Do you have adblock enabled?
If you can read this, either the style sheet didn't load or you have an older browser that doesn't support style sheets. Try clearing your browser cache and refreshing the page.

(Toronto Star)   Tax collectors shocked, SHOCKED, that wait staff are under-reporting tips   (thestar.com) divider line 56
    More: Amusing, Access to Information Act, tax collectors, hospitality industry, Canada Revenue Agency, Statistics Canada  
•       •       •

1479 clicks; posted to Business » on 09 Jul 2012 at 1:12 PM (2 years ago)   |  Favorite    |   share:  Share on Twitter share via Email Share on Facebook   more»



56 Comments   (+0 »)
   
View Voting Results: Smartest and Funniest

Archived thread

First | « | 1 | 2 | » | Last | Show all
 
2012-07-09 11:57:53 AM  
... that wait staff under-reporting tips what?
 
ZAZ [TotalFark]
2012-07-09 01:02:56 PM  
In the United States the IRS requires tax withholding based on an assumed amount of cheating. (IRS tip reporting rules; see also United States v. Fior d'Italia for a case decided under older, less strict rules.)
 
2012-07-09 01:13:19 PM  
Had a buddy/bartender... One night around tax time I asks him how much money he had claimed for tips last year.
"Oh," he sez, "I reported zero"
"Zero?" sez I, incredulous. "What will you do when the IRS audits you?"
"I'll just tell 'em the truth... I'm a terrible, terrible bartender."

afaik it worked.

Someday I'll tell you how he got fired (spoiler: caught during BJ with pull-tab girl, gf was head chef) ... This guy is one of my CSB goldmines. Love him to death.
 
2012-07-09 01:21:46 PM  
Tips shouldn't be reportable income, IMO. It's not like the majority of people in the service industry are breaking the bank as it is.
 
2012-07-09 01:26:34 PM  

Cubs300: Tips shouldn't be reportable income, IMO. It's not like the majority of people in the service industry are breaking the bank as it is.


If it isn't reportable income then it's a giant loophole. Pay the staff 50 cents an hour and the rest is 'tips'.
 
2012-07-09 01:32:30 PM  
Unsure how Canadia handles it, but I'm sure it will be an even bigger shock to find that wait staff aged 50+ will often suddenly start reporting it all. You see, Social Security and other benefits are largely based on your "best" yearly income. Better to pay the tax for a few years and get bigger checks for the rest of your life.
 
2012-07-09 01:32:37 PM  

Russ1642: Cubs300: Tips shouldn't be reportable income, IMO. It's not like the majority of people in the service industry are breaking the bank as it is.

If it isn't reportable income then it's a giant loophole. Pay the staff 50 cents an hour and the rest is 'tips'.


Oh, I'm not arguing that. It's a loophole that should be exploited by people in the service industry. It's one of the few loopholes that us plebians get to take advantage of. We're sick of watching the "rich folk" get away with it on a grander scale. Doesn't make it right, just makes it what it is.
 
2012-07-09 01:34:37 PM  
Tax collectors apparently never worked for less than minimum wage before.
 
2012-07-09 01:42:55 PM  
We always had to just report 10% of our sales
 
2012-07-09 01:45:03 PM  
Great, as soon as someone in the IRS hears about this, we'll see a new 1099 created for stores that pay tipped wages. If you pay your tip on your credit card expect that it will be reported as income to the employee.

At least even in TX the taxman won't seize cash tips.

//was at a restaurant in town where they neglected to pay their sales taxes, so the revenue agents came by to seize. They got the credit card receipts and all the cash in the register. They allowed the waitresses to keep the cash in their tip jar(s). Waitresses asked us to pay their tip in cash that day. Ended up closing up the next day, took a few days for the building owners to reopen it.
 
2012-07-09 01:47:10 PM  

tzzhc4: Tax collectors apparently never worked for less than minimum wage before.


Neither do waiters... Not sure what point you were trying to make.
 
2012-07-09 02:01:12 PM  

GoodyearPimp: Unsure how Canadia handles it, but I'm sure it will be an even bigger shock to find that wait staff aged 50+ will often suddenly start reporting it all. You see, Social Security and other benefits are largely based on your "best" yearly income. Better to pay the tax for a few years and get bigger checks for the rest of your life.


