Industry Type Limitations to Be Aware Of

Zenefits supports the following types of businesses, with some limitations to be aware of.

Restaurants (including tipped employees)

Zenefits is able to support cash and credit card reported tips in the following ways:
  • To set up a pay type for cash tips, create a new Reported Tips earning category.
  • To set up a pay type for credit card tips, set up a Regular Earnings pay type. 
  • We support the calculation of uncollected tax--so if the worker doesn't have enough to withhold against, we'll record and attempt to collect in subsequent pay runs. If the uncollected tax is still in arrears at the end of the quarter, we'll update the Federal Form 941 accordingly.
However, we do not currently support the tip credit, the tip minimum wage, or tip reporting. We also do not complete the annual employer report.

Religious institutions (including employees who are clergy members)

Zenefits doesn't have a feature for admins to set company level exemptions for Social Security or Medicare taxes in the Company Profile. If employers need to ensure that employees are not taxed for Social Security, Medicare, or any other tax type, the payroll administrator can do the following:
Set and manage exemptions on the individual employee profile in Zenefits
Set up the employer portion for these taxes on the employee profile as a separate entry from the employee exemption

Cannabis or Crypto Companies

Zenefits banking partners for payroll and FSA are federally insured, national institutions that must comply with federal law. As a result, we are unable to support cannabis or crypto companies due to the the regulations of our banking partners.

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