A new twist on a well-worn subject - Senator Rick Santorum proposes to remove all state requirements for a minimum wage for jobs in which employees can expect tips. Restaurant owners could then "hire" serving staff for nothing but the tips they hope to make. More info on his bill here: http://www.nathannewman.org/laborblog/archive/002263.shtml . If you're not fond of the American custom of tipping, perhaps you'll let him know your opinion on this idea.
Unless something has changed (quite possible), restaurant owners already don't have to pay minimum wage to tipped employees. I never earned minimum wage when I worked as a server; the tips were expected (ha!) to make up the difference and then taxed based on my daily food sales figures regardless of whether I made that much in tips or not. The only time I made more than minimum wage in a restaurant setting was when I was working as a hostess and also handled the computer accounting stuff in the back of the house.
"jmcquown" <[email hidden]> wrote in message news:[email hidden]...
Quoted message said:
Kathy said:
A new twist on a well-worn subject - Senator Rick Santorum proposes to remove all state requirements for a minimum wage for jobs in which employees can expect tips. Restaurant owners could then "hire" serving staff for nothing but the tips they hope to make. More info on his bill here: http://www.nathannewman.org/laborblog/archive/002263.shtml . If you're not fond of the American custom of tipping, perhaps you'll let him know your opinion on this idea.
Unless something has changed (quite possible), restaurant owners already don't have to pay minimum wage to tipped employees. I never earned minimum wage when I worked as a server; the tips were expected (ha!) to make up the difference and then taxed based on my daily food sales figures regardless of whether I made that much in tips or not. The only time I made more than minimum wage in a restaurant setting was when I was working as a hostess and also handled the computer accounting stuff in the back of the house.
Restaurants covered by federal minimum wage law (a.k.a. the Fair Labor Standards Act, or FLSA) are required to pay hourly employees at least $5.15 an hour, and tipped employees a cash wage of at least $2.13 an hour. You may be required to pay a rate higher than that, though. States are free to set their own wage rates - and when they do, employers who are covered by the FLSA must pay whichever rate, state or federal, is most favorable to the employee.
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One of the difficulties is the "tipped" employees usually "hide" some income from the government for which the do not pay taxes. At the Palm in Calif. the Mercedes in the parking lot belong to the waiters not the patrons. LOL.
"jmcquown" <[email hidden]> wrote in message news:[email hidden]...
Quoted message said:
Kathy said:
A new twist on a well-worn subject - Senator Rick Santorum proposes to remove all state requirements for a minimum wage for jobs in which employees can expect tips. Restaurant owners could then "hire" serving staff for nothing but the tips they hope to make. More info on his bill here: http://www.nathannewman.org/laborblog/archive/002263.shtml . If you're not fond of the American custom of tipping, perhaps you'll let him know your opinion on this idea.
Unless something has changed (quite possible), restaurant owners already don't have to pay minimum wage to tipped employees. I never earned minimum wage when I worked as a server; the tips were expected (ha!) to make up the difference and then taxed based on my daily food sales figures regardless of whether I made that much in tips or not. The only time I made more than minimum wage in a restaurant setting was when I was working as a hostess and also handled the computer accounting stuff in the back of the house.
Restaurants covered by federal minimum wage law (a.k.a. the Fair Labor Standards Act, or FLSA) are required to pay hourly employees at least $5.15 an hour, and tipped employees a cash wage of at least $2.13 an hour. You may be required to pay a rate higher than that, though. States are free to set their own wage rates - and when they do, employers who are covered by the FLSA must pay whichever rate, state or federal, is most favorable to the employee.
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One of the difficulties is the "tipped" employees usually "hide" some income from the government for which the do not pay taxes. At the Palm in Calif. the Mercedes in the parking lot belong to the waiters not the patrons. LOL.
Dimitri
Good lord it's still $2.13 an hour?! And I haven't waited a table since the 1980's! But with the IRS provision that tips be based on sales, no way can a server get out of reporting tips even if they didn't earn the 20% of sales in a shift. I used to do that accounting for the restaurant, too. Also divvied out tip-shares for the bussers, hostesses and bar-backs.
One of the difficulties is the "tipped" employees usually "hide" some income from the government for which the do not pay taxes. At the Palm in Calif. the Mercedes in the parking lot belong to the waiters not the patrons. LOL.
Uh huh. I'll bet they're parked next to the lavish vehicles driven by "welfare queens." Yeah, right. Make sure they're not dented by passing unicorns.
Priscilla -- "You can't welcome someone into a body of Christ and then say only certain rooms are open." -- dancertm in alt.religion.christian.episcopal
Good lord it's still $2.13 an hour?! And I haven't waited a table since
the
Quoted message said:
1980's! >
IIRC that is what some bartenders make here in Chicawgo...the rest of their income is tips.