SS is based on the best 30 years of income... so from that respect wait staff are screwing themselves. However, they are also getting a lot less taken out for SS.
 
2012-07-09 02:38:01 PM  

Cubs300: Tips shouldn't be reportable income, IMO. It's not like the majority of people in the service industry are breaking the bank as it is.


If your argument is "they're not breaking the bank" then why should a waiter who makes around $15 an hour get to avoid paying taxes when the dishwasher making $8 an hour doesn't?

/trick question, if you're making $8 an hour, you're not paying Federal income tax on that.
 
2012-07-09 02:52:25 PM  

Cubs300: Tips shouldn't be reportable income, IMO. It's not like the majority of people in the service industry are breaking the bank as it is.


Tips have to be reportable income to get the employee above minimum wage (in the food service industry).
 
2012-07-09 02:54:21 PM  

Honest Bender: tzzhc4: Tax collectors apparently never worked for less than minimum wage before.

Neither do waiters... Not sure what point you were trying to make.


Some states allow "partial wage" where wait staff get paid $2.50 an hour with the assumption that the tips they will receive will make up the difference with what minimum wage is. It can get even worse if the taxes they pay assume they made minimum wage and they got stiffs the whole shift. it is possible to lose money while working.
 
2012-07-09 03:21:43 PM  
"Fun" fact time: At Papa Johns, tips from online orders via credit card were required to be reported as income. So do your delivery boy/girl a favor and leave the tip off of the order and just give them cash.

/had about $150 in reported tips during a 2-year college dropout run at PJ's
 
2012-07-09 03:24:48 PM  

Hyjamon: Honest Bender: tzzhc4: Tax collectors apparently never worked for less than minimum wage before.

Neither do waiters... Not sure what point you were trying to make.

Some states allow "partial wage" where wait staff get paid $2.50 an hour with the assumption that the tips they will receive will make up the difference with what minimum wage is. It can get even worse if the taxes they pay assume they made minimum wage and they got stiffs the whole shift. it is possible to lose money while working.


It's the Federal law which allows for tip wages. It is not possible to lose money while working because your employer has to make up the difference if you have a crappy day with poor tips.

It's also the same law that prevents an employer from making a cashier who is at minimum wage make up any drawer shortages.
 
2012-07-09 03:26:42 PM  

MugzyBrown: We always had to just report 10% of our sales


Dine in sales if I am correct. The to-go orders are exempt.
 
2012-07-09 03:40:58 PM  
Since it is legal to under pay them (exempted from minimum wage laws) then the government is basically telling them from the get-go that they are not subject to the rule of law - so why be surprised when they turn around and ignore the tax code? They're being legally treated like garbage, which both justifies the tips and the waiter deciding to keep all of it.
 
2012-07-09 04:34:51 PM  
When I get really excellent service, I pay with the credit card, put 0 on the tip line, and tip heavily in cash.

When I get really shiatty service, I do the same thing, except for the cash.
 
kab
2012-07-09 04:52:57 PM  
Earning a modest wage, and avoiding some taxes by under-reporting? Criminal.

Earning truckloads of income, and avoiding taxes by using various loopholes? Heroic capitalist.
 
2012-07-09 04:59:35 PM  

Russ1642: Pay the staff 50 cents an hour and the rest is 'tips'.


In some states like Ohio, that's more or less the case. OK it's not 50 cents an hour, but the minimum wage for a foodservice employee is around $3/hour. The logic goes that they make up for it with tips, except:

1) Many places are configured in a way that tips are not encouraged.
2) If they don't collect enough tips, the owner is required to make up the difference. None do. (This is also why some places automatically calculate and charge a 15% tip for large parties. It's not to protect the employees; it's to protect the owner. It's really just a price mark-up.)
3) Some places "pool" the tips under the rationale that the cook and dishwasher deserve a piece of the tip pie, except the person who manages the tip jar (invariably a manager or owner) has the power to REALLY rip off the employees by skimming the pile of money. This is why you should only tip with credit card if you absolutely hated the service -- you're not tipping the server; you're just giving extra money to the owner. The owner might divvy up the tip money if s/he is feeling nice.
4) Some family restaurants are downright abusive -- and I use the word literally. It really doesn't matter what or how you tip the server if the server is the owner's crotchfruit; it's all gonna go to the pimp.

