could be major problems or just the little day-to-day things that throw people off course. If I decide to do it, those whose stories are used will be acknowledged in the book and receive a free copy!

So . . . two questions 1) does this sound like something you would like to see done (as in would you be likely to buy a copy at $14.95 if it were produced?) and 2) do you have any stories to contribute? Let me know so I can determine if this is will be another 1999 project.

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