Managed Payroll · Breweries & Distilleries

Brewery payroll covers two completely different workforces. We manage both.

Taproom staff with tip credits and minimum wage reporting, production crew with shift and overtime pay, sales reps on commission, and seasonal taproom staffing spikes make brewery and distillery payroll one of the most structurally complex outside of healthcare. BEG manages all of it at $25-$45 per employee per month - fully managed, no migration required.

See your exact monthly & annual price - no call required

Tip credit handledTaproom FLSA tip credit and minimum wage compliance managed

Production + salesThree distinct workforce types, one managed payroll service

Seasonal spikesSummer taproom ramp-up and holiday season staffing managed

The Cost of Running It Yourself

What does in-house payroll actually cost a brewery or distillery?

Tip credit risk

Taproom tip credit errors are one of the most litigated FLSA violations in the hospitality industry

To claim the FLSA tip credit, breweries must ensure taproom staff are notified of the credit, tips are properly reported, and total wages plus tips meet the full minimum wage threshold. When tip income is slow, the employer must make up the difference. Many craft producers do not calculate this consistently.

Three workforces

Taproom, production, and sales each have entirely different pay structures that generic payroll platforms conflate

Taproom staff are tipped employees paid at a reduced cash wage with tip credit. Production staff are hourly workers with overtime and shift pay. Sales reps may be on salary plus commission or a draw-against-commission structure. Managing all three correctly in the same payroll system requires configuration most brewery owners never complete.

Seasonal pressure

Summer taproom season and holiday gift shop traffic spike staffing - and payroll complexity spikes with it

Breweries add taproom staff in April and May for summer and reduce after Labor Day. Distilleries spike in November and December. Seasonal onboarding, ACA measurement tracking, and end-of-season termination processing fall on whoever is running payroll - usually a manager who has 12 other jobs during the busiest weeks of the year.

How It Works

Three steps to fully managed brewery and distillery payroll

Scope review

We map your three workforce types: taproom (tip credit), production (hourly + overtime), and sales (commission or salary). We review tip reporting procedures, seasonal staffing patterns, and state-specific tip credit rules. You get a fixed monthly cost.

Setup and first cycle

We configure taproom tip credit calculations, production shift and overtime pay, sales rep commission structures, and seasonal onboarding processes. Your first payroll cycles run alongside your existing process for verification.

Ongoing managed service

Every pay cycle, every tip true-up, every commission reconciliation, and every seasonal hire event - fully managed by BEG. Your taproom manager and production manager approve hours; we handle payroll.

What BEG Handles

Brewery and distillery payroll complexity - fully covered

✓Taproom staff tip credit calculations with minimum wage true-up when tips fall short

✓Tip reporting compliance: IRS Form 8027 support and tip income documentation

✓Production staff hourly payroll with shift pay and overtime for long production runs

✓Sales representative commission payroll including draw-against-commission structures

✓Seasonal taproom staff onboarding and end-of-season termination processing

✓ACA measurement period tracking for seasonal staff approaching benefit eligibility

✓State-specific tip credit rules - some states do not allow the FLSA tip credit

✓Year-end W-2 preparation for all workforce types including tip income reporting

✓Year-end 1099-NEC for any properly classified independent contractor relationships

✓Garnishment administration for taproom, production, and sales staff wages

Side by Side

BEG Managed Payroll vs. In-House vs. Generic Software

Factor	BEG Managed	In-House Hire	Generic Software
Taproom tip credit compliance	Fully managed	Requires specific expertise	Configured manually
Production overtime calculations	Included	Included	You verify it
Sales commission payroll	Included	Manual tracking often needed	You build it
State-specific tip credit rules	Auto-applied	Must track state changes	You update it
Seasonal staff ramp handling	Included	Stressful for one person	You manage it
Year-end W-2 with tip income	Included	Included	Extra fee
Monthly cost (30 employees)	$750-$1,350	$5,800-$8,300	$350-$800 + risk

The Risk of Getting Tip Credit Wrong

Taproom staff who are not paid correctly talk - and so do their attorneys.

FLSA tip credit violations are one of the most common wage-and-hour claims in the hospitality and craft beverage industry. DOL back-wage investigations can recover two years of unpaid wages plus liquidated damages. BEG manages taproom tip credit payroll correctly from the first cycle so your exposure starts at zero.

Your Next Transition Window

The right time to transition is before summer taproom season - not in the middle of it.

Payroll transitions take 30-60 days. Breweries that start the scope review in March arrive at summer season with a fully managed payroll system handling taproom, production, and sales staff simultaneously. Breweries that wait add payroll complexity to their busiest operational months.

15 minutes. We scope your taproom, production, and sales staff, give you a fixed monthly cost, and show you what correct brewery payroll looks like. Pricing starts at $25 PEPM.

Explore More

More managed payroll resources

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FAQ

Common questions from breweries and distilleries

How does the FLSA tip credit work for taproom staff?

The FLSA tip credit allows employers to pay tipped employees a cash wage below the federal minimum wage - currently $2.13 per hour - as long as the employee's tips bring their total compensation to at least the full federal minimum wage of $7.25 per hour. If a taproom server's tips in a given workweek do not bring their hourly total to $7.25, the employer must make up the difference. BEG calculates this true-up automatically every pay cycle. Note that some states do not allow the tip credit at all - BEG applies the correct rule for your state.

How does BEG handle production staff overtime?

Production staff are hourly employees not eligible for the tip credit. BEG manages their base hourly pay, shift differentials if applicable, and overtime for weeks exceeding 40 hours under FLSA. For production runs that extend into unusual hours, BEG calculates overtime correctly including any shift premium that must be included in the regular rate for overtime purposes.

Can BEG manage sales rep commission payroll?

Yes. BEG handles sales representative payroll under common brewery sales structures: salary plus commission, commission-only, or draw-against-commission. For draw-against-commission structures, BEG tracks the draw balance, commission earned, and net payroll each period. When a rep goes negative on their draw, BEG applies the correct accounting treatment per the commission agreement.

What does $25-$45 PEPM include for a brewery or distillery?

Everything: payroll processing for taproom, production, and sales staff, tip credit calculations with minimum wage true-ups, tip income reporting, production overtime, commission payroll, seasonal staff onboarding and termination, year-end W-2 preparation, and dedicated BEG support.

Does BEG handle states where the tip credit is not allowed?

Yes. Several states - including California, Minnesota, Alaska, and others - require employers to pay the full state minimum wage regardless of tips received. BEG applies the correct state rule for your taproom staff's location. Breweries with taprooms in multiple states get the correct state-specific treatment for each location automatically.