TTOC Code PC01: Hairdresser/Stylist — W-2 Box 14b Reporting Guide
TTOC code PC01 is the Treasury Tipped Occupation Code for Hairdresser/Stylist positions, classified under the Personal Care category. This code must appear in Box 14b of the employee's W-2.
When to Use Code PC01
Assign TTOC code PC01 to any employee whose primary tipped role is Hairdresser/Stylist. If an employee works multiple tipped positions, use the code for the role where they earn the most tip income.
Key Considerations for Hairdresser/Stylist Employers
The OBBBA expanded FICA tip credit eligibility to personal care services in 2025. Hairdressers and stylists who receive voluntary tips from clients can now benefit from the tip tax deduction. Employers in this category also qualify for the expanded FICA tip credit.
What to Track for Hairdresser/Stylist Employees
For each pay period, record:
- Cash tips — reported by the employee (Form 4070 or your own reporting system)
- Credit card tips — from your POS system or payment processor
- Mandatory service charges — auto-gratuity, service fees, etc. (these are NOT qualified tips)
- Overtime hours — hours over 40/week for the 0.5x premium calculation
W-2 Reporting
- Box 12, Code TP: Year-to-date qualified tip total (cash + CC tips only)
- Box 12, Code TT: Year-to-date qualified OT premium (overtime hours × hourly rate × 0.5)
- Box 14b: PC01
Related Codes in Personal Care
Start Tracking
TipTrack automatically assigns TTOC codes and tracks qualified tips for every pay period. Start your free 14-day trial.
Automate your OBBBA compliance
Track qualified tips, calculate OT premiums, and export W-2 data in minutes.
Start free 14-day trial →