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View Diary: Fired Applebee's Waitress Speaks Out to "The Guardian" (445 comments)

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  •  I always tip 20% (5+ / 0-)

    and try, if I've planned ahead, to give cash instead of including it on a card payment.  That gives the server the option of not declaring the cash to avoid the tax.

    •  Ah geez, don't say this, but do give cash (8+ / 0-)

      Let's not encourage people NOT to declare their tips and under-report income to the government. This is no better than any other tax evasion scheme, and the fact is if you get audited, or enough waitstaff at the restaurant do it, the person will get caught - the IRS is very good at catching this.

      Now, for the reason to give cash - many restaurants and other places like hair salons, etc. where people get tips have begun deducting the amount of the credit card fee from the amount of tips that the waiter/waitress or the individual hairdresser gets, which are put on credit cards.

      So, do give cash so the waiter/waitress gets the full amount.

      Liberalism is trust of the people tempered by prudence. Conservatism is distrust of the people tempered by fear. ~William E. Gladstone, 1866

      by absdoggy on Wed Feb 06, 2013 at 10:43:56 AM PST

      [ Parent ]

      •  Yeah it seems to be a new thing... (4+ / 0-)

        ...this making the tipped employee pay for the credit card processing of the tip.  I waited for about 7 years, and it was only in my final year I ran into this - at a restaurant that I'd worked at for years....  It's like it came out of the blue.  We FoH staff were furious.

        •  Well, it came out of 2 things: (2+ / 0-)
          Recommended by:
          xomnow, mconvente

          First, the fees charged by the credit card companies have gone up and up - on average, runs about 2.5% to 3.5%.

          Second, the % of payments on credit cards has gone up - the restaurants I used to do the books for saw their credit card payments go up to about 80% or more of all sales.

          So, the company was seeing credit card fees become a good 2% of their gross sales. Then, with tips going on the cards, and with tips at 15% of the bill x 80% of the sales, this was like paying a credit card fee on another 12% of sales, but of course, not actually sales for the company.

          So, this works out to a cost of .25% of actual sales on top of the 2%.  

          I fought it when the owner wanted to do it, but lost.  

          Liberalism is trust of the people tempered by prudence. Conservatism is distrust of the people tempered by fear. ~William E. Gladstone, 1866

          by absdoggy on Wed Feb 06, 2013 at 05:08:45 PM PST

          [ Parent ]

      •  cash in hand (3+ / 0-)
        Recommended by:
        absdoggy, aitchdee, Calamity Jean

        There is also something to be said for putting the cash right in the hand of the server. At least that way you can be sure they are getting it. I don’t know what it is about the restaurant business but it seems to have more than its share of ethically challenged employers. I have sometimes wondered if the money I write on the tip line goes where it should.

        Outside of a dog, a book is man's best friend. Inside of a dog, it's too dark to read. - Groucho Marx

        by Joe Bob on Wed Feb 06, 2013 at 03:37:50 PM PST

        [ Parent ]

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