Service Charges - Exclude Items

[sjgranados11]

I’m looking for a way to exclude certain items from having service charges applied. Specifically, we charge rental fees for some of our event spaces, and we’d like to ensure that service charges are only applied to food and beverage totals—not to the rental fee itself. Has anyone found a good way to set this up?

Thanks in advance!

[KellyLynn01 · Accepted solution]

To exclude a rental fee (or any fee) from service charges in Toast, you'll need to set up a separate service charge specifically for the rental fee and then adjust the settings to ensure it's not included with other service charges. This is done by configuring the service charge in Toast Web, allowing you to define its scope and application. 

Here's a more detailed breakdown:

1. 1. Create a Dedicated Service Charge:

   Go to Toast Web and navigate to Payments > Checks & receipt setup > Service charges. Create a new service charge specifically for the rental fee, ensuring it's not part of the general service charge category. 
2. 2. Define the Charge:

   Enter the rental fee amount and specify that it's a "rental" or similar, not a service charge. 
3. 3. Adjust Scope:

   Configure the new service charge to apply only to the specific scenario where the rental fee is applicable, such as a specific table or a specific event. 
4. 4. Ensure No Double Application:

   Make sure this rental fee service charge is not included in any automatic service charge calculations. 
5. 5. Consider Tax Exemption:

   If the rental fee is not taxable, you can set the service charge to be excluded from the taxable amount of the check. 

Key Points:

• Separate Charges:

  Keep the rental fee separate from other service charges for accurate reporting and easier management. 
• Specificity:

  Define the scope of the rental fee service charge precisely to avoid unintended application. 
  • Tax Considerations:

    Be mindful of whether the rental fee is subject to tax and adjust accordingly

[sjgranados11]

Thank you for the help @KellyLynn01!  I'm not looking to exclude an item from the Rewards Program though, I'm looking to exclude an item from being part of the Service Charge (Gratuity) calculation.

I'm sure we'll be using that exclusion feature when we set up our Rewards Program (eventually)!!

[KellyLynn01]

Hey thanks! I was hasty in my reply assuming this item acted the same as a rental fee. I've edited my previous reply to reflect what I found in another quick search, but I'll try to dive deeper into this tonight to see if we can get you the most helpful information! 

[sjgranados11]

Hi Kelly!  What a great idea!  I have the Rental Fee set up as a Menu Item currently, but I see what you're saying, it seems like if I change it to be a fixed amount Service Charge "Rental Fee" then the other gratuity Service Charge would not calculate on that item.  I will give that a try tomorrow!  Thank you so much for the idea!!