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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.
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.
No. Good for them having servers paid more than the $2 and change national minimum wage.
No sales tax here so the wage can be lower. :)
Ignoring the fact there's no sales tax on many of the largest expenses (food, rent, healthcare), $14.70 + 10.4% (the highest sales tax in WA) is still lower than the lowest minimum wage in Washington, and in rural Oregon counties the minimum is only $13.70.
How is a varying amount depending on where you live a "state minimum wage"?
Because it is established by a state law.