Robyn, the wages vary state to state. Where I am it is $2.13 an hour. But that gets entirely consumed by taxes. Then I usually owe more in April. Some states pay their servers more. CA for instance pays servers minimum wage - which just went up to $7 something recently. Must be nice.
Willie, all credit card tips are supposed to be reported to the IRS. So yes, we pay taxes on those fully. Cash tips are a different story. That's up to the particular waiter and what he chooses to claim on a nightly basis as having received in cash. Where I work, 95% of my tips come from credit cards - many of them the thick black AmEx's.
Willie, all credit card tips are supposed to be reported to the IRS. So yes, we pay taxes on those fully. Cash tips are a different story. That's up to the particular waiter and what he chooses to claim on a nightly basis as having received in cash. Where I work, 95% of my tips come from credit cards - many of them the thick black AmEx's.