Bye Bye tips?

[Carson Dyle]

A number of restaurants already do this and have been doing it for years, estimating the tips based on gross sales. I have a friend that works at popular local restaurant who often owes the restaurant money at the end of a pay period. He gets a low hourly wage (as allowed for tipped service industry workers) plus tips. After taxes he usually gets a check for just a couple of bucks or else a slip in his pay envelope telling him how much he has to pay them.

 

[brianmanahan]

expected this to be about treasury inflation protected securities

disappoint 🙁

 

[JEDI]

expected this to be about treasury inflation protected securities

disappoint 🙁

TIPs has been dragging down my 401k.
but since I don't expect to need the money for 30+ yrs, i'm buying more cheaper when I rebalance at end of yr.

 

[ch33zw1z]

Yeah, those waiters living high on the hog. That gravy train has got to stop.

damn straight. It's not like they even work hard...:sneaky:

 

[brianmanahan]

TIPs has been dragging down my 401k.
but since I don't expect to need the money for 30+ yrs, i'm buying more cheaper when I rebalance at end of yr.

i was thinking about gettings tips at one point but decided to get ibonds instead, since they cant go down and because they leave more room in my 401k/ira for other stuff

 

[Engineer]

those pensions are a HUGE reason why so many companies cant make a profit, government too.

The postal worker pensions are going to kill postal service very soon.

It's not the pensions that is going to kill the postal service, it's Congress' forcing them to pre-fund the pensions for 75 years in advance. The postal service is having to fund pensions for people who have not been born yet. If Congress would get out of the way and let the postal service cut what needs to be cut and pay into the pension what other corporations pay in, they would pull out of this mess largely intact.

As for those complaining about paying tax on tips, people are supposed to be doing it anyway. But as said, if the employer doesn't do it, the people won't do it. Just like sales tax....nobody will do it by themselves (use tax) if the business doesn't do it. Just more expense added to business to take care of what the people are supposed to be doing for themselves.

 

[who?]

The USPS problem is having to prefund retiree health benefits, not pensions.

 

[Phoenix86]

Depends on how high property taxes are. Several no income tax states more or less have a property tax that is a defacto income tax because it is so high(and the fact people tend to get as much house as they can at their income level). Most of Texas has absurdly high property taxes because debt is shifted to the local levels and property taxes go to service that debt. $5k on a $250k house with no income tax or $1.5k on a $250k house with a modest income tax is a wash/state with income tax could come out a head depending on the persons income.

That's an incomplete picture, Texas has one of the lowest cost of living. Even if you only look at property taxes you have to consider what's being taxed. Average house costs $150K here.

 

[Engineer]

The USPS problem is having to prefund retiree health benefits, not pensions.

I've never heard of prefunding health benefits so if true, that's a first.

Regardless, I've seen the 75 years in advance number thrown around several times. That's bullcrap!