SB 416 New Hampshire Senate · 2026 Regular Session

relative to the pooling and sharing of tips among tipped employees.

SB 416 replaces New Hampshire's state rule on tip pooling with the federal Fair Labor Standards Act (FLSA) rules governing how tipped employees can share tips. It directly affects workers in service industries like restaurants and bars who rely on tips, such as servers and bartenders. The bill removes state restrictions and aligns the state with federal regulations, including specific FLSA provisions (29 C.F.R. §§ 531.42, 531.50, 531.54) that allow tip pooling among eligible employees. The law takes effect 60 days after enactment.
Bill status passed both 4 of 5 stages cleared
Introduction
Nov 2025
Committee Review
May 2026
Senate Passage
Feb 2026
House Passage
May 2026
Governor
Introduced Nov 21, 2025 Last action May 14, 2026
Maddy AI version diff · 2 comparisons

What changed between versions

As Amended by the Senate As Amended by the House · 8 edits
MODERATE
The House significantly expanded the Tip Sharing Policy Act from a simple incorporation of federal FLSA tip pooling rules into a multi-part statute with new prohibitions, exceptions, and enforcement mechanisms. The House version adds explicit bans on including non-tipped employees in pools (with a customer-facing exception), prohibits managers and owners from participating in tip pools even when they serve customers, requires patron notice of tip pooling practices, authorizes the labor commissioner to adopt implementing rules, and removes the word 'voluntary' from the statutory definition of tip pooling.
Scope change
The bill's scope expanded substantially from a single provision incorporating federal FLSA rules into a comprehensive regulatory framework covering who may participate in tip pools, mandatory patron notice, commissioner rulemaking authority, and revised statutory definitions.
DEFINITION

The definition of 'tip pooling' in RSA 279:1, XIII was amended by removing the word 'voluntary,' broadening the term to cover both voluntary and mandatory tip pooling arrangements.

RSA 279:1, XV, which defined 'coercion,' was repealed entirely.

REQUIREMENT

New paragraph II prohibits employers from imposing tip pooling arrangements that include employees who do not customarily and regularly receive tips in their occupation.

New paragraph IV explicitly prohibits owners, managers, and supervisors from participating in tip pools or tip share arrangements, even if they provide direct service or have direct customer interactions.

New paragraph VI requires establishments that require or permit tip pooling to notify patrons by posting a conspicuous sign or including a clear disclosure on the primary menu.

ELIGIBILITY

New paragraph III creates an exception to the non-tipped employee prohibition for roles with direct customer interactions in the chain of service, including bartenders, bussers, hosts, and food runners.

ENFORCEMENT

New paragraph V authorizes the commissioner of the department of labor to adopt rules under RSA 541-A relative to tip pooling.

TECHNICAL

The core FLSA incorporation language was changed from 'shall be governed by' to 'shall incorporate by reference,' and additional CFR sections (531.55, 531.56, 531.57) were added to the list of referenced regulations.

Floor votes

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Full legislative history

Actions timeline

Total actions
18
Key actions
9
Committee
9
Amendments
1
May 14, 2026
Lower · Passed
Ought to Pass with Amendment 2026-1830h and 1963h: MF DV 151-176 05/14/2026 HJ 13 P. 108
lower
May 14, 2026
Introduced
Amendment # 2026-1830h: AA VV 05/14/2026 HJ 13 P. 107
lower
May 6, 2026
Lower · Passed
Minority Committee Report: Refer for Interim Study
lower
May 6, 2026
Lower · Passed
Majority Committee Report: Ought to Pass with Amendment # 2026-1830h 05/05/2026 (Vote 10-9; RC) HC 19 P. 25
lower
Apr 22, 2026
Lower · Passed
Full Committee Work Session: 05/05/2026 10:00 am GP 159
lower
Apr 15, 2026
Lower · Passed
Full Committee Work Session: 04/21/2026 09:00 am GP 159
lower
Apr 14, 2026
Lower · Passed
Full Committee Work Session: 04/14/2026 10:45 am GP 159
lower
Feb 26, 2026
Introduced
Introduced (in recess of) 02/19/2026 and referred to Labor, Industrial and Rehabilitative Services HJ 5 P. 124
lower
Feb 9, 2026
Upper · Passed
Committee Amendment # 2026-0507s, AA, VV; 02/19/2026; SJ 4
upper
Feb 9, 2026
Upper · Passed
Ought to Pass with Amendment #2026-0507s, MA, VV; OT3rdg; 02/19/2026; SJ 4
upper
Feb 4, 2026
Upper · Passed
Committee Report: Ought to Pass with Amendment # 2026-0507s, 02/19/2026; Vote 5-0; CC; SC 6
upper
Nov 21, 2025
Introduced
Introduced 01/07/2026 and Referred to Commerce; SJ 1
upper
1 primary · 5 co-sponsors

Sponsors