Granted an owner can get away with only so much before the employees up and quit, but foodservice is low skill so in areas with high unemployment they can almost get away with murder. Granted much of the above is illegal but one of the most lucrative reasons to own a restaurant is to break labor and tax laws. These are worst-case scenarios, but the key thing to note is that you have little control or means of knowing how a restaurant is run.

If you want to be that regular who gets preferential service, pay a $1 tip on the credit card and carry a fat pile of ones for actually tipping the server. Yes this gives the server all the means to cheat on taxes but what's more important is that you're giving the server a way to pocket some of the money even in the worst places.
 
2012-07-09 05:16:22 PM  

cefm: Since it is legal to under pay them (exempted from minimum wage laws) then the government is basically telling them from the get-go that they are not subject to the rule of law - so why be surprised when they turn around and ignore the tax code? They're being legally treated like garbage, which both justifies the tips and the waiter deciding to keep all of it.



Where is it legal to pay them below minimum wage?

When I was a waiter if we had, by some horrible disaster, managed to earn less than minimum wage over a pay period, then we would get our paycheck boosted up to minimum wage. It never happened. Even if we tried to declare none of our cash tips, we'd still be declaring a good 8% of our total food sales and easily clear minimum wage.

To add to Dragonchild's post: if you have a favorite server at a restaurant, or a favorite restaurant period, you can always ask a server where the tips go and adjust what you want to give accordingly. Nobody, afaik, takes it personally if you ask what their wage prior to tipping is and where your tips would go. Asking them what they actually earn total, on the other hand, does border on rude imo (though plenty of people asked me back in the day).
 
2012-07-09 06:04:06 PM  

regindyn: "Fun" fact time: At Papa Johns, tips from online orders via credit card were required to be reported as income. So do your delivery boy/girl a favor and leave the tip off of the order and just give them cash.

/had about $150 in reported tips during a 2-year college dropout run at PJ's


Why should I help someone cheat on their taxes?
 
2012-07-09 06:05:42 PM  

cefm: Since it is legal to under pay them (exempted from minimum wage laws) then the government is basically telling them from the get-go that they are not subject to the rule of law - so why be surprised when they turn around and ignore the tax code? They're being legally treated like garbage, which both justifies the tips and the waiter deciding to keep all of it.


They are not exempted from minimum wage laws. If tips don't get them to that level, they must be paid minimum wage.
 
2012-07-09 07:30:14 PM  

hp6sa: GoodyearPimp: Unsure how Canadia handles it, but I'm sure it will be an even bigger shock to find that wait staff aged 50+ will often suddenly start reporting it all. You see, Social Security and other benefits are largely based on your "best" yearly income. Better to pay the tax for a few years and get bigger checks for the rest of your life.

SS is based on the best 30 years of income... so from that respect wait staff are screwing themselves. However, they are also getting a lot less taken out for SS.


And, for anybody under 40, SS is that absolute worst investment you could make. Better to have the cash now, than the 3 cents on the dollar you'll get back when you're old.
 
2012-07-09 07:31:34 PM  

DKinMN: regindyn: "Fun" fact time: At Papa Johns, tips from online orders via credit card were required to be reported as income. So do your delivery boy/girl a favor and leave the tip off of the order and just give them cash.

/had about $150 in reported tips during a 2-year college dropout run at PJ's

Why should I help someone cheat on their taxes?


To do your good deed for the day.
 
2012-07-09 07:42:05 PM  

Honest Bender: tzzhc4: Tax collectors apparently never worked for less than minimum wage before.

Neither do waiters... Not sure what point you were trying to make.


Tipped minimum wage is lower than non-tipped minimum wage. Tipped employees in my state are anyone who potentially makes 20 dollars or more a MONTH in tips. Granted I haven't worked a tipped job in 20 years but when I did if you had a slow night or got really bad customers you made squat. Doubt things have changes drastically in 20 years.
 
2012-07-09 07:42:46 PM  

hp6sa: GoodyearPimp: Unsure how Canadia handles it, but I'm sure it will be an even bigger shock to find that wait staff aged 50+ will often suddenly start reporting it all. You see, Social Security and other benefits are largely based on your "best" yearly income. Better to pay the tax for a few years and get bigger checks for the rest of your life.

