You are not really tipping if you pay with a card.

[Star Ferry]

I almost always tip cash … except at really high end places. If you’re at the French Laundry, the servers are being paid plenty and the establishment may actually prefer not to deal with your cash. I recall Gramercy Tavern was cash free for a while, which is now illegal in New York City

[enjoythemusic]

Interesting, thanks for the info OP.

Originally Posted by KathleenL

Tell your daughter to move to California...

Did you do a cost of living analysis for her? As you know, Calif is a very expensive State for overhead / COL. Then again in California any in-store products under $950 in total are free to take, so that's a big plus and may offset any additional living costs

[kieselguhr]

I always wondered. That’s why I carry some cash. Specifically for tipping.

[twitch54]

Originally Posted by Tools

Most wait staff around here put their tips in the pool

don't they get wet ?

[SDGT3]

Originally Posted by KathleenL

Tell your daughter to move to California and get a job as a server.

So she can pay more than $5 per gallon to get to and from work? Or maybe the highest state income taxes in the country?

Tip in cash. There was recently a thread in TRF on "Do you carry cash". This is yet another reason to do so.

Same goes for bartenders, not just food servers.

[AzPaul]

Originally Posted by SDGT3

Same goes for bartenders, not just food servers.

Most bartenders are skimming so much, they won't miss a few tips

[Pw92676]

I did not know this.

I usually tip generously, provided the service warranted. But I always pay card. I don’t think I will change either habit.

[Burlington]

Great post - and before tipping on card I will ask if the money goes to them. If not I will leave cash.

Really surprised at how low the minimum wage is over there. I’m a big believer in fair pay for fair work.

[BroncoOne]

Originally Posted by 904VT

I don't think it has to do with it being a cash tip vs credit card, but rather the restaurant policy and how they do it (unless as BroncoOne mentioned there is a state law). Usually the employer can divide cash tips up too among staff outside of servers if they really wanted too.

The whole tip for wage industry is a sham, allowing employers to skirt their wage duties. For this look to underpaying staff while oversizing portions increasing margins. One of the many policies that have been anti-worker and cut real wage growth. If you were to use a more appropriate CPI basket as well such as what was used in the early 90's, you would see inflation is much much higher than portrayed.

Part of the reason that tipping exists in restaurants is tax avoidance for servers (provided it is cash tips and they report only a small portion of it as income) and payroll taxes and unemployment and other fees on straight wages the restaurant owner pays in a notoriously difficult, thin margin industry. Now is is in the US culture.

[Tricolore66]

I tip on credit card and how they sort it out isn’t my problem. I’m starting to resent ordering at a counter and paying via an IPad for food I have to pickup at the counter, get my own drink, and facing a tip screen that offers 20, 25, and 30% tipping options. If your job can be done by an IPad let’s not pretend that you’re some kind of first-responder please.

[Mendota]

Many restaurants where I live are starting to include a separate line on the check for tip and it goes right to the server, no splitting with the house. A few clients of mine who are servers work for establishments that are including their tips in their reported income. It's a very welcomed change, as being in the lending world, now we have actual gross income to use for qualifying purposes. Before, there was so much non-reported income that it was really hard to qualify servers.

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[Widows Son]

Went to Quaker Steak and Lube in PA yesterday. Paid for six people. They were obviously short staffed. Handed the cash tip directly to the waitress.

[Rashid.bk]

Interesting. Thx for this post op. I value and reward good service and don’t feel my tip to the wait staff should be split with the restaurant. I pay the restaurant for food and the tip is for the staff member.

[Knappo 1307]

OP, thanks for posting this. I had no idea.

[MILGAUSS88]

I just ran across this article and it confirms what this post was all about. Last line in the article.
"However, there were some folks who said that at the coffee shop they worked at they didn’t receive the tips that were processed through the card reader, and that more of the cash just ended up going to the shop."

https://www.dailydot.com/irl/starbucks-baristas-no-tip/

[uscmatt99]

That's doubly annoying as the customer thinks they are rewarding great service with a nice tip and is essentially being lied to by omission, the server is getting screwed, and the restaurant wins.

Carrying cash is a pain and I really only bring cash along for emergencies, usually a $20 or $100. I wouldn't mind doing a mobile payment direct to a server rather than cash. We do this with small businesses all the time here for services with Zelle or Venmo. The only issue is for the more honest establishments that pool tips and distribute to the rest of the kitchen staff as part of their compensation model.

Europe is so much easier. Pay the bill as charged and everyone is happy. I hate tipping culture and the vagaries surrounding it so much

[brandrea]

Originally Posted by uscmatt99

That's doubly annoying as the customer thinks they are rewarding great service with a nice tip and is essentially being lied to by omission, the server is getting screwed, and the restaurant wins.

Carrying cash is a pain and I really only bring cash along for emergencies, usually a $20 or $100. I wouldn't mind doing a mobile payment direct to a server rather than cash. We do this with small businesses all the time here for services with Zelle or Venmo. The only issue is for the more honest establishments that pool tips and distribute to the rest of the kitchen staff as part of their compensation model.

Europe is so much easier. Pay the bill as charged and everyone is happy. I hate tipping culture and the vagaries surrounding it so much

You know it’s funny, but we always tip in Europe too

[Star Ferry]

Originally Posted by uscmatt99

That's doubly annoying as the customer thinks they are rewarding great service with a nice tip and is essentially being lied to by omission, the server is getting screwed, and the restaurant wins.

Carrying cash is a pain and I really only bring cash along for emergencies, usually a $20 or $100. I wouldn't mind doing a mobile payment direct to a server rather than cash. We do this with small businesses all the time here for services with Zelle or Venmo. The only issue is for the more honest establishments that pool tips and distribute to the rest of the kitchen staff as part of their compensation model.

