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(KVUE Austin)   Server gets $2,000 tip, but restaurant says it can't process a tip that big. Then it gets weird   (kvue.com) divider line
    More: Stupid, 2005 singles, Emily Bauer, Restaurant, Pet Shop Boys, The Tip, Christmas, Seafood, Restaurants  
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1778 clicks; posted to Business » on 02 Dec 2020 at 4:50 PM (7 weeks ago)   |   Favorite    |   share:  Share on Twitter share via Email Share on Facebook



37 Comments     (+0 »)
 
View Voting Results: Smartest and Funniest
 
2020-12-02 3:06:01 PM  
can't process a tip that big

i.imgur.comView Full Size


Missed an opportunity in that headline
 
2020-12-02 3:18:45 PM  
Server gets $2,000 tip, but restaurant says it can't process stealthily skim from a tip that big without the server noticing.

FTFY


/'Murica
 
2020-12-02 3:50:42 PM  
Employers steal tip money all the time.
 
2020-12-02 3:57:17 PM  
But they'll process the rest of the bill.

This is called theft. They can split that tip up four times to cover the server. They'd just rather pocket it all.
 
2020-12-02 4:56:32 PM  
Sounds like the guy didn't have enough left on his credit card for a $2k tip.  I bet he knew it.
 
2020-12-02 5:10:39 PM  
The card processor for the restaurant may have a high ticket limit on the account since their avg sale may be around $50. It's a risk thing. Restaurants are sketchy sometimes.
 
2020-12-02 5:13:03 PM  

mcreadyblue: Sounds like the guy didn't have enough left on his credit card for a $2k tip.  I bet he knew it.


It might have even been his bank flagging the charge as suspicious and declining it.
 
2020-12-02 5:14:18 PM  
Server only processes TinyInt
 
2020-12-02 5:23:03 PM  
If you folks read the article, it sounds like the tip was declined.. restaurant told her to go the news, she did.. but that's where it gets murky.

The waitress told other people on social media that the news article was accurate, but is telling another story when called out by her employer. Given that she has only worked there a short time, I suspect she won't be there much longer.

If they were slammed and he told them to just cancel everything.. I doubt he was leaving a tip. He probably signed the guest copy and left.. then she filled out the restaurant copy, added a tip for herself, and turned it in.
 
2020-12-02 5:25:08 PM  
Restaurant calls out the server for lying, the paper for harassing them, blames the guy who gave the tip for not coming in.  Way to take something good & screw it up multiple ways.  I'm sure they'll probably fire the server next.
 
2020-12-02 5:26:57 PM  
I work at a restaurant. Average ticket sales are $20 for two people. We do some catering for bigger orders but those are still around the $200 range mostly. Our card processor will flag overly large tips and require confirmation from the business owner (not just the server or shift manager) to make sure a $10 tip didn't accidentally get made a $1000 tip. If we don't confirm it it wont get recorded and we won't get paid for it.

I don't know what the limit is and since I'm not the owner I don't really know what the owner has to do to confirm it but I only know these things because we mistakenly put $1000 in a tip and had to erase it. But all that said, and dnrtfa, it may not be a corrupt business trying to get their take. And I'm quite the jaded pessimist, just saying it might not be all evil greed.
 
2020-12-02 5:32:18 PM  

Pinner: The card processor for the restaurant may have a high ticket limit on the account since their avg sale may be around $50. It's a risk thing. Restaurants are sketchy sometimes.


This is the correct answer.  And, without the guy coming back, they can't even break up the check because each one would have to be signed.  So the whole charge can't even be processed.

And, as The Flexecutioner inferred, 99 times out of 100 a charge that big is probably an error.
 
2020-12-02 6:06:33 PM  
My Bank would flag a $2000 tip on a $69 bill.  Also the waitress even says in the followup post that the news station took a 15-20 minute interview and edited it way down.  She even says in the interview she told the reporter the cc machine read invalid when they tried to process it. Sounds like the aired version left that part out.   I'm blaming the news station for sensationalizing the whole thing.
 
2020-12-02 6:39:11 PM  
Our system can't process a tip of that magnitude!
external-content.duckduckgo.comView Full Size
 
2020-12-02 7:57:41 PM  
Leaving a big tip like this is always a bad idea. It doesn't make sense, there are many ways it can go wrong, it will undoubtedly be taxed incorrectly...

The article even calls it a gift. A gift is not a tip, and a tip is not a gift.
 
