So the gov taxes servers 4+ percent on their total sales. If a server serves a $100 meal, the gov assumes she made $15 or something, then taxes the server $4. The money gets automatically deducted from the paycheck. I used to work at a bar and my paychecks would sometimes go into the negative. A few dollars, so it wasn't a big deal. But there was this beaner that used to order $150 cognac and not tip, and it pissed me the fuck off. I had to pay for each fucking drink.
Not all restaurants follow that policy, so I'm sure there are some that just allow the servers to do the math themselves. A lot of the larger chains, and businesses afraid of IRS will fully comply though.
So the gov taxes servers 4+ percent on their total sales. If a server serves a $100 meal, the gov assumes she made $15 or something, then taxes the server $4. The money gets automatically deducted from the paycheck. I used to work at a bar and my paychecks would sometimes go into the negative. A few dollars, so it wasn't a big deal. But there was this beaner that used to order $150 cognac and not tip, and it pissed me the fuck off. I had to pay for each fucking drink.
Not all restaurants follow that policy, so I'm sure there are some that just allow the servers to do the math themselves. A lot of the larger chains, and businesses afraid of IRS will fully comply though.
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