Tips are bullshit and workers should be required to paid a living wage.
and now the employee’s are going to be asking for more tips instead of wage, so they pay less tax.
You think everyone one asking for a tip at the cashier is bad now?
Wait till they put this in.
You think everyone one asking for a tip at the cashier is bad now?
Yeah, this will just make it even more prevalent for sure.
I think the proliferation of tips at almost every register instead of being limited to full service has been bad since the trend started.
In my state restaurants pay the federal tipped minimum of just over 2 dollars an hour. Their entire income is based on tips, and until they are required to be paid a living wage, tips are a necessary evil. I tip them well because I know they are getting screwed on their paychecks more than any other job.
Keep in mind that cash tips tend to not be taxed, which means less going into social security, medicare/medicaid, and other government services. It is still income! But when it was mostly cash it was effectively tax free.
Now that cards are prevalent it is getting taxed, and this ‘no tax on tips’ bullshit instead of requiring a living wage just benefits business. It is a counterproductive ‘fix’ and fuck tipping culture altogether.
You know what the worst outcome of non-taxed tips will be? The fucking wealthy tipping each other tax free to move money around. That is what it will end up being in a couple decades because that is consistent with every other similar ‘fix’ that just avoids requiring a living wage.
Where I’m at it’s automatics, for restaurant jobs 10% of the bill is calculated as additional income for the employee who’s got their name on the receipt, if they want to add more to their taxes it’s up to them but otherwise income is income is income and people need to pay taxes on theirs.
In Oregon, even tipped workers make the state minimum wage, but what that wage is varies depending on location.
Portland metro has the highest, it just went up on 7/1 to $15.95.
Other population centers like Salem, Eugene, Roseburg, Bend, Medford, and tourist spots on the coast have a lower rate of $14.70.
The rural areas where there are more meth labs and cows than people are at $13.70.
Map:
Good for Oregon. Until a living wage is implemented nationwide it is a problem that needs to be addressed.
You call that a living wage? In Washington the minimum is $16.28 statewide, including tipped labor, and it’s $19.97 in Seattle.
What’s wild to me is that the cost of a meal is the same as in places like Pennsylvania where a waiter can be paid as little as $2.83/hr.
Almost like the cost is set by the market, and the owners will cut wages as low as they’re allowed to simply to take more for themselves.
In Oregon, even tipped workers make the state minimum wage, but what that wage is varies depending on location.
How is a varying amount depending on where you live a “state minimum wage”?
I’d rather not further cement tips as a fundamental part of our economic system. It’s gotten so stupid to the point where you get asked for a tip before any service has even occurred and then the “service” is often just counter service which used to not be tipped. By not taxing this income, you’re encouraging more income to be paid through tips to avoid taxes. When you’re making all these little exemptions and special cases, maybe it’s time to rethink the fundamental system so that it works better as a base case rather than having all these poorly-applied bandaids.
This will be the gateway to removing tipped minimum wage and eventually minimum wage. People often forget it is not just the employee that pays taxes on tips, but also the employer. This will also hurt an already struggling SSI system. I’d really like to see a detailed breakdown of a 10 year outlook on this plan.
How about you do something so people aren’t reliant on tips in the first place?
Progress takes time. Overton window and shit like that. Babysteps. Slow, but steady.
This isn’t progress. It is actively incentiving having compensation be tips in the tax code.
Politics is funny, like an oversized truck driven by an oversized grandma whose reflexes have slowed with time. The truck is unwieldy due to its size, and the driver often unable to see over the steering wheel until there is a bump that causes her to glance at more of the road than she’s used to seeing. Even when Grandma does react, the truck is slow to move, and if it moves quickly it runs the risk of tipping over.
We do need bigger change. That change will NOT happen overnight, too much damage has been done. What we need to do is walk back the worst damage, reinforce codes and laws to stop them being overturned by holiday worshipping dick heads, tackle creating a foundation to work off of, and then work towards larger, more meaningful change. In that order. Maybe swap around the middle as needed if blocked by certain justices.
Every single inch will be fought for. Every real change challenged. Harris and the party she hopefully recreates will need our support. Even Old Man Willow Biden bowed when we sang our song loudly enough, together.
This is stepping backwards. It actively incentivizes companies to not pay a liveable wage because tipped income doesn’t get taxed.
Maybe we should talk about the history behind taxing tips…and Social Security checks. Hint: it was Ronald Reagan and he raised them to pay for cutting taxes for the wealthy and corporations
It always comes back to Reagan. This is what happens when you elect an actor celebrity with fucking active dementia to office. He becomes a useful tool to enact policy that the general public does not benefit from because he can remember the lines and deliver it in a package that they are willing to swallow.
Let’s not do it again.
Why shouldn’t people pay taxes on tips, though? I pay taxes on 100% of my income…
My answer would be that there shouldn’t be tips. Everyone should be receiving a living wage and tips should be relegated to the vulgar past.
I agree, but that’s not an answer to my question. It’s an answer to a different question.
This is utter nonsense. Outlaw tips and make them subject to normal minimum wage.
