SHOP PAYROLL · INDEPENDENT TIRE DEALERS

Two payrolls, one tire shop. WageTime puts every spiff in the overtime rate.

A tire store is a retail counter with a bay behind it: payroll there is spiffs, commissions, and per-tire pay, not book-time flag hours. WageTime runs that mix for independent tire dealers, with overtime figured on the weighted average of all of it.

Built on infrastructure processing $35B+ in payroll & taxes · 2.8M+ employees paid
SOUND FAMILIAR?

The pay that sells tires is the pay a generic payroll forgets to put in the overtime rate.

There are about 31,000 independent US tire dealers, most small enough that the owner and one office manager run payroll after the last car drops off the lift. The hard part is not the hours. It is that a tire shop pays commissions, per-tire spiffs, and road-call premiums that all have to ride overtime the right way, under a retail exemption that is a test, not a switch.

TWO PAY WORLDS, ONE CHECK

Sales runs on commission, the bay runs on tires

The front counter sells on spiff and commission, the bay installs on an hourly base plus a per-tire rate, and the road-service truck runs on a premium call rate. That is three pay logics on one payroll, and a product built for salaried office staff pays all of it as one flat number. The result is a spreadsheet that reconciles sales reports, mount counts, and road tickets by hand every period.

THE SPIFF THAT BECOMES BACK WAGES

Incentive pay that never hit the overtime rate

A $5 spiff per tire and a $50 weekly sales bonus feel like extras, so a generic payroll setup pays them straight and moves on. But a non-discretionary spiff is part of the regular rate, so leaving it out shorts every overtime hour that week. One tire group paid more than $500,000 in back wages after the Labor Department found incentive pay left out of overtime. The money was never the problem. The rate math was.

THE EXEMPTION YOU MIGHT NOT HAVE

Section 7(i) is a test, not a setting

Because a tire shop is a retail establishment, a commissioned salesperson can qualify for the Section 7(i) overtime exemption, which is why so many shops assume theirs do. The exemption has three conditions that all must hold every week: a retail or service establishment, a regular rate above one and a half times minimum wage, and more than half of pay from commissions. Miss one and the exemption is gone for that week. Whether it fits your people is a question for you and your counsel.

CHANGEOVER SEASON

Per-tire pay surges past 40 hours twice a year

Winter and spring changeover turn a steady week into a wall of mounts, so the per-tire installers who were at 38 hours are suddenly at 52, with a stack of piece-rate spiffs on top. That is precisely the week overtime and the minimum-wage floor have to be right, on the weighted average of hourly and per-tire pay. Done by hand in the busiest week of the season, it is the week the math slips.

CLEARED TO TOUCH THE WHEEL

OSHA says trained first, and it has to be kept current

Federal OSHA rule 1910.177 says no employee may service a rim wheel until the shop has trained them, and it puts a standing duty on the shop to re-evaluate each tech and refresh the training. TIA’s ATS and CTS certifications sit on top. Let the training lapse and the tech is not cleared to do the job, and the pay tier tied to it is running on a credential that expired on a whiteboard.

Each one below is a real product screen, shown with sample tire-shop data.
01 · SPIFFS INTO THE RATE

How do sales commissions and per-tire spiffs get paid without turning into back overtime?

WageTime pulls every non-exempt spiff and commission into the overtime regular rate automatically, so incentive pay stops turning into two years of back pay, and the sales-report reconciliation against the check is gone.

  • Per-tire spiffs as per-unit codes; sales bonuses as flat-amount codes.
  • Commissions settle through tiered commission structures.
  • Weighted-average overtime across commission, spiff, and hourly pay.
  • Minimum-wage floors checked at federal, state, and local levels.
  • Section 7(i) exempt staff handled to the rule you and your counsel set.
app.wagetime.com/payroll/spiff-week

Spiff Week · Sales + Bay · Jul 6-12

Spiffs in the OT rate1 exemption to review
4People this week
$230.00Spiffs in OT rate
1Exemption to review
PersonEarningOT treatment
Rosa M.Counter · 46 tires at $5.00Tire spiffInto reg rate
Dev P.Commercial: labor+tire tier 2Account commission7(i) exempt
Cody R.Installer · $50 flat this weekSales bonusInto reg rate
Nina T.Installer · 41.5 clock hrsHourly + per-tireWtd avg OT
Every non-exempt spiff and bonus in the overtime ratespiffs reconciled to the run

Replaces the sales-report-to-paycheck reconciliation, and the spiff nobody put in the overtime rate until an auditor did.

