Reply
Moderator
Posts: 6
Registered: ‎08-03-2016

Re: Adding a Tip after authorization and/or Capture

Thanks for inquiring about tips.  Authorize.Net is certified to process a Tip amount added after authorization when TSYS is the processor.  For other processors, the tip must be passed with the initial authorization.  The tip element in createTransactionRequest is used to designate the tip amount.

 

API reference,  In-Person SDK, and Git Hub links below.  The readme files in the Git Hub repositories have a section on Tips.

 

https://developer.authorize.net/api/reference/index.html

https://developer.authorize.net/api/reference/features/in-person.html

https://github.com/AuthorizeNet/inperson-sdk-ios

https://github.com/AuthorizeNet/inperson-sdk-android

 

Please respond back with any questions.

 

Member
Posts: 3
Registered: ‎02-12-2018

Re: Adding a Tip after authorization and/or Capture

[ Edited ]

Thanks for the update. Will this functionality be expanded beyond Tsys? Specifically, to Chase and/or Ipayment? 

Moderator
Posts: 6
Registered: ‎08-03-2016

Re: Adding a Tip after authorization and/or Capture

We have additional Tips certifications in the backlog, although none in the near future.

Member
Posts: 2
Registered: ‎02-06-2019

Re: Adding a Tip after authorization and/or Capture

Hello,

 

TSYS is our processor and we are using .NET SDK - any info on how to adjust a tip from a previous sale would be appreciated

Member
Posts: 2
Registered: ‎02-06-2019

Re: Adding a Tip after authorization and/or Capture

Hello,

 

TSYS is our processor and we are using .NET SDK - any info on how to adjust a tip from a previous sale would be appreciated

Trusted Contributor
Posts: 364
Registered: ‎11-05-2018

Re: Adding a Tip after authorization and/or Capture

I’m reading the API reference and it looks like the tip has to be included in the original amount authorized/captured. I may be wrong and an admin can correct me if I am. With things like this my opinion is that it’s best to use some sort of slightly out of the box workaround. For your restuarant client, the important distinction between a tip and a charge for food & beverages is that the tip does not have a transaction fee, correct? In other words the credit card company gets a portion of the sale but not any portion of the servers/cashiers gratuity. My intuition is that the reason there is a separate tips field is so that the amounts can be treated differently.

So the only thing left to workout is how to charge the tip, given that you do not know the amount in advance in some cases. It sounds like the process for the restuarant is that the customer is charged for the food & beverages first, then adds a tip after the fact. If I were in your shoes I would do something like this- find out the range of tips as a percentage of the purchase price. If the maximum tip is around say 25%, you could do an auth only transaction for 125% of the food & beverage costs. Then you do a partial capture based on the amount they actually tip. So say it is a $100 order, you authorize $125. Then if the customer writes a $20 tip and you do a partial capture IAO $120. You’re done right there and the customers card is only debited for the $120.

Few notes about this-

1. If at all possible it would be much easier to avoid charging or authorizing the card at all until the tip has been determined. One way to do this is to have an in-house receipt that has a line for the tip. You collect that receipt and authorize the card for the total + tip and then the cc receipt that prints will have each amount and the customer signs. You could do an auth only in case they change their mind or there is an error in reading their handwriting. I would expect both occurrences to be rare.

2. If you do opt for the grossed up authonly at the point of sale, you’re obviously going to have to tell your customers beforehand. They can opt to not have their ticket grossed up or have it grossed up by a lesser amount. That prevents people who are on a thin margin from getting declined for a food purchase they can actually pay for.

Hope this helps I’m about to eat right now.