2020-12-02 8:03:40 PM  
This is why Mr Beast always tips with cash or gold bars...
 
2020-12-02 8:16:56 PM  
Unusually large tips are best done in cash.

If I spent $70 on food, add a $2k tip, and the CC company takes 2%, that's a $40 cost to process, and the server gets $2k and the restaurant made $30. I would set a limit so that tips don't bump the transaction fee into loss territory.

If the guy owned restaurants, either he knew this and did it anyway, or he owns seriously upscale eateries where this kind of thing is normal. Like the kind where there's a Champagne Room in the back.
 
2020-12-02 8:28:04 PM  
The Flexecutioner:

Normally getting the owner to confirm is a stall tactic while they confirm with the card holder.

You know how most owners are when people they normally owe money too call.
 
2020-12-02 8:31:13 PM  
 
2020-12-02 9:16:38 PM  

AuralArgument: The Flexecutioner:

Normally getting the owner to confirm is a stall tactic while they confirm with the card holder.

You know how most owners are when people they normally owe money too call.


It doesn't help that our owners are way out of date on current tech. There are newer systems we'd love to use but they hate learning new tech as they've always been computerphobes and they don't want to pay a person to handle it because they don't trust many services. It's tough trying to reason with them.
 
2020-12-02 9:27:26 PM  

hubiestubert: But they'll process the rest of the bill.

This is called theft. They can split that tip up four times to cover the server. They'd just rather pocket it all.


I'm not sure they can. The tip is a one time item. It might be why they can't just give her $500 either. It's not a $500 tip, and it's not 4 $500 tips, it's $2 Grand. There may actually be legal reasons that they can't do this tied into credit card purchases and everything.

I'm not guaranteeing this, but it would actually make sense. Hopefully the guy will see the story and bring some cash by for her.
 
2020-12-02 9:35:06 PM  

recondite cetacean: Unusually large tips are best done in cash.

If I spent $70 on food, add a $2k tip, and the CC company takes 2%, that's a $40 cost to process, and the server gets $2k and the restaurant made $30. I would set a limit so that tips don't bump the transaction fee into loss territory.

If the guy owned restaurants, either he knew this and did it anyway, or he owns seriously upscale eateries where this kind of thing is normal. Like the kind where there's a Champagne Room in the back.


It also means she needs to pay income tax on it...
 
2020-12-02 10:17:41 PM  

recondite cetacean: Unusually large tips are best done in cash.

If I spent $70 on food, add a $2k tip, and the CC company takes 2%, that's a $40 cost to process, and the server gets $2k and the restaurant made $30. I would set a limit so that tips don't bump the transaction fee into loss territory.

If the guy owned restaurants, either he knew this and did it anyway, or he owns seriously upscale eateries where this kind of thing is normal. Like the kind where there's a Champagne Room in the back.


Chris Rock - No Sex ft. Shadow
Youtube j9yBPcn8IqU
 
2020-12-02 10:18:44 PM  
Tipping in cash is still the way to go. The money goes directly to the server, not the owner.
 
2020-12-02 11:07:06 PM  
Solid tipper tips in CASH ONLY.

credit card tips generate an unavoidable tax burden.
And cost the restaurant money on top of it.
The CC processor charges a % of the total bill with tip.
But the business is still expected to hand over the full tip amount not sans the CC fee the tip amount made the business taker out of their margin.


in the end tipping to the fook bs ass bs way to let anyone be paid. tips are just so the employer can avoid paying a full decent wage for the work. OR for rich a holes to try and buy privilege treatment.

So if u must and you want to be on the tipped one's side, tip in cash at least.
but fook the tipping system all around i say.
 
2020-12-02 11:26:57 PM  

KarmicDisaster: Our system can't process a tip of that magnitude!

Fark user imageView Full Size


IT'S A TIP!
 
2020-12-03 12:33:34 AM  
Hmm.  I suspect the woman was working with the tipper, knowing this would hit the news.  It just smells fishy to me.
 
2020-12-03 1:59:54 AM  
FTA: "I was like, 'wait.' I just opened it and started crying. I was like, 'oh my God! My kids! I'm going to spend it all on my kids,'" said Bauer, whose boys are 2 years old and 5 months old. "I was like, 'oh my God.' I've never had a Christmas where I've been able to like splurge on them."

Yeah, she's an idiot
 
2020-12-03 6:19:00 AM  
This is why you always tip in cash.
 
