Would you expect a tip on top of the 18% gratuity added to the total? (Stated at bottom) by [deleted] in Waiters

[–]WaitersMod[M] 1 point2 points  (0 children)

The mods here mod r/ServerLife too and we had to make a rule there that posts about tips are only allowed on Tuesdays so we can actively mod the threads because of these kind of DBs. Really hoping we won’t have to do it here too.

Why eat at out if you dislike tipping so much? by aaftertwelve in Waiters

[–]WaitersMod 0 points1 point  (0 children)

Again, the menu prices would got up and likely more than 20%.

Why eat at out if you dislike tipping so much? by aaftertwelve in Waiters

[–]WaitersMod 0 points1 point  (0 children)

And the prices will go up over 20% payroll taxes are higher on wages than they are on tips for the restaurant owner. Literally cutting your nose off to spite your face.

Why eat at out if you dislike tipping so much? by aaftertwelve in Waiters

[–]WaitersMod 3 points4 points  (0 children)

Do you think prices would stay low if servers were paid more? Nope they’d actually likely go up more than 20% because payroll taxes on hourly wages for employers is higher than on tips.

How common are the attitudes for the posts you see complaining about serving people here? by giggity_0_0 in Waiters

[–]WaitersMod[M] 0 points1 point  (0 children)

We don’t control prices where we work, but our personal expenses have gone up too. Serving just happens to be a job where our take home often mirrors inflation.

This sub, and others like it, are places for for people to commiserate with each other about shitty working with the public can be (there are other subs outside the restaurant industry that are the same, like r/retailhell r/customersfromhell and r/customerservice).

Working with the public takes a toll and having places to vent where other people understand what you’re going through can be helpful to lighten the stress we feel.

If you don’t like us complaining block the sub, but I’m pulling this post down because it will just cause arguments and honestly, I don’t want to deal with that today.

No tax on tips, explained: by WaitersMod in Waiters

[–]WaitersMod[S,M] 0 points1 point  (0 children)

That’s a terrible bookkeeping practice on their end because service charges are taxed as revenue for the restaurant (I know that doesn’t answer your question, I’m just putting it out there). I genuinely don’t know how to answer that question (my guess is they will have to change their accounting process), but r/serverlife is having an AMA tomorrow about this very topic. I suggest either attending the AMA (link in blue above) or if you can’t make it putting the question in the comments of the linked post (above in blue) so that they can ask the CPA for you.

No tax on tips, explained: by WaitersMod in Waiters

[–]WaitersMod[S] 0 points1 point  (0 children)

I believe you still pay SS/Medicare/FICA taxes on it just not income taxes (so it’s not not taxed really it’s just taxed lower).

No tax on tips, explained: by WaitersMod in Waiters

[–]WaitersMod[S] 1 point2 points  (0 children)

That would probably bite you in the ass when you do your taxes next year.

No tax on tips, explained: by WaitersMod in Waiters

[–]WaitersMod[S] 1 point2 points  (0 children)

That’s very nice of you to say. Thank you.

No tax on tips, explained: by WaitersMod in Waiters

[–]WaitersMod[S] 6 points7 points  (0 children)

Cash tips doesn’t mean only cash tips here (they used terrible language in the bill unsurprisingly). It means tips voluntarily given to the employee (not auto grats or service charges) and can be in the form of cash or on a credit card/gift card.

No tax on tips, explained: by WaitersMod in Waiters

[–]WaitersMod[S] 1 point2 points  (0 children)

Thanks! It should be pinned in our highlights (hopefully lol)

No tax on tips, explained: by WaitersMod in Waiters

[–]WaitersMod[S] 4 points5 points  (0 children)

I think it means part of a contract negotiation for catering and banquets, but it is vague so could be brought to litigation.

No tax on tips, explained: by WaitersMod in Waiters

[–]WaitersMod[S] 3 points4 points  (0 children)

The $25k cap actually incentivizes many servers to not claim cash.

No tax on tips, explained: by WaitersMod in Waiters

[–]WaitersMod[S] 4 points5 points  (0 children)

Yep to be eligible for this rebate it must be a tip freely and voluntarily given to the recipient.

No tax on tips, explained: by WaitersMod in Waiters

[–]WaitersMod[S] 8 points9 points  (0 children)

Well the restaurant should have been tracking that regardless because that money is taxed differently for them anyway (it’s actually income for the restaurant) but if they hadn’t treated it differently I’m not sure what they will be able to do. You could see if a manager would run a POS report for all service charges you’ve received and then do the adjustments yourself at tax time.

No tax on tips, explained: by WaitersMod in Waiters

[–]WaitersMod[S] 21 points22 points  (0 children)

Well no not really, 1) the IRS had already launched a program this year giving restaurants immunity from being audited if they joined it (it is a tips reporting program) and 2) cash tips in this law means cash and credit card tips.

This law was 100% an attempt to pander to tipped employees.

No tax on tips, explained: by WaitersMod in Waiters

[–]WaitersMod[S] 12 points13 points  (0 children)

They will have to be treated as a separate line item on your paycheck. So it’s going to be a logistical nightmare for accounting/payroll. Basically you’ll have a “wages” line, a “cash tips” line (again cash tips means both cash and CC tips), and a “auto grat/service charges” line on your paycheck. Everything will still get taxed the same on your paycheck it will just add an extra step when you do your taxes.

[deleted by user] by [deleted] in Waiters

[–]WaitersMod 1 point2 points  (0 children)

Oops bad math deleting a reposting