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“No tax on tips” is an industry plant

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Re: “No tax on tips” is an industry plant

#181

Post by johnisgood »

gambiting wrote: post #173
johnisgood wrote: post #145

Earlier quoted context omitted.

Tipping is a thing in Eastern (to be more accurate: Central) Europe too, but where I live, tipping is not taxed. Actually, let me be more accurate: people who pay with credit card always tip in cash, as there is no way to tip with a credit card[1]. :P If you buy anything with a credit card, the total amount must always be identical to the sum of the prices of the products, it can never be more, so cannot include tips…

>>Actually, let me be more accurate: people who pay with credit card always tip in cash, as there is no way to tip with a credit card. Eh? I don't know if you consider Poland eastern europe(I don't really), but I tip with a card all the time in Poland, you just ask "hey can I leave a tip on the card" and they bump up the amount by whatever you want to tip. And no, the amount doesn't then equal what's on the receipt -…

I tried tipping with card, and they told me that they can't "bump it up" (as in, they will get in trouble if they do). I suppose it depends on the place. I know for a fact that you can't tip with a credit card for parcel couriers. What I do not know for a fact is restaurants. So I suppose it varies. You tip doctors with cash, too. It is illegal to do so, but people do it and doctors expect it, it is just done more discretely.

I was not referring to Poland, but Hungary. What gave you the idea that I was referring to Poland? :P FWIW, I do speak Polish though, and I have many Polish friends.

Re: “No tax on tips” is an industry plant

#182

Post by CalRobert »

Al-Khwarizmi wrote: post #179
CalRobert wrote: post #132

Earlier quoted context omitted.

I spent half my adult life in Ireland, had kids there, built a house there, etc and like to think that during said time I learned a few things and noticed changes. I do think part of it related to POS systems normalizing it. But it is certainly possible that our experiences differed. It was more common in Dublin 2 than in Offaly I'd say... Honestly something that was a bit galling was that the Irish would moan about…

> Honestly something that was a bit galling was that the Irish would moan about Ireland morning day and night but the instant a foreigner made _any_ observation that wasn't rainbows and sunshine we were out of our lane and needed to shut up. In Spain we tend to have a similar attitude. Not really telling people to shut up, but if foreigners criticize our country we tend to get defensive, even if they are saying thing…

Yeah, but when immigrants to my home country complained we generally agreed. I mean, why wouldn’t people experiencing the same system have similar complaints?

Re: “No tax on tips” is an industry plant

#183

Post by Wololooo »

ffsm8 wrote: post #157
bilekas wrote: post #131

Earlier quoted context omitted.

I don't mind tipping for exceptional service, I do however have a major issue with the obligation of tipping. It really should not be on the customers to pay the employees salaries directly.

I do, it creates perverse incentives and dehumanizes people. Imagine yourself catering someone and then having them talk about how great that is and wanting to pay you for that. Not in abstract but actually, in practice. It nails down the servant role, frankly. It feels abhorrent to me, even if you get numb to it over time. From my perspective, tipping is a socially acceptable way to establish classes. Which itself i…

It really depends on the amount. In Belgium for instance there would be no tipping, but rounding up or adding one or two spare coins of change you still have on you in case the service was excellent.

It is like any job where people get a bonus because they have gone above and beyond.

Re: “No tax on tips” is an industry plant

#184

Post by itake »

reissbaker wrote: post #171
itake wrote: post #68

Earlier quoted context omitted.

https://archive.is/20250731232051/https://www.newyorker.com/... > Some tipped workers, like bartenders, can make more in tips than a junior software engineer lol. Less taxes definitely helps their cause. neat, but you can only deduct up to $25k and the benefits phase out if you earn more than $150k (single filers).

I think most bartenders would appreciate an extra $25k.

I am sure they would! but that isn't what the law says. Its a $25k DEDUCTION.

If someone earned $125k salary + $25k in tips. Their taxable income would decrease by about $6k (or $500/mo, 4% overall).