Some barkeeps I know make close to six figures (this is at bars, not bar - restos)...but man ya gotta have a good regular customer base and/or ya really gotta hustle...
One of the difficulties is the "tipped" employees usually "hide" some income from the government for which the do not pay taxes. At the Palm in Calif. the Mercedes in the parking lot belong to the waiters not the patrons. LOL.
Uh huh. I'll bet they're parked next to the lavish vehicles driven by "welfare queens." Yeah, right. Make sure they're not dented by passing unicorns.
Priscilla
Those damned unicorns! I keep telling them to stay away from the Mercedes (and the Jag) but do they listen? Hell no!
"Priscilla Ballou" <[email hidden]> wrote in message news:[email hidden]...
Quoted message said:
In article <[email hidden]>,
Dimitri said:
One of the difficulties is the "tipped" employees usually "hide" some income from the government for which the do not pay taxes. At the Palm in Calif. the Mercedes in the parking lot belong to the waiters not the patrons. LOL.
Uh huh. I'll bet they're parked next to the lavish vehicles driven by "welfare queens." Yeah, right. Make sure they're not dented by passing unicorns.
Priscilla
The Palm Usual $100.00 per person @ 15% tip or a 4 person table that's $60.00 per table per check. At 6 tables per waiter that is 360.00 per table per night times 3 turns per night that's $1080. per night At 5 nights (Ok call it 4 nights) that's $4,320.00 per week Which translates to $216,000.00 per year.
Call me 1/2 right that's over 100,000 per year.
The problem came when the Palm started taking credit cards. Until then the waiters could sandbag 1/2 their income as untaxable because it couldn't be traced directly.
Uh huh. I'll bet they're parked next to the lavish vehicles driven by "welfare queens." Yeah, right. Make sure they're not dented by passing unicorns.
Lol...thanx fer my first Usenet "chuckle" 'o the day...
My pleasure! :-)
Priscilla -- "You can't welcome someone into a body of Christ and then say only certain rooms are open." -- dancertm in alt.religion.christian.episcopal
"The only time I made more than minimum wage in a restaurant setting was when I was working as a hostess and also handled the computer accounting stuff in the back of the house.
Jill"
There are several interesting ways to read that statement.
Unless something has changed (quite possible), restaurant owners already don't have to pay minimum wage to tipped employees. I never earned minimum wage when I worked as a server; the tips were expected (ha!) to make up the difference and then taxed based on my daily food sales figures regardless of whether I made that much in tips or not. The only time I made more than minimum wage in a restaurant setting was when I was working as a hostess and also handled the computer accounting stuff in the back of the house.
It apparently changes from one place to another, and depends a lot on whether or not there is alcohol served. I have a nephew who studied hotel management but went back to waiting because he made so much more money at that and needs to pay off student loans. . He and his sister worked in a local restaurant bar last summer and usually made $300 or more on a shift. Not bad for a student.
I consider tipping to be something I have to tolerate. Personally, I don't like the idea of a person's wages being dependent upon the generosity of customers. Some of them are cheap SOBs. I like the system in use in most of Europe where tax and service are included in the menu price. If a meal is $20, you pay $20, and maybe leave a little change for the waiter.
"Dave Smith" <[email hidden]> wrote in message news:[email hidden]...
<snip>
Quoted message said:
I consider tipping to be something I have to tolerate. Personally, I don't like the idea of a person's wages being dependent upon the generosity of customers. Some of them are cheap SOBs. I like the system in use in most of Europe where tax and service are included in the menu price. If a meal is $20, you pay $20, and maybe leave a little change for the waiter.
And that "little change" for the waiter - would that be called a "tip"?
"Dave Smith" <[email hidden]> wrote in message news:[email hidden]...
<snip>
Quoted message said:
I consider tipping to be something I have to tolerate. Personally, I don't like the idea of a person's wages being dependent upon the generosity of customers. Some of them are cheap SOBs. I like the system in use in most of Europe where tax and service are included in the menu price. If a meal is $20, you pay $20, and maybe leave a little change for the waiter.
And that "little change" for the waiter - would that be called a "tip"?
"Dave Smith" <[email hidden]> wrote in message news:[email hidden]...
<snip>
Quoted message said:
I consider tipping to be something I have to tolerate. Personally, I don't like the idea of a person's wages being dependent upon the generosity of customers. Some of them are cheap SOBs. I like the system in use in most of Europe where tax and service are included in the menu price. If a meal is $20, you pay $20, and maybe leave a little change for the waiter.
And that "little change" for the waiter - would that be called a "tip"?
Tes, it is a tip, but it is a lot less than 15% that is expected here.