SS is based on the best 30 years of income... so from that respect wait staff are screwing themselves. However, they are also getting a lot less taken out for SS.


Actually, top 35 years, but your lifetime contributions also are factored in.

The key is to marry someone that makes a lot of money so you can claim 1/2 their SS benefit.
 
2012-07-09 07:45:30 PM  

Hyjamon: Honest Bender: tzzhc4: Tax collectors apparently never worked for less than minimum wage before.

Neither do waiters... Not sure what point you were trying to make.

Some states allow "partial wage" where wait staff get paid $2.50 an hour with the assumption that the tips they will receive will make up the difference with what minimum wage is. It can get even worse if the taxes they pay assume they made minimum wage and they got stiffs the whole shift. it is possible to lose money while working.


Thank you, I just checked and only 7 states and Guam don't allow tip credit so my point still stands.

//You can tell a lot about a person by the way they treat wait staff.
//Don't screw with people who serve you food. I never did anything but saw what other people did and it is scary as hell.
 
2012-07-09 07:58:01 PM  

dragonchild: In some states like Ohio, that's more or less the case. OK it's not 50 cents an hour, but the minimum wage for a foodservice employee is around $3/hour. The logic goes that they make up for it with tips, except:

1) Many places are configured in a way that tips are not encouraged.
2) If they don't collect enough tips, the owner is required to make up the difference. None do. (This is also why some places automatically calculate and charge a 15% tip for large parties. It's not to protect the employees; it's to protect the owner. It's really just a price mark-up.)
3) Some places "pool" the tips under the rationale that the cook and dishwasher deserve a piece of the tip pie, except the person who manages the tip jar (invariably a manager or owner) has the power to REALLY rip off the employees by skimming the pile of money. This is why you should only tip with credit card if you absolutely hated the service -- you're not tipping the server; you're just giving extra money to the owner. The owner might divvy up the tip money if s/he is feeling nice.
4) Some family restaurants are downright abusive -- and I use the word literally. It really doesn't matter what or how you tip the server if the server is the owner's crotchfruit; it's all gonna go to the pimp.

Granted an owner can get away with only so much before the employees up and quit, but foodservice is low skill so in areas with high unemployment they can almost get away with murder. Granted much of the above is illegal but one of the most lucrative reasons to own a restaurant is to break labor and tax laws. These are worst-case scenarios, but the key thing to note is that you have little control or means of knowing how a restaurant is run.

If you want to be that regular who gets preferential service, pay a $1 tip on the credit card and carry a fat pile of ones for actually tipping the server. Yes this gives the server all the means to cheat on taxes but what's more important is that you're giving the server a way to ...


AMEN!
 
2012-07-09 07:58:23 PM  

Cubs300: Tips shouldn't be reportable income, IMO. It's not like the majority of people in the service industry are breaking the bank as it is.


I agree. As a diner, I tip the waitperson. When the government brings me my dinner, I'll tip the government.
 
2012-07-09 08:03:03 PM  

tzzhc4: Thank you, I just checked and only 7 states and Guam don't allow tip credit so my point still stands.


What is your point, and what does the underlined phrase even mean? In every state I've worked, tipped employees can receive a wage below the minimum, but their total compensation over a set period (generally a two week pay period) must come out to at or above the mandated minimum wage.

Even if there are states that don't follow that rule, it really doesn't matter; I doubt there is a tipped employee in the state who makes below minimum wage on average. Most jobs that are tip-based tend require something more than the bottom of the barrel employee anyways. I can't see a service business staying in business if they are paying those in direct contact with the customer pennies and those employees aren't getting tipped. I suppose there is an exception to everything though.

tzzhc4: //You can tell a lot about a person by the way they treat wait staff.
//Don't screw with people who serve you food. I never did anything but saw what other people did and it is scary as hell.


This I agree with.
 
2012-07-09 08:09:47 PM  

tzzhc4: Hyjamon: Honest Bender: tzzhc4: Tax collectors apparently never worked for less than minimum wage before.

Neither do waiters... Not sure what point you were trying to make.