Re: “No tax on tips” is an industry plant

#186

Post by shazbotter »

reissbaker wrote: post #171
itake wrote: post #68

Earlier quoted context omitted.

https://archive.is/20250731232051/https://www.newyorker.com/... > Some tipped workers, like bartenders, can make more in tips than a junior software engineer lol. Less taxes definitely helps their cause. neat, but you can only deduct up to $25k and the benefits phase out if you earn more than $150k (single filers).

I think most bartenders would appreciate an extra $25k.

Deducting 25k does not mean taking home an extra 25k. It means, probably, somewhere around $1-3k, depending on their tax bracket.

Re: “No tax on tips” is an industry plant

#187

Post by Al-Khwarizmi »

CalRobert wrote: post #182
Al-Khwarizmi wrote: post #179

Earlier quoted context omitted.

> Honestly something that was a bit galling was that the Irish would moan about Ireland morning day and night but the instant a foreigner made _any_ observation that wasn't rainbows and sunshine we were out of our lane and needed to shut up. In Spain we tend to have a similar attitude. Not really telling people to shut up, but if foreigners criticize our country we tend to get defensive, even if they are saying thing…

Yeah, but when immigrants to my home country complained we generally agreed. I mean, why wouldn’t people experiencing the same system have similar complaints?

Oh, OK. I was thinking about foreigners that are here just for a visit. Immigrants get treated like one of us in this respect. In fact immigrants soon experience the horrors of our bureaucracy when they need to obtain their papers, and this typically creates opportunities to bond with the locals by venting about it :)

Re: “No tax on tips” is an industry plant

#188

Post by shazbotter »

godelski wrote: post #50
toomuchtodo wrote: post #28

Earlier quoted context omitted.

Seven states do not have a separate, lower minimum wage for tipped employees. Instead, they require employers to pay tipped employees the full state minimum wage, regardless of tips received. These states are Alaska, California, Minnesota, Montana, Nevada, Oregon, and Washington. Sixteen states use the federal tipped minimum wage of $2.13: Alabama, Georgia, Indiana, Kansas, Kentucky, Louisiana, Mississippi, Nebraska,…

> Seven states do not have a separate, lower minimum wage for tipped employees All workers, in every state, must be paid at least minimum wage. There's a subtle but important difference in wording. There is no "lower minimum wage" for any employee anywhere. The rule is that employers may credit tips towards pay, up to a certain amount. And they can never credit 100% of pay. So tipped employees should always earn: min…

This is a lot of words for a distinction without a difference.

Re: “No tax on tips” is an industry plant

#189

Post by itake »

JumpCrisscross wrote: post #101
omnimus wrote: post #92

Earlier quoted context omitted.

When they treat you better? In the last 2 minutes after you payed just before you leave?

> In the last 2 minutes after you payed just before you leave? Definitely the next time I come back. Restaurant workers should earn a good wage. Tipping should not be mandatory. But tips, in particular large tips, are fine and work globally.

What do you think about the tip-free section in: https://www.mollymoon.com/icecreamforeveryone

Quick summary:

- Tipping results in lower pay for certain genders and races.

- laws that protect employees don't apply to customers. Your boss can't make inappropriate comments and pay you less if you complain. But if a customer makes inappropriate comments, its perfectly legal for the customer to pay you less if you reject their advances.

Re: “No tax on tips” is an industry plant

#190

Post by CalRobert »

Wololooo wrote: post #183
ffsm8 wrote: post #157

Earlier quoted context omitted.

I do, it creates perverse incentives and dehumanizes people. Imagine yourself catering someone and then having them talk about how great that is and wanting to pay you for that. Not in abstract but actually, in practice. It nails down the servant role, frankly. It feels abhorrent to me, even if you get numb to it over time. From my perspective, tipping is a socially acceptable way to establish classes. Which itself i…

It really depends on the amount. In Belgium for instance there would be no tipping, but rounding up or adding one or two spare coins of change you still have on you in case the service was excellent. It is like any job where people get a bonus because they have gone above and beyond.

Is this changing as cash gets less common?
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