Whether you’re a new or an established business, we can help set up, implement and manage a bespoke tronc scheme that offers significant savings to both you and your staff, is fair and transparent, and keeps your staff happy.

Why implement a tronc?

If your business processes customer tips, gratuities, or service charges through the general payroll, your staff's take-home pay is unnecessarily reduced. That's because these payments are currently being subjected to both Income Tax and costly National Insurance Contributions (NICs). 

A tronc scheme is a special pay arrangement that lets businesses share customer tips to employees. By sharing tips via a properly managed tronc, the need to pay NICs for both staff and businesses is removed providing significant savings for both. By ensuring staff have full ownership of their tips and are involved in the distribution decisions, the scheme helps employees feel valued and rewarded, which can significantly boost motivation and long-term retention. 

The Tipping Act

With the Employment (Allocation of Tips) Act 2023, the "Tipping Act", in full effect from 1 October 2024, a compliant tronc scheme is more crucial than ever. UK hospitality businesses must: 

• Ensure 100% of qualifying tips are passed to workers. 

• Distribute tips fairly and transparently. 

• Provide a written tipping policy. 

• Keep records and meet strict timing and compliance requirements. 

A well-governed tronc scheme allows employers to meet these legal obligations while securing the NICs exemption, making an independent professional essential. 

Why appoint an independent troncmaster?

For tips to be exempt from NICs, the person responsible for distributing the tips must not be the proprietor, a partner, or any other company official. 

An independent tronc operator (also known as a troncmaster) is a person or third-party service responsible for the fair and transparent distribution of tips, gratuities, and service charges among employees – without employer interference. 

Using an external, independent operator ensures tips are correctly distributed and not subject to NICs, safeguarding your business. 

Benefits of engaging an independent tronc operator 

Legal compliance with the Tipping Act 

Ensures your business meets the Tipping Act requirements, protects against tribunal claims, and reduces reputational risk. 

National Insurance savings 

Properly operated tronc schemes are exempt from NICs. This results in significant savings for both employers and employees. 

Impartial tip distribution 

Builds staff trust by removing employer influence and promotes fairness across front-of-house and back-of-house teams. 

Reduced administrative burden 

The external Tronc Operator manages the scheme setup, records, and ongoing compliance, freeing up internal resources and reducing the risk of errors. 

Audit-ready and transparent 

Independent operators maintain clear, robust documentation, ensuring readiness for HMRC reviews or employment tribunals. 

How we can help

Trusted expertise, impartial advice, and measurable value – led by one of the UK’s leading specialists in tronc compliance. Buzzacott Troncmaster Services combines deep sector knowledge, independent governance, and a commitment to fairness. Led by Mark Taylor, Partner, our team brings unmatched insight into HMRC regulations, tribunal risk, and the practical realities of operating in the hospitality sector. 

Whether you’re a new or an established business, we make setting up and implementing your bespoke tronc scheme simple, smooth, and fast. Get in touch today for a free consultation. 

Our troncs are completely transparent, conform fully to HMRC requirements, provide an exemption from NICs and offer significant savings to employers and staff. We define ourselves by the needs of our clients, large and small, and work hard to build and maintain relationships that are personal, collaborative and enduring – to be a partner you can trust.  

The values we represent, and our consistent advice, mean you can trust Buzzacott to do the right thing – for you or your organisation. Find out more about our Troncmaster Services. 

What our clients say 

"Buzzacott has been efficient and proactive, particularly in meeting deadlines, and their added value support on implementing tronc was phenomenal. They have just the right balance being flexible, easy to deal with yet having all the key strengths, attributes and rigour necessary to support our restaurant. I am particularly indebted to Samantha Newton and Mark Taylor who were committed to and successfully executed the challenge of implementing tronc in under four weeks from the appointment, a tremendous achievement. I look forward to many more years working with Buzzacott." 

Client 

"By rewarding the right people at the right times and giving our employees extra confidence in the transparency and security of the tronc, we have better engagement and are able to target more productivity from our teams, which in turn generates rewards for all." 

Client