Costs and Fees for FICA Tip Credit Services

At Tip Tax Partner, we believe recovering your FICA tip tax credits should be risk-free. That's why we work on a 100% contingency fee basis—you don't pay us anything unless and until you receive your tax credit from the IRS.

Our Contingency Fee Model

How It Works

Our fee structure is simple and transparent:

• Zero Upfront Costs: No consultation fees, no retainer, no initial payment required
• We Handle Everything: We cover all costs of processing your claim
• Success-Based Fee: Our fee is a percentage of the credit you receive
• Deducted from Your Credit: Our fee is automatically deducted when you're funded
• No Recovery = No Fee: If we don't recover credits, you pay nothing

What's Included in Our Service

For our contingency fee, you get comprehensive service:

• Complete eligibility assessment
• Detailed credit calculation and analysis
• Gathering and organizing all required documentation
• Preparation of Form 8846 and all supporting schedules
• Filing with the IRS (current year or amended returns)
• IRS correspondence and representation
• Expedited funding processing
• Ongoing support throughout the process

Why Contingency Fees Make Sense

Zero Financial Risk

Since you pay nothing unless you receive credits, there's no risk to trying. Even if your claim isn't approved, you haven't lost any money.

Aligned Incentives

We only earn money when you earn money. This means we're highly motivated to maximize your credit amount and ensure approval.

No Budget Required

Many restaurant owners can't afford thousands in upfront consulting fees. Our model makes this valuable benefit accessible to all businesses.

Professional Expertise Included

You get access to experienced CPAs and tax specialists without paying hourly rates or retainers.

Compare the Alternatives

DIY Approach

• Cost: "Free" (but requires significant time investment)
• Risks: Calculation errors, missed deductions, IRS audit exposure
• Average Recovery: Often 30-40% less than professional filing
• Time Investment: 20-40 hours of your time

Traditional CPA Hourly Billing

• Typical Cost: $3,000 - $10,000+ in upfront fees
• Payment: Due regardless of outcome
• Risk: You pay even if credits aren't approved

Tip Tax Partner Contingency

• Upfront Cost: $0
• Payment: Only when you receive your credit
• Risk: None - we assume all risk
• Recovery: Maximized through expertise and experience

Frequently Asked Questions

What Percentage Do You Charge?

Our contingency fee percentage is competitive and disclosed upfront in your service agreement. The specific percentage may vary based on factors like claim complexity, years being claimed, and total credit amount. Contact us for a personalized quote.

Are There Any Hidden Fees?

Absolutely not. The contingency fee covers everything. There are no:

• Setup fees
• Filing fees
• Documentation fees
• IRS correspondence fees
• Funding fees
• Processing fees

What If the IRS Approves a Smaller Amount?

Our fee is based on the amount you actually receive, not our initial calculation. If the IRS approves less, you pay a fee on the lower amount.

Can I Negotiate the Fee?

For larger claims or multi-year retroactive claims, we may be able to offer volume-based pricing. Contact us to discuss your specific situation.

When Do I Pay?

Payment is automatically deducted when you receive your credit. If you choose direct funding, the fee is deducted before you receive the funds. If you wait for the IRS refund, we invoice you upon receipt of your credit.

What If I Don't Qualify?

If we determine you're not eligible or can't recover a meaningful credit, you pay nothing. We'll let you know upfront if we don't think we can help.

Transparency Matters

Unlike some companies in this space, we believe in complete transparency:

• Clear, written service agreement
• Fee percentage disclosed upfront
• No fine print or surprise charges
• Detailed breakdown of your credit calculation
• Regular updates on claim status

Payment Options

Option 1: Direct Funding (Fastest)

Get funded within weeks instead of waiting months for IRS processing. Our fee is deducted, and you receive the net amount quickly.

Option 2: IRS Direct Payment (Traditional)

Wait for the IRS to process your refund/credit. Once you receive it, we invoice for our fee based on the amount received.

Comparison: What You're Really Paying For

Our Guarantee

We're confident in our ability to maximize your FICA tip credits. Here's our commitment:

• No Recovery, No Fee: If we don't recover credits, you pay nothing
• Accurate Calculations: We stand behind our work and calculations
• Transparent Process: You'll know exactly what's happening at every step
• Professional Service: Licensed CPAs handle your claim from start to finish

Next Steps

1. Get a Free Assessment: Find out how much you qualify for
2. Review Your Agreement: We'll send a clear service agreement with fee terms
3. We Get to Work: We handle everything while you run your business
4. Get Paid: Receive your credit with our fee automatically deducted