Europe is so much easier. Pay the bill as charged and everyone is happy. I hate tipping culture and the vagaries surrounding it so much

The middle ground I found for myself is carrying roughly $300. That’s usually a couple 1s, $30 in 5s, $160 in 20s, and a $100 bill or two. I fold it into a carbon fiber money clip and it’s super useful for tipping, taxis, shops, restaurants or any other need to transfer small dollars quickly. I’ve never lost the wad, but even if I did, we’re not talking about a big amount.

I get a bunch of bills from the bank at once, so it’s easy to refresh my cash wad quickly

[pickettt]

Originally Posted by MILGAUSS88

I just ran across this article and it confirms what this post was all about. Last line in the article.
"However, there were some folks who said that at the coffee shop they worked at they didn’t receive the tips that were processed through the card reader, and that more of the cash just ended up going to the shop."

https://www.dailydot.com/irl/starbucks-baristas-no-tip/

This is why I don't ever tip electronically. I addressed this in a previous post on this thread. I had a strongly worded conversation with a restaurant owner who I found out was not allowing the server to keep the tips I was giving him. The owner was making all of the servers give up cash tips at the end of the night and then (supposedly) dividing it equally amongst employees. At its core, she's either stealing from me, or stealing from my server...theft nonetheless.

[Krash]

Originally Posted by pickettt

This is why I don't ever tip electronically. I addressed this in a previous post on this thread. I had a strongly worded conversation with a restaurant owner who I found out was not allowing the server to keep the tips I was giving him. The owner was making all of the servers give up cash tips at the end of the night and then (supposedly) dividing it equally amongst employees. At its core, she's either stealing from me, or stealing from my server...theft nonetheless.

Yes, my son worked at a restaurant years ago while in college. They never directly got the cash tips either. At the end of the night, they supposedly divided the tips equally amongst the crew. So if you’re a big tipper and left a $100 bill for a specific waiter/waitress, it was actually divided up and distributed to everyone that worked that night.

So I’m not sure tipping with cash is any better.


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[walds11]

Originally Posted by Krash

Yes, my son worked at a restaurant years ago while in college. They never directly got the cash tips either. At the end of the night, they supposedly divided the tips equally amongst the crew. So if you’re a big tipper and left a $100 bill for a specific waiter/waitress, it was actually divided up and distributed to everyone that worked that night.

So I’m not sure tipping with cash is any better.

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Agreed.

Anyway, I never make it a point to tip in cash unless required to do so.

[JasoninDenver]

What a great lesson that your daughter is learning about the importance of getting an education that allows you to have more control over your job and compensation.

My grandaddy always said to make sure you aren’t at the receiving end of the beatin stick.

[RyanJ]

Deleted my old post.

It just angers me that many business owners love to say how lazy workers are and that none want to work all the while these business owners are basically stealing from them and pretending to be the martyr.

[Star Ferry]

Originally Posted by RyanJ

Gee.. I wonder why restaurants are having a hard time finding people to hire... People say it is just lazy people... You mean a business has been sucking up as much money as it can so it can pay it's servers as low a wage as possible? All while customers thought their gracious tips went directly to the servers and not used to subsidize wages that the owner should be paying anyway...

Color me shocked... Wouldn't it be grand if companies paid their employees a living wage. If the company cant afford it because, restaurants have such tight margins, then they cannot afford to run that business.

100% — entitlement is not limited to employees. Lots of employers feel entitled to a profit, and will go to ridiculous lengths (like garnishing tips that rightfully belong to staff) to achieve that profit

[330ci]

I'd make a scene if I found out this was happening with my tips.

It would be a wildly uncomfortable experience for everyone there.

[pickettt]

Originally Posted by 330ci

I'd make a scene if I found out this was happening with my tips.

It would be a wildly uncomfortable experience for everyone there.

Oh….heads turned and ears perked up.

[MrGoat]

Originally Posted by 330ci

I'd make a scene if I found out this was happening with my tips.

It would be a wildly uncomfortable experience for everyone there.

Originally Posted by pickettt

Oh….heads turned and ears perked up.

Me joining Pickett.


Sent from my Apple privacy invasion product

[Star Ferry]

Originally Posted by enjoythemusic

Interesting, thanks for the info OP.



Did you do a cost of living analysis for her? As you know, Calif is a very expensive State for overhead / COL. Then again in California any in-store products under $950 in total are free to take, so that's a big plus and may offset any additional living costs

In practice, exemptions like that don’t apply to everyone. They’d probably charge me with attempted murder.

[Bstewart]

Originally Posted by Star Ferry

In practice, exemptions like that don’t apply to everyone. They’d probably charge me with attempted murder.

Lol

[zengineer]

Originally Posted by MILGAUSS88

You are not really tipping if you pay with a card. At least in some states.

My daughter recently got her first job, and it was at a restaurant.

This is a national chain, and not fast food.

It pays $10/hr which surprised me, as I know several people that have waited tables and few got more than the $4.50/hr minimum wage that our state has for jobs that are tip supported. (They still have to make the federal minimum wages after tips.)



Well, after my daughter had been there a few weeks, she found out that tips paid by card are applied to her $10/hour pay. With the company paying any shortfall of the $10/hour.

If the tip was paid in cash they could keep it.

I did some research and found out yes this is possible.

So, if you truly want to tip your waiter/waitress, keep this in mind.



While doing research, I also found out that required gratuities, don't necessarily go the waiting staff either.

Your daughter is getting bad tax advice...or maybe I should say incomplete advice. If a cash dip isn't accounted for as meeting the wage threshold then it is technically income.

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