Some states allow "partial wage" where wait staff get paid $2.50 an hour with the assumption that the tips they will receive will make up the difference with what minimum wage is. It can get even worse if the taxes they pay assume they made minimum wage and they got stiffs the whole shift. it is possible to lose money while working.

Thank you, I just checked and only 7 states and Guam don't allow tip credit so my point still stands.

//You can tell a lot about a person by the way they treat wait staff.
//Don't screw with people who serve you food. I never did anything but saw what other people did and it is scary as hell.


Agreed on your slashies, but it is possible to work some where for less than minimum wage was the only point I was making.

For those stating that it is up to the employer to make up the difference, I personally never know if you had to make minimum wage for every hour or shift, or if there was some averaging out process that takes place. Also, it is up to the employee to prove they are not making minimum wage, which again, a manager/boss could be a dick about.

example: Min wage = $8. First 5 hour shift: you make $4 an hour got stiffed the whole time, total pay: $20. next 5 hour shift: you pulled down $40 in tips on top of your $4 an hour, total pay: $60. Total pay over ten hours: $80 = minimum wage. So, as your employer am I obligated to make up your shortfall on the first shift even though your two shifts averaged to equal minimum wage?

I have never been able to get a definitive answer to such situations.

And farkers with a GED in labor laws care to weigh in?

/good tipper and always get good service.
//worked in food service and learned to appreciate good tippers/being a good tipper
 
2012-07-09 08:13:18 PM  

DKinMN: cefm: Since it is legal to under pay them (exempted from minimum wage laws) then the government is basically telling them from the get-go that they are not subject to the rule of law - so why be surprised when they turn around and ignore the tax code? They're being legally treated like garbage, which both justifies the tips and the waiter deciding to keep all of it.

They are not exempted from minimum wage laws. If tips don't get them to that level, they must be paid minimum wage.


and the speed limit is 55 mph, yet on some highways going that slow will get you killed regardless of what the signs say. Who is the burden on to prove you are not making minimum wage, how do you prove it and is it worth it to fight?

/reality sucks
 
2012-07-09 08:21:23 PM  

Hyjamon: I have never been able to get a definitive answer to such situations.



Where I worked it was by pay period. To continue repeating myself, it never once came up that a waiter failed to surpass minimum wage over a pay period. As for proving it, they would be able to look at your credit-card based tips, and likely would imply you were a liar if you claimed to earn a much lower average tip on your cashed out tables than your charged tables. I would guess that they would have, if push came to shove, taken the employee's word for it and paid him up to minimum wage. Then they'd cut that employees hours to shiat to get him to quit, or outright fire him (at-will state). If you are waiting tables and not making minimum wage, you should either quit because the place sucks, or be fired for being terrible at the job.

Yes, i know there aren't always other options, but frankly I can't even imagine the restaurant that chooses to make its waiters the lowest paid member of the staff (no offense intended to the back of the house workers out there), which is what they would have to be if the average waiter working there was coming out below minimum wage.
 
2012-07-09 08:26:39 PM  

DKinMN: cefm: Since it is legal to under pay them (exempted from minimum wage laws) then the government is basically telling them from the get-go that they are not subject to the rule of law - so why be surprised when they turn around and ignore the tax code? They're being legally treated like garbage, which both justifies the tips and the waiter deciding to keep all of it.

They are not exempted from minimum wage laws. If tips don't get them to that level, they must be paid minimum wage.


PS..only being snarky since I play a ITG on TV.

Just trying to promote this discussion since I am sure there are farkers who could benefit from this discussion and what options they may have in their situation.
 
2012-07-09 08:33:24 PM  

Smackledorfer: Hyjamon: I have never been able to get a definitive answer to such situations.


Where I worked it was by pay period. To continue repeating myself, it never once came up that a waiter failed to surpass minimum wage over a pay period. As for proving it, they would be able to look at your credit-card based tips, and likely would imply you were a liar if you claimed to earn a much lower average tip on your cashed out tables than your charged tables. I would guess that they would have, if push came to shove, taken the employee's word for it and paid him up to minimum wage. Then they'd cut that employees hours to shiat to get him to quit, or outright fire him (at-will state). If you are waiting tables and not making minimum wage, you should either quit because the place sucks, or be fired for being terrible at the job.