2020-12-03 9:27:44 AM  
Must be the credit card processor or point of sale system.  Earlier this year we hosted a small event (very small like under 30) and the host left an additional $900 dollars for the staff after it was already done and paid for.  An additional check was made for $1 and then the $900 tip added on.  I was skeptical that it would go through, but it did.  (the cc company did double check with the customer via an alert which they OK'd)
 
2020-12-03 9:54:29 AM  

Exception Collection: Hmm.  I suspect the woman was working with the tipper, knowing this would hit the news.  It just smells fishy to me.


Given the post above yours, it looks fishy...  can't smell it, though.
 
2020-12-03 11:27:16 AM  
2-year old looks at $1000 worth of Christmas presents, wonders where the boxes are to play with.  5-month-old looks at $1000 worth of Christmas presents, wonders when next feeding time is.
 
2020-12-03 11:43:32 AM  

Marcus Aurelius: Employers steal tip money all the time.


No, they don't. It is against federal law to do so. Employers can make you pool tips, but the rules for who gets a cut are strict and connected to the tip credit.

In some states the restaurant can take out card processing fees, but no more. In others, they have to foot any fees.

The places that "steal" are the ones with 'service charges' (some states have protections). If you sit down at a restaurant and it has a service charge, ask the manager if it goes 100% to staff. If they say no or can't answer, I recommend giving a tip to your server and leaving.
 
2020-12-03 6:33:12 PM  

Likwit: Marcus Aurelius: Employers steal tip money all the time.

No, they don't. It is against federal law to do so. Employers can make you pool tips, but the rules for who gets a cut are strict and connected to the tip credit.

In some states the restaurant can take out card processing fees, but no more. In others, they have to foot any fees.

The places that "steal" are the ones with 'service charges' (some states have protections). If you sit down at a restaurant and it has a service charge, ask the manager if it goes 100% to staff. If they say no or can't answer, I recommend giving a tip to your server and leaving.


It's the ones that do steal tips that make the headlines.  There's a sports bar chain here in the Philadelphia area called Chickie's and Pete's whose owners cheated their employees out of 8.5 million dollars.  citation These scumbags still operate the businesses and go on like nothing happened.  Still have deals with local sports radio and other places.  This happened six years ago and I haven't spent another time in any of their scumbag places since.

The owners of these places should have been put in jail.  To get off with a fine and settlement is bullshiat.
 
2020-12-03 6:43:35 PM  

Russ1642: Tipping in cash is still the way to go. The money goes directly to the server, not the owner.


It's not the owner, it's taxes. When a server cashes out at the end of the night, cc tips are subtracted from the cashout amount. But, they are on the record and registered as income, so your they are official and all that. Otherwise, I think the standard tip amount is 12%, so a big tip like that would get taxed.
 
2020-12-03 6:46:28 PM  

Mikey1969: Russ1642: Tipping in cash is still the way to go. The money goes directly to the server, not the owner.

It's not the owner, it's taxes. When a server cashes out at the end of the night, cc tips are subtracted from the cashout amount. But, they are on the record and registered as income, so your they are official and all that. Otherwise, I think the standard tip amount is 12%, so a big tip like that would get taxed.


They can get taxed but they first have to make it to the server.
 
2020-12-03 7:36:37 PM  

BunkyBrewman: Likwit: Marcus Aurelius: Employers steal tip money all the time.

No, they don't. It is against federal law to do so. Employers can make you pool tips, but the rules for who gets a cut are strict and connected to the tip credit.

In some states the restaurant can take out card processing fees, but no more. In others, they have to foot any fees.

The places that "steal" are the ones with 'service charges' (some states have protections). If you sit down at a restaurant and it has a service charge, ask the manager if it goes 100% to staff. If they say no or can't answer, I recommend giving a tip to your server and leaving.

It's the ones that do steal tips that make the headlines.  There's a sports bar chain here in the Philadelphia area called Chickie's and Pete's whose owners cheated their employees out of 8.5 million dollars.  citation These scumbags still operate the businesses and go on like nothing happened.  Still have deals with local sports radio and other places.  This happened six years ago and I haven't spent another time in any of their scumbag places since.

The owners of these places should have been put in jail.  To get off with a fine and settlement is bullshiat.


Any halfway decent POS system should prevent that (not because they're designed to, but because they just handle everything automatically and the vast majority of transactions in restaurants now are cashless). I work in a business tangentially related to the service industry and I've never seen that kind of behavior. The worst thing I've seen is incorrect tip pooling, but I can only recall one instance where a manager included himself. YMMV
 
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