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Old 06-16-2003, 10:44 AM   #30 (permalink)
gov135
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Location: Midwest
Quote:
Originally posted by PlatinumBlonde
i take tipping very seriously foor 15 years i was a waitress, people dont realize we dont get minimum wage and we are taxed on the total sales we do ev3eryday we work. every cent helps
There are several ways to meet Uncle Sam's requirements. The burden is on the employer. The way you describe above (total sales), PB, is unfortunately, the one that hurts wait staff the most. It is also the easiest to do, which is why it is employed so often.

Taxing on total sales can be a burden simply because the averages don't work out in God's Country, Georgia as neatly as they do on paper in Washington, D.C. If you do 300 dollars in sales, you are expected to make 30 dollars in tips that nite under the method you used. However, we know that on average, you make less then ten percent a table. So you end up being taxed on money you were only assumed to see. And, no, it doesn't make up for the one nite a week you hit over fifteen percent.

I hope one of the things this thread does is that the younger people on this board who may wait some tables in the future will ask prospective employers, "how do you calculate tax on tips earned." The differences in methods are worth dollars.
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