Wondering

Just curious as to what everyone else does. A friend told me years ago that servers, hair stylists and so on often have to split tips at the end of the day. He also said they are taxed 8% on that day's receipts, whether they received 8% or not.

I like to pay for meals with a credit card and leave a cash tip. At the hair salon, I write a check for the cut/color and tip my stylist in cash.

My husband thinks this is ridiculous, but if I received good service, I want the person who actually provided the service to get the tip, not all of his/her co-workers or the business owner. What do YOU do about this?

Myrna

If I pay with a credit card, most of the time I add the tip to the credit card bill. Frequent Flyer miles, you know.

For all others, I tip with cash.

And by the way, the cash tips should be taxed, but not everyone reports them on their tax return, therefore, restaurant owners, etc. are obligated to report a portion of them on an employee's W-2. If not enough is taxed then the employee is obligated to report the difference on his/her 1040.

The reason your taxes and mine are so high is that there is a whole other economy out there getting paid with cash and not paying their fair share of taxes on that income. We don't have a choice. We have our taxes withheld before we get our money. The person getting cash reports as much or as little as they think they can get away with. (Some people are more honest than others.)

Barbara

We had a friend who worked in a large well known restaurant/night club in San Francisco. He used to brag about the large tips he got, and didn't have to pay taxes on.

I certainly don't mind tipping, to help the _poor_ restaurant owner who cannot or will not pay his employees liveable wages, but I feel that these tips should be taxable, just like my income.

I know restaurant owners say that they would have to raise their prices in order to pay there servers more. In fact, we are paying 15 - 20% more for our meals with our tips.

Why tip your hairdresser if he/she owns the shop? I know the obvious reasons!

Maybe I can get my employeer to pay me a part of my salary by check, and the rest in cash, calling it a tip for good work done.

Maybe I'll put a tip jar on my desk (like Starbucks etc..). so that next time I help someone, they will know to give me some extra money. And I thought that courtesy and service were all part of a job .... how naive I have been.

Sorry about getting on my soapbox

April

In small places for breakfast or lunch we leave the tip on the table. Everywhere else we add it to the bill.

Interestingly, friends in Scotland keep reminding us when we're over there NOT to put the tip on the credit card as they claim the servers never see it. Better to leave cash on the table.

x

At my hairdresser, the cashier always asks me if I'd like to add my tip to the credit card bill, and they give me the cash which I hand over to the stylist. Not sure why they do this, but it's fine with me.

tip

Because waiters, hairstylists,colorists,shampoo people like to get cash.

Theresa

I would really like to know: how many of you have the owner of the beauty shop do your hair and then you pay the bill and really do not tip the owner?

I have just started going to the owner of a shop, and it is really, really hard to just pay the bill and not leave a tip.

But it sure would be nice to save all that tip money.

LMN

I never, never add the tip in when paying by credit card; I just write "on table" across that line to make sure no one fills in an amount later.

The reason: often, servers don't see the money until the restaurant owner decides to give it to them, which may not be for a day or two or longer. I heard of one case where the restaurant owner disbursed the credit-card tips weekly via a report from an accountant. By the time it goes through all that, there is no way for the server to be sure he/she is getting tips from tables he/she actually served, never mind being sure the amount is correct.

I figure it's between me and the server how much I actually tip, and I want to make sure the server actually gets the money. It also means I keep a lid on credit card debt without losing all THAT many FF miles.

As to all those soapboxers about taxes, tipping, etc.: Why take it out on people who are nearly at the bottom of the pay scale and who usually work bloody hard to serve you?

Dick

Leaving cash does not mean the server gets to keep it all.

If the server is supposed to "tip out" to the bartender or busboy then they are supposed to include cash tips in thier total.

If they don't include cash tips when they figure out how much to tipout ,,,,,then they are only steaiing from their support staff.

Think the server doesn't get paid much ..then think of the busboy,

If the service is really, really bad,,,I don't tip the server,,,,but I do generously tip the busboy.

njgirl

The owner of the salon does my hair and I also get hair color and manicures.
I tip the manicurist,shampoo girl,and colorist --I do NOT tip the owner.I ahve seen people who did not know better start to give him a tip and he thanks them and says "no,I own the place" with a smile.

Dave

I add the tip to the restaurant bill if it is over $20.

1- FF
2- It is easier.
3- Someimes I don't have the bills.
4- The server knows how much the tip is, since he/she takes the receipt from the table.
5- Indeed, everyone should pay his/her share of taxes. When they don't, it is not the government they are cheating, but all us other taxpayers.

Youmust

It doesn't matter. It's all the same in the end. I can't believe that people are wasting time thinking about this.

goodservice

I agree with Dick, it really doesn't matter if the tip is in cash or on the credit card slip. This is because the server claims eight percent of their total sales, either way. At the end of the night, the sales slips are traded in for cash, this is when the "tipping out" begins. I, also will tip just the bus boy if the service is really poor.

Suzie

I heard from a server that their credit card tips are adjusted for the fee that the credit card company charges the establishment. In other words if the credit card company gets 4% (or whatever amount) of the total charge on the credit card the server loses 4% of his/her tip. We tip in cash and make a line through the tip section of the credit card receipt.

Dick

So they lose 4%(actually 1.5% to 2.0% is probaably more accurate).

Let's see on a $20 tip that amounts to 30 cents to 80%). Since they are probably not going to report the tip as income on their tax return,,,that "taxes" them at a rate of 1.5% to 4.0%.

since I must pay taxes on all of my income, I have no sympathy for someone who is "taxed" at such a low rate.

Margaret

I go to the owner of the beauty salon, too, and I am also to timid to not tip. I wish I had the nerve to just pay the bill and walk out. I guess I am afraid that when I come back, she won't try so hard to do a good job.

topper

topping

xxx

I miscalculated on a stylist's tip once, and after I got home I felt so guilty but didn't have the nerve to go back and give her more money. It was an honest mistake, I usually tip well. After that episode I could never get another appointment with her again. I called three different times and was told by the receptionist that my stylist was either all booked or would be out of town. And we're talking Cost Cutter here folks. Imagine what the high cost salons would do. Anyway, I made one mistake and apparently she never forgot, so I ditched her and found a better stylist.

Nina

I have been going to the same beautician/owner for years. Instead of tipping her, as I see most of the other customers do, we take her out to dinner, or bring back little things from our travels.

Someday I hope to get up the nerve to ask her how she feels about this.

In Paris you tip the movie theater usher just for pointing you to a seat.

Tina

I don't tip the owner, but I always feel so guilty. Someone explained that the tip is built in, because if he were not the owner, he would have to give part of my payment to the owner. And the owner gets to keep all of my payment when he is the one who does my hair. But it still feels funny to walk out without tipping. I'm curious about how more of you handle this.