WattFlow
Tax tools

No Tax on Tips for Bartenders (2026)

Tax year 2026 · Last updated · Maintained by the WattFlow team

Yes. Bartenders are on the IRS tipped jobs list (code 101), so you can deduct up to $25,000 of tips from federal income tax for 2026. Card tips, cash tips and your share of a tip pool can all count.

Tips calculator for bartenders

Private: runs in your browser
Form 1040, line 11. Include your overtime and tips.
Must be on the IRS tipped jobs list.
Gig work or 1099 tips? DoorDash, Uber, self-employed
Schedule C net profit. You can’t deduct more than this.
More options Tax year, itemizing, special cases
Leave blank if you take the standard deduction.
Optional. 000 means the job doesn’t qualify.
Only if you report extra tips yourself.

Estimate of federal income tax only. Not tax advice.

Example: bartender

What bartenders should know

Your IRS code

101 Bartenders. Not your exact job? See the full list of 71 tipped jobs.

Bartenders: FAQ

Do bartenders qualify for no tax on tips?

Yes. Bartenders are occupation code 101 on the IRS list, so voluntary tips you report can be deducted, up to $25,000.

Does my tip-out to barbacks count?

Only tips you actually keep count for you. Tips you share with barbacks or other staff count for them.

Where do I find my tip total?

On your 2026 W-2, box 12 code TP. Box 14b should show code 101.

How much can bartenders deduct?

Up to $25,000 of qualified tips per tax return, for 2025 through 2028. It shrinks by $100 for each full $1,000 of income over $150,000 ($300,000 joint).

Do I still pay Social Security and Medicare on tips?

Yes. The deduction only lowers federal income tax. Payroll or self-employment tax and state tax don’t change.