02 · PER TIRE, EVERY SEASON

How do we pay installers by the tire when changeover season blows past 40 hours?

Installers get paid an hourly base plus a per-tire rate as separate codes, with WageTime figuring overtime on the weighted average when changeover season pushes a week past 40. The minimum-wage floor is tested on actual clock hours.

  • Per-tire mount-and-balance pay as a per-unit code at your rate.
  • Hourly bay time and changeover spiffs on the same run.
  • Base, per-tire, and spiff blend into one regular rate for the overtime math.
  • Hours imported from your POS, no double entry, coded to jobs.
app.wagetime.com/payroll/changeover-week

Changeover Week · Nina T. · Nov 9-15

Per-unit + hourlyOT on weighted average
Regular rate = all earnings ÷ 44 clock hrs · per-unit and hourly blended
Nina T. · hourly + per-tire week
44.0 bay hrs at $18.00$792.00
96 tires mounted at $4.50$432.00
Changeover spiff at $75.00$75.00
All earnings · 44.0 hrs$1,299.00
Weighted-average rate$29.52
Gross pay$1,358.06
Overtime on the weighted-average rateclears the wage floor on all 44 hours

Replaces the per-tire count re-typed into payroll by hand, and the changeover week where the overtime math quietly slipped.

03 · THE ROAD-SERVICE PREMIUM

How do we pay a commercial road-service tech for calls, miles, and on-call?

A commercial tire road-service week pays out as separate lines with WageTime: the call premium, the drive between disabled trucks, and the standby time each land right, with no side calculation waiting for the office.

  • A road call bills as a per-stop or per-mile code at your road rate.
  • Drive time counts as paid working time, into the overtime rate.
  • Weeknight and weekend standby pays a premium code.
  • Service-truck mileage and per diem post as non-taxable reimbursements.
  • One dealer owed about $6,500 for one road-service employee over a two-year audit.
app.wagetime.com/payroll/road-call-week

Road Service · Dev P. · Jul 20-26

Travel in the OT mathpremium road rate
Each road call, travel hour, and standby night on its own pay code
Dev P. · commercial road week
22.0 shop hrs at $24.00$528.00
6 road calls at $65.00$390.00
9.5 travel hrs at $24.00$228.00
3 on-call nights at $30.00$90.00
Gross this week$1,236.00
Travel counts toward the 40-hour line and the weighted-average rate$128.80 mileage paid as a non-taxable reimbursement

Replaces the road-call money worked out on a napkin, and the misclassification that a wage-hour audit turns into back wages.

04 · CLEARED TO SERVICE THE WHEEL

Who confirms a tech is trained before they touch a rim wheel, and tracks the certs that expire?

Rim-wheel service clearance and training currency stay on WageTime’s record: federal rule 1910.177 makes training a prerequisite, and a tech who is not current shows as not cleared.

  • OSHA 1910.177 rim-wheel training assigned and tracked; re-evaluation as a recurring task.
  • TIA ATS, CTS, and TPMS certs, plus state cards, with recurring 30/60/90-day alerts.
  • Cert-tied pay tiers bound with an effective date; a lapse stops the premium.
  • Tool-account and equipment deductions where state law permits; garnishments end to end.
  • Self-service app for pay stubs and W-2s.
app.wagetime.com/hr/tire-cert-board

Cleared-to-Service Board · Tire Team

Rim-wheel training tracked1 re-eval due
Rim-wheel training and TIA certs live on the employee record
9Credentials tracked
30/60/90Alert cadence (days)
TechStatusNext
Nina T.OSHA 1910.177 rim-wheelCompleteRe-eval Aug 30
Cody R.TIA ATS + TPMS certsCurrentRenews 2028
Dev P.TIA CTS (commercial)Currentpay tier bound
Sam W.OSHA 1910.177 rim-wheelNot currentNot cleared
Training completion on the record · alerts before a lapse

Replaces the training you hope somebody did, and the whiteboard of cert dates beside the tire machine.

