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“No tax on tips” is an industry plant

newyorker.com

501–510 of 618 posts

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

#501

Some interesting points: ~40% of tipped workers don't make enough to get taxed anyway, no tax on tips would actually advantage better paid workers like casino dealers who don't need the help. NToT is described as a campaign to distract from minimum wage increase initiatives.

They may not pay any income taxes, but they almost certainly pay FICA taxes. If the NToT includes FICA, they would be better off. However, I still think it is terrible idea to advantage some employment classes and means of compensation over others like that.

No tax on tips does not apply to payroll taxes (FICA).

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

#502

Earlier quoted context omitted.

Also a tip goes to the pretty face who bring you plates. However, the whole restaurant experience is made by many people: dishwasher boy, prep boy, shef, cleaning lady, etc. They should tip to cleaning lady as dirty toilet can ruin whole "experience".

In many restaurants the tip is split between all of those people. You just don't know it because they don't exactly post their tip policy.

I've heard about shared tips between people who work around the tables, but not with dishwasher/cleaner.

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

#503

Earlier quoted context omitted.

> I disagree. Irish are _much more_ receptive to criticism of the country from immigrants than most countries. Unless, of course, the criticism is someone making a personal observation about how they saw tipping culture expand during their time in Ireland, right? Then the appropriate response is to generalize that Americans love making ignorant comments about other cultures.

> Unless, of course, the criticism is someone making a personal observation about how they saw tipping culture expand during their time in Ireland, right? Then the appropriate response is to generalize that Americans love making ignorant comments about other cultures. Unless they're factually incorrect, which is the case here.

The original poster's subjective, personal experience with tipping culture in Ireland is "factually incorrect"?

Perhaps they just had a different experience than you.

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

#504
post #478

Earlier quoted context omitted.

Is the definition of a good server in this case one who can serve more tables than others in the same amount of time? In most places tips are mandatory and % does not depend much on anything unless someone messed up. Commission on sales is very different from restaurant tips.

Tips, at least in the US has never been mandatory but it is an immense social pressure. Besides, my understanding is that tipping % is arbitrary anyway - there have been studies that show good looking people get more tips.

I think tipping culture has changed a lot in the last 5 years or so, driven mainly by the point-of-sale machines that request tips for seemingly adding no value. I think people have reached the point of tipping fatigue.

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

#505
post #73

Earlier quoted context omitted.

There’s very little empirical evidence correlating tipping with better service.

There is evidence correlating being attractive to getting better tips, interestingly.

Yep, its called the Beauty Premium. There's evidence that being attractive leads to better job outcomes in most industries including higher starting salaries, more job offers, faster promotions, and better performance evaluations.

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

#506

Earlier quoted context omitted.

I don't care about smiling. I care that when I want to leave, I can pay quickly. In Europe, it's incredibly slow, pretty much everywhere, including random rural towns in the middle of nowhere, including for random other patrons who are locals. The best service I ever witnessed in Europe was like, maybe mid-tier American fast casual level: aka, mediocre.

> I care that when I want to leave, I can pay quickly. In Europe, it's incredibly slow Maybe when you come to Europe adjust to the culture. In Europe you don't eat with the clock in your hand so you can run off too the next meeting while you're still chewing. This isn't bad service, it's part of eating out that you don't storm off and take your time. An ordinary European restaurant doesn't work with the tempo of a Mc…

Maybe when you come to Europe adjust to the culture.

We're in the middle of a thread in which hundreds of Europeans are complaining about American culture, which is to tip at restaurants. In fact, the original post I responded to was:

It’s crazy that this still happens in the US. Tipping is a thing of the past. Pay for your meal and have the restaurant pay their people for their work. End of story.

I think it's a little ironic that when an American complains about European culture — which is to be slow — suddenly there's a bunch of tut-tutting from Europeans about "adjust to the culture" (and you're not the only one!).

We're in a thread where people are debating the relative advantages of different cultural practices. I think America's practice of tipping has distinct advantages that make it better. And no, you're not "eating with the clock in your hand' or whatever in America: is just that when you want the check, you get it.

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

#508

Earlier quoted context omitted.

I should have specified that I live in the east-coast United States. Tap-to-pay is almost as common as someone writing you a paper check or an IOU, out here.

Contactless is basically non existent in America? I know America has always been backwards (cheques were still in use well into the 21st century, card pins didn’t seem to catch on before contactless became a thing about a decade ago), but I thought contactless was quite high nowadays, especiallly with phones and watches. Certainly I’ve had no problem paying contactless in the cities I’ve been to recently - New York,…

i don't know why you'd think that. I don't live in a major metropolitan area and have used contactless payments for everything for the last 5-6 years.

Vet, grocery store, fedex/ups, pharmacy, restaurants, retail.

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

#509
I, personally, believe tipping is detrimental because it encourages preferential treatment. When workers know someone is a generous tipper, they often provide better service to that person than to others who tip more modestly.

In many cases, tipping functions like a form of bribery, incentivizing employees to offer favors or services beyond what is appropriate, which can come at the employer's expense.

It can also create resentment toward customers who don't tip, leading workers to offer poor service and fall short in their duties.

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

#510
post #478

> But, when three members of the group came forward to testify, all expressed support for the Tipped Workers Protection Act and opposition to the One Fair Wage Act, which they portrayed as an effort to steal their tips This article is missing a real issue here by trying to make the story all about the employers. Many workers like the tip system because it creates inequality among the restaurant workers. Good servers…

Is the definition of a good server in this case one who can serve more tables than others in the same amount of time? In most places tips are mandatory and % does not depend much on anything unless someone messed up. Commission on sales is very different from restaurant tips.

The final cost of the bill matters more than anything. A server at a higher-end restaurant where the bills regularly exceed hundreds of dollars will earn more in tips serving fewer tables than a server that works at a cheaper casual-chain restaurant (IHOP, Applebees, etc).
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