Do credit card tips come out of my pay check?
I work on a restaurant and was told by an employee that tips I make from credit cards are taken out of my check. At the end of each night, I’m given cash for my credit card tips. I know that they are taxed, but do they really come out of my bi-weekly pay? To me that doesn’t make any sense. For example, at then end of the night I may have 25-35 dollars in credit card tips. Does my employer take 25-35 out of my bi-weekly pay? Since my hourly working wage is low, this would leave me w a crap check. Thanks for your insight.
Can employers withhold tips as punishment?
Last week, one of our employees was written up. In addition, he was also told he wasn't allowed to take tips from the jar for a week, and he was to leave the money for the next shift. I don't think that's right, because he earned the money, he should certainly get to keep it. It's morally wrong, of course, but what about legally?
I bartend, What do I do if my employer claimed more tips than I actually made on my w-2?
You should start by contacting the accounting or payroll department at your former employer and see why the tips reported do not agree with your records. Is it possible that you were allocated tips, because you did not report at least 8% of your sales as tips. Possible outcomes:The employer agrees with you and issues a corrected W2 then you are good.The employer refuses to correct the W2 (even if you use persuasive language like "my CPA said there is a big fine if you file an incorrect W2.) then you have to make a choice:File your tax return using the numbers on the W2 and pay more tax than you think you should because you are over-reporting your income Probably the end of the problemFile your tax return based on what you think the correct numbers are. You will get a letter from the IRS stating that your tax return does not agree and that you owe more tax. (NOTE: It may take as much as 24 months until you receive this letter, so don't think you are off the hook until you are 36 months removed from filing your return.)At this point you either pay the tax plus interest and penalties or you write back to the IRS and provide your written support of why you don't believe the W2 is correct and in fact the information you reported on your return is the correct amount of tips. If your documentation is good enough, you just might even win.
Is it illegal for an employer to not give tips paid on a credit card to employees? ?
It's illegal. Your employer would have to pay the card fees in any case. Talk to the Department of Labor or Bureau of Hours and Wages in your state. Make copies of the credit card slips if you can, with the amount of tips that are listed.
Please explain the logic and legality of employer deducting tips from my paycheck.?
Regis Corp is absolutely criminal. I only go to privately owned salons. I don't care if any Regis owned salon is GIVING AWAY haircuts. I would never do ANYTHING to support their business. They are total liars too. They claim they don't own Great Clips or Sports Clips but look their HQs up online, they are all the same address in Minneapolis. You can ask your boss if Great Clips is Regis. They will look you in the face and lie, and tell you no. Hairstylists are like slave workers today. It is no longer a glamorous or elite profession. ( How do you want your hair cut? Ya want fries with that?) I would contact a lawyer. It may be worth your while to file a lawsuit for recompensation as well as a hefty damages amount. And to the rest of you out there.... TIP in CASH ONLY.
Can an employer keep tips?
I worked a limo driver, i worked a job where the customer gave me a tip on his credit card. The owner of the company stated that I was trying to steal from him because I was with the customer for 10 hours but charged for 6 hours. He stated that the tip would go towards the hours that I was sitting around waiting. The problem is that he (meaning the owner) told me and the customer that as long as you do 6 hours they would get some kind of deal? they did do 6 hours 3 hours before and 3 hours after. there was 4 hours in between that I went to eat. It became a big argument that I didn't want to get into I told him that he needs to keep whatever I made that weekend if it makes him happy! Which is what he did, but the two weeks before he did the same thing one week he deducted money from my pay because the customer gave me a cash tip that they refused to pay the company on their credit card. So any assistance or advice would be greatly appreciate
I make $7.15/hr + tips but my employer has no way of letting me report my earnings...?
Grab a copy of IRS Pub 1244 http://www.irs.gov/pub/irs-pdf/p1244.pdf and make a copy of the Form 4070 for each month. At the end of each month, give the completed Form 4070 to your employer. If your W-2 and pay stubs do not reflect the tip income, advise your employer that you will be properly reporting your tip income to the IRS. You may also wish to advise the employer that the IRS will impose a 100% trust fund penalty on any tax withholdings that the employer fails to properly deduct from your wages. If your employer still refuses to withhold the proper taxes from your tip income, a call to the IRS will fairly quickly bring your employer in line with the law.
In an average chain restaurant, should I tip in cash or credit card?
Are you asking from the viewpoint of what is better for the waiter? Or just in terms of etiquette? For the waiter, a cash tip always works better - he/she doesn't have to worry about being reimbursed from the restaurant. In terms of etiquette, it doesn't really matter if you pay by credit card or cash.
Why do restaurants in the US not swipe the credit card post-tip?
Are all the answers provided by Hemang Joshi, Sun Kim, and Mikka Luster US specific?Here in the UK it is quite common to have the waiter bring the portable card reader to your table, and as part of the process, there is a question if you would like to add a tip, and how much. The waiter usually gives some privacy (i.e. looking at the ceiling) while you make your choice and enter, but they know almost immediately if you've tipped and how much when they tear off the receipt and check the amount + transaction status.Of course, in the UK, it is perfectly acceptable to not tip via your card, but to leave it in notes + coins on the table before you leave, after paying the bill. Also, tipping is not as mandatory in the UK as it is in the US.
Is it legal for my employer to force me to claim more tips than I have made, i.e. 100% of my cc tips, in order to clock out at the end of the shift?
Technically, an employer cannot force you to claim more than 100% of your earned tips. In my opinion, forcing an employee to stay on the clock unless they abide by demands outside of your job description is false imprisonment. Also, by claiming more than you actually earn, you are paying more income taxes on money you never received, which is silly.Keep in mind, 100% of your earned tips includes your credit card AND cash tips received on a shift. Minimum wage laws protect all employees, whether or not they receive tips. Employees are entitled to earn the full minimum wage per hour as set by federal or state law. Currently, the federal minimum wage is $7.25 an hour. If your combined tips plus your hourly wage that is paid by your employee still do not add up to your state’s minimum wage within a 40-hour work week, then your employer is required to pay that difference so that you are at least earning minimum wage.Therefore, two problems may be occurring in your situation. One, your employer is trying to protect themselves by not having to pay that tip credit, which by forcing you to claim more is still breaking the law. Or two, the tips (cash and credit card) you earn plus your server hourly rate does not average out to minimum wage after an average work week. If that is the case, I highly recommend you find another place of employment.