Yes, i know there aren't always other options, but frankly I can't even imagine the restaurant that chooses to make its waiters the lowest paid member of the staff (no offense intended to the back of the house workers out there), which is what they would have to be if the average waiter working there was coming out below minimum wage.


thanks for that clarification. I always worked in the back of the house in restaurants and enjoyed the hell out of it. The cutting-up, cursing and shenanigans one could pull back there and you still had access to the hot hostess/waitresses to hook up with after hours. Plus being able to take home the extra food that would be discarded at the end of the night was great for a college student.

best job i had was full minimum wage in CA, delivering pizzas, paid under the table plus pizza to take home every night during grad school. Due to my scholarships I was not allowed to have another job so cash under the table was great plus tips. Most nights I made $12-15 an hour in the early '00's. Those were honestly some of the best years of my life so far...delivered pizzas for 8 years, still never encountered the lonely housewife who wanted an extra large sausage :(
 
2012-07-09 10:02:28 PM  
I love it when I'm readying about Fortune 500 companies getting tax breaks and presidential candidates who store hundreds of millions in offshore accounts to avoid payingtaxes, and the IRS is going after lower-class servants and their tips.
 
2012-07-10 02:49:35 AM  

meanmutton: Cubs300: Tips shouldn't be reportable income, IMO. It's not like the majority of people in the service industry are breaking the bank as it is.

If your argument is "they're not breaking the bank" then why should a waiter who makes around $15 an hour get to avoid paying taxes when the dishwasher making $8 an hour doesn't?

/trick question, if you're making $8 an hour, you're not paying Federal income tax on that.


I pay Federal Income Tax on $7.50/hr. Granted, I get nearly all of it back on the rebate, but, still, I do manage to pay.
 
2012-07-10 04:34:18 AM  

tzzhc4: Tax collectors apparently never worked for less than minimum wage before.


Wait staff in America get paid min wage dont listen to all the hype...if your tips don't equal out the owner has to pay you min wage



/only tip on first dates
//major city so chances of extra spit are low
///stop begging for hand outs and reform an industry
 
2012-07-10 10:22:31 AM  

cefm: Since it is legal to under pay them (exempted from minimum wage laws) then the government is basically telling them from the get-go that they are not subject to the rule of law - so why be surprised when they turn around and ignore the tax code? They're being legally treated like garbage, which both justifies the tips and the waiter deciding to keep all of it.


Tipped employees aren't exempted from minimum wage laws.
 
2012-07-10 10:35:46 AM  

meanmutton: Tipped employees aren't exempted from minimum wage laws.


You try and get your boss to cover the difference between $2.15 and minimum wage if your tips don't cover it. It might be illegal, but they'll have no problem paying you nothing extra, will suffer no consequences for it, and get to tell you what a shiatty waiter/waitress you are. It would take less time to just fire you and hire a new waitstaffer than try to explain to the district manager why so-and-so got $47 extra dollars on the last paycheck.
 
2012-07-10 10:38:29 AM  

Hyjamon: For those stating that it is up to the employer to make up the difference, I personally never know if you had to make minimum wage for every hour or shift, or if there was some averaging out process that takes place. Also, it is up to the employee to prove they are not making minimum wage, which again, a manager/boss could be a dick about.

example: Min wage = $8. First 5 hour shift: you make $4 an hour got stiffed the whole time, total pay: $20. next 5 hour shift: you pulled down $40 in tips on top of your $4 an hour, total pay: $60. Total pay over ten hours: $80 = minimum wage. So, as your employer am I obligated to make up your shortfall on the first shift even though your two shifts averaged to equal minimum wage?

I have never been able to get a definitive answer to such situations.

And farkers with a GED in labor laws care to weigh in?

/good tipper and always get good service.
//worked in food service and learned to appreciate good tippers/being a good tipper


The law is very clear: each hour you work, you must make minimum wage for that hour. Any tips you use in that hour can be used as a credit towards minimum wage up to $5.13 an hour of credit.

If, in any hour, you do not make the $7.25 minimum wage, your employer MUST make it up to you.

It is the employer's responsibility to ensure that you're making minimum wage and must have all documentation of tipped receipts in order to ensure that they are paying their employees minimum wage.
 
