I understand that you had your own way of recording tips, @FLBabs. I've got clarification about the account used to offset the tip amount in QuickBooks Online.

The liability account serves as the tips' clearing account. You can make a debit to the tip liability account since you've already distributed them. Then, record the tips as a credit in the tip liability account when you receive the money. Although the tips have no impact on your P&L report, you'll need to keep track of them to file your tax returns correctly.

My colleague's suggestion above is for recording cash tips. These are given directly to the employees by customers in cash and aren't included in the paycheck.

Since it seems that you record tips by employee elsewhere, I highly recommend consulting your accountant about the accounts involved. They can suggest what's best for you and your business.

See this article for additional information about this process: Share tips with your team. 

I'll share this article with you as well: Cash tips vs. paycheck tips. It has a short description for each type of tip and when to use it. 

Don't hesitate to drop a comment below if you have other questions about tips in QBO. I'll get back to you as soon as I can. Take care.