By Anonymous - 03/10/2019 00:01
Add a comment - Reply to : #
That'd be a big illegal move on your boss's part. Take that paystub to your local BBB and CoC at least, because if he's doing that to you, he's probably screwing customers too. Before that though, let corporate know if possible, because this opens them up to civil liability at least, criminal liability if they don't handle it right.
If you’re in the UK your boss can’t touch any cash tips you receive or deduct the amount from your pay. If the customer adds the tip to the bill and pays by card then your boss is not legally obligated to pass that money to you as it’s deemed to be a tip to the business and not the employee. I’m not sure what the law is in the US and it probably differs between states. A good boss would pass the card tips on or retain approx 10%
just to let you know the way hes doing it, hes not doing it illegally, unfortunately if you live in the states bosses can do this and it sucks being a waitress. it sounds highly illegal and quite frankly it should be but its not. my grandma said to go into the bathroom and put half of my tips in my back pocket or my purse and just report the tips that you "made" that night
So. Tips have to be taxed, the only way for your employer to comply with the IRS is by tracking your cash tips. Each state a service industry worker (I.e. a waitress) the tips come out of your hourly first and then anything above your hourly you get to keep post tax. It’s so the employer can pay their company and employee taxes correctly without requiring you to give them back tips each night to pay for your different IRS deductions. It should all be clearly listed on your states labor laws area of their government website.
Unfortunately, if you're in the good ol' US of A, that's probably legal, depending on the wording of your hiring agreement. Your employer has to pay you at least $2.13/hr plus your tips. If your tips don't balance your pay out to an average of at least $7.25/hr, your employer has to make up the difference. After that, your tips are yours to keep. So basically, your employer can keep up to $5.13 of your tips per hour you work to cover the difference between the minimum he's required to pay you himself and the minimum he's required to ensure you receive.
It’s called Tip Credit. The employer pays you 2.13 an hour but your tips must bring your wage up to 7.25. They don’t keep your tips but they are used to ensure your minimum pay is minimum wage. If he’s docking your pay that is illegal.
So basically, the customers are paying most of the person's wages, leaving the employer to pay very little? How dumb is that? If a server doesn't make any tips , then does the employer actually have to pay the proper wage? That would make me think twice about leaving any tip of i knew the server wasn't getting all of her /his tips.