Why do you tip?

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frostedflakes

Diamond Member
Mar 1, 2005
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Originally posted by: JS80
Originally posted by: illusion88
Originally posted by: EMPshockwave82
Originally posted by: illusion88
In Utah waiters and Waitresses make $2.10 an hour, this doesn't even cover their taxes. All of their hourly wage, plus about $100-150 of their tips, is given to uncle sam. That means that their only usable income is off of tips. If you don't tip at waiter in Utah, they aren't making any money. Don't like it get another job? Who the fuck is going to serve your food then?

You get taxed on your taxable income. So if the person makes 2.10 an hour they cant be taxed more than that. Unless Utah has some crazy "everyone pays $10,000 in taxes" rule then your statement does not make sense.

Tips are taxable income. You have to declare your tips at the end of your shift. Having worked in a few restaurants in Utah, I have noticed that most people are pretty honest about it. If they get a night were they get a bunch of cash tips, they usually declare a much lower amount than they actually got, but most of the time they declare all of their tips.

To pay for taxes a waiter has to A) write the company a check when they pick up their paycheck. Or B) give half of the tips back, and they collect whatever is left after taxes on their paycheck.

$2/hr waiters DO NOT report all of their income. A lot of the time cash tips are kept off the books.
Yeah, this is how it's been done at the few places I worked at. CC tips were reported, but most/all cash tips weren't.