Anonymous
Post 05/23/2025 19:24     Subject: Will you tip less when tips are not taxed?

Anonymous wrote:
Anonymous wrote:I work in tax policy. This is one of the stupidest moments in tax policy history.

At any rate, I won't change my tipping because of it, and I imagine very few will. Tipping culture is ingrained in culture in a way that won't really allow people to tip less.


+1 Such a stupid proposal
But, I will continue to tip as I normally do -- 20 to 25% at a sit down restaurant, 0% at a fast casual / fast food restaurant.


Tell us why... since the paper work involved in tracking tip income is usually not worth the amount the government receives.
Anonymous
Post 05/23/2025 18:46     Subject: Will you tip less when tips are not taxed?

Anonymous wrote:It’s only cash tips. I never carry cash and only ever tip on card. So… no not changing anything

It's not limited to cash tips. That makes no sense. Most people who receive cash don't include the income in their taxes anyway.
Anonymous
Post 05/23/2025 18:45     Subject: Will you tip less when tips are not taxed?

I will definitely reduce my tipping. When I tip, I tip between 20-25% and I include it on my card, not cash. I pay taxes on all my income. What makes tip workers special. I swear, W-2 workers are the only workers paying income taxes these days.
Anonymous
Post 05/23/2025 17:47     Subject: Will you tip less when tips are not taxed?

Anonymous wrote:It’s only cash tips. I never carry cash and only ever tip on card. So… no not changing anything


"You serious Clark?"

Kinda weak troll attempt. Everyone knows CC/etc. are "cashed out" at end of shifts.
Anonymous
Post 05/23/2025 17:46     Subject: Will you tip less when tips are not taxed?

Anonymous wrote:Or it is just big bump up for them?


Everyone is excited about the no taxes on tips.

Even IF people were mean and tipped less, they still come out WAY AHEAD.
Anonymous
Post 05/23/2025 17:44     Subject: Will you tip less when tips are not taxed?

I’ll pay the same 20% I’ve been doing. If there’s a service charge the tip SIL be adjusted accordingly.
Anonymous
Post 05/23/2025 17:14     Subject: Will you tip less when tips are not taxed?

Anonymous wrote:It’s only cash tips. I never carry cash and only ever tip on card. So… no not changing anything


Although the legislative text says "cash tips", this is ambiguous in the context of tips. That is, existing IRS guidance interprets "cash tips" to include charged tips so it doesn't necessarily mean only physical currency.
Anonymous
Post 05/23/2025 16:52     Subject: Will you tip less when tips are not taxed?

Everyone paid with tips is already cheating on their taxes. This annoys me so much
Anonymous
Post 05/23/2025 09:59     Subject: Will you tip less when tips are not taxed?

Great, can I ask my company to pay me $1 in salary and then a $200k "tip" at the end of the year so I can walk away paying zero in tax?
Anonymous
Post 05/23/2025 09:44     Subject: Will you tip less when tips are not taxed?

Anonymous wrote:
Anonymous wrote:I work in tax policy. This is one of the stupidest moments in tax policy history.

At any rate, I won't change my tipping because of it, and I imagine very few will. Tipping culture is ingrained in culture in a way that won't really allow people to tip less.


I don’t understand the logic behind no tax on tips (other than pandering). Why wouldn’t this income be subject to taxes?


Chaotic populist nonsense for MAGA morons. That's it.

Now DoorDash will pay $0 to drivers, customers will bid on the "tip", and that job will pay no tax, while the cook will pay tax.
Anonymous
Post 05/23/2025 08:55     Subject: Will you tip less when tips are not taxed?

Anonymous wrote:Democrats all voted against no tax on tips, I’m so over them I’m voting Republican next time.


The provision is overbroad, easy to just claim something is a “tip”.
Anonymous
Post 05/23/2025 08:34     Subject: Will you tip less when tips are not taxed?

When I used to waitress as a teen years ago, the older waitresses taught me to declare only a small percentage of cash tips. So I only paid tax on part of income.

I guess now with more credit card tips it's different, but for a long time servers were not paying tax on (most) tips.
Anonymous
Post 05/23/2025 08:33     Subject: Will you tip less when tips are not taxed?

Shitty people will tip less. If Congress votes a tax cut for you, is it okay for your boss to cut your pay?
Anonymous
Post 05/23/2025 08:29     Subject: Will you tip less when tips are not taxed?

It’s only cash tips. I never carry cash and only ever tip on card. So… no not changing anything
Anonymous
Post 05/23/2025 08:28     Subject: Will you tip less when tips are not taxed?

Anonymous wrote:I have worked in restaurants for nearly 30 years as a server. Can we discuss it, please. I'm wondering why this is happening possibly.
Every person who files taxes has a different situation, right?
From 1998-2006, I filed as a single person making $10k-$16k a year. This is indeed how little I made fro 40 hours. What taxes do I pay from it? I have almost never had a tax liability.
From 2007-2024, I have filed as HH making $10-$20k max. Big boost for me comes from my tax return.
Maybe it's just me, but if I'm not made to pay taxes as the income is low, I also can't get money from some of the credits or deductions like earned income credit, saver's credit.
Is it possible that this is a bad deal for me personally?
Pardon my English.


Since your income is already so low, this potential change would not matter to you. (With that said, you should switch to another restaurant. Or perhaps working as a tipped server is not for you. Switch to a $15 per hour job at a fast casual restaurant.)