PRICING

Simple payroll pricing. No surprises.

Full-service payroll is $10 a month per person paid that month, plus $50 a month per company, with unlimited runs. No long-term contracts, no per-run charges.

  • Full-service payroll, unlimited runs
  • Federal, state & local tax filing
  • Year-end W-2s & 1099s
  • Direct deposit, checks & pay cards
  • Contractor payments & filings
  • Off-cycle runs & bonuses, no extra fee
  • Employee paystubs & W-2 access
  • QuickBooks integration
$10/mo per person paid
+ $50/mo per company

Off-cycle runs and bonuses cost nothing extra. No long-term contracts; cancel anytime.

Example: 50 people paid × $10 + $50 company = $550 for the month

HR & hiring, onboarding, PTO, time tracking, benefits, and workers’ comp are optional add-ons, priced separately when you’re ready.

See a demo
THE INFRASTRUCTURE BEHIND WAGETIME
$35B+
in payroll & taxes paid
2.8M+
employees paid
4.3M+
W-2s & 1099s filed
100%
of tax filings automated

Tire shop payroll FAQ

Do tire shop spiffs and sales bonuses have to be included in overtime pay?

For non-exempt staff, yes. A non-discretionary spiff or sales bonus is part of the regular rate, so leaving it out shorts every overtime hour in that week. WageTime folds each per-tire spiff and sales bonus into the weighted-average overtime rate automatically. One tire group paid more than $500,000 in back wages after incentive pay was left out of overtime.

Does my tire shop qualify for the Section 7(i) retail overtime exemption?

Maybe, for commissioned salespeople. Section 7(i) needs a retail or service establishment, a regular rate above one and a half times minimum wage, and more than half of pay from commissions, all holding in the overtime week. A tire dealer is a retail establishment, so the door is open, but the tests are easy to miss. Whether it fits a given employee is a decision for you and your counsel.

How do we pay installers by the tire and still get overtime right in changeover season?

Per-tire mount-and-balance pay runs as a per-unit code, hourly bay time runs alongside, and a changeover spiff stacks as its own code. When a heavy season week passes 40 hours, WageTime figures overtime on the weighted-average rate across all three and tests the minimum-wage floor on actual clock hours. Weekly pay costs nothing extra, because payroll runs are unlimited.

Can payroll handle a commercial road-service tech’s calls, miles, and on-call?

Yes. Road calls run as per-stop or per-mile pay codes, travel time between calls counts as compensable hours toward overtime, and on-call runs as a premium pay code. Service-truck mileage and per diem run as reimbursement codes, configurable as non-taxable earning types, on the same check. Misclassifying the road-service role is a documented industry mistake worth thousands per employee at audit.

Can WageTime track OSHA 1910.177 rim-wheel training and TIA certifications?

Yes. The rim-wheel training assigns and tracks with a completion record on each tech’s file, and the periodic re-evaluation OSHA requires runs as a recurring compliance task, so a tech who is not current shows as not cleared. TIA ATS, CTS, and TPMS certs sit beside it with 30/60/90-day alerts, and a pay tier tied to a cert binds to the credential with an effective date.

How do the hours get out of our tire POS and into payroll?

We import clock hours so there is no double entry, and hours code to jobs with cost codes up to 40 characters matched to your ticket numbers. WageTime does not claim a direct integration with any POS or tire-management system; tell us whether you run TireMaster, Tire Guru, ASA, ISI, or TCS on the demo and we will confirm the exact flow for your shop.

What does payroll cost for a tire shop with two stores?

$50 a month per company plus $10 per person actually paid that month, with unlimited runs, so weekly pay and changeover spiff runs cost nothing extra. Filings, W-2s, and 1099s are included. Run each store as its own LLC, or as a department under one login: each company keeps its own EIN, with reporting per store or combined.

Bring one changeover week and your spiff sheet.

Last week’s per-tire counts, the sales spiffs and commissions beside them, and your road-service rates if you run a truck. Twenty minutes with a payroll specialist on a live demo shop: you will watch spiffs fold into the overtime rate, a per-tire changeover week compute its own overtime, and the cleared-to-service board flag a training re-evaluation before it lapses.

Book a 20-minute demo