2012-07-10 10:40:54 AM  

Sergeant Grumbles: meanmutton: Tipped employees aren't exempted from minimum wage laws.

You try and get your boss to cover the difference between $2.15 and minimum wage if your tips don't cover it. It might be illegal, but they'll have no problem paying you nothing extra, will suffer no consequences for it, and get to tell you what a shiatty waiter/waitress you are. It would take less time to just fire you and hire a new waitstaffer than try to explain to the district manager why so-and-so got $47 extra dollars on the last paycheck.


You give them notice, once, in writing. If they fail to do it, you file a small claims lawsuit. If they fire you, you file a whistleblower lawsuit in real court. They're actually super easy for the employee to do and incredibly hard for the employer to win.
 
2012-07-10 10:42:51 AM  

Hyjamon: DKinMN: cefm: Since it is legal to under pay them (exempted from minimum wage laws) then the government is basically telling them from the get-go that they are not subject to the rule of law - so why be surprised when they turn around and ignore the tax code? They're being legally treated like garbage, which both justifies the tips and the waiter deciding to keep all of it.

They are not exempted from minimum wage laws. If tips don't get them to that level, they must be paid minimum wage.

and the speed limit is 55 mph, yet on some highways going that slow will get you killed regardless of what the signs say. Who is the burden on to prove you are not making minimum wage, how do you prove it and is it worth it to fight?

/reality sucks


The burden of proof is on the employer.
 
2012-07-10 11:20:56 AM  
Goddamm servers - getting bloody stinking rich on the back of the honest tax payer...they should all be flogged....
 
2012-07-10 12:09:27 PM  

meanmutton: It is the employer's responsibility to ensure that you're making minimum wage and must have all documentation of tipped receipts in order to ensure that they are paying their employees minimum wage.


Bbbbbbut, that would then require the server to pay taxes on their entire tips!

Yeah, waiters want it both ways. They want to biatch that they "don't make minimum wage", but then they don't report and pay taxes on the true amount of money they take in.

Waiters make more than minimum wage. If you feel you aren't, then report all your tips and your employer will be required to make up the difference.

Otherwise, continue to break the law and stop your biatching.
 
2012-07-10 01:08:13 PM  
We worry about this when Charlie Rangel, Tim Geithener, GE, Apple and Maxine Waters screw us out of millions?
 
2012-07-10 03:08:53 PM  

Sergeant Grumbles: meanmutton: Tipped employees aren't exempted from minimum wage laws.

You try and get your boss to cover the difference between $2.15 and minimum wage if your tips don't cover it. It might be illegal, but they'll have no problem paying you nothing extra, will suffer no consequences for it, and get to tell you what a shiatty waiter/waitress you are. It would take less time to just fire you and hire a new waitstaffer than try to explain to the district manager why so-and-so got $47 extra dollars on the last paycheck.


Have you tried, or are you just sticking with your usual anti-TheMan grumbling (which I often agree with)?

Because your story seems pretty ridiculous. It costs a lot more than 47 bucks to hire a replacement. If the waiter is consistently coming up that short, he ought to be either let go due to lack of need for that many waitstaff, or fired for incompetence.

Of all the people getting screwed by our economy, waitstaff have the least to whine about when it comes to pay.

meanmutton: If, in any hour, you do not make the $7.25 minimum wage, your employer MUST make it up to you.


This is not true, they are allowed to average it over the pay period (at least in Michigan). It makes sense logically too. Otherwise every waiter would be required to be paid extra the first and last hour of each shift (come in half an hour early, set up restaurant for 2 bucks an hour, wait for guests to get seated, don't receive tip for at LEAST half an hour after the door opens. Same thing as people approach the end of the shift).
 
Displayed 50 of 56 comments

First | « | 1 | 2 | » | Last | Show all

View Voting Results: Smartest and Funniest


This thread is archived, and closed to new comments.

Continue Farking
Submit a Link »
Advertisement
On Twitter





In Other Media


  1. Links are submitted by members of the Fark community.

  2. When community members submit a link, they also write a custom headline for the story.

  3. Other Farkers comment on the links. This is the number of comments. Click here to read them.

  4. Click here to submit a link.

Report