How much does your employer make you claim in tips? IYCATT (Admin) | April 25, 2013 | Questions | Comments Hi! I’m curious to know what your employer makes you claim in tips at the end of the night. percentage wise. The Pub I work at just changed ours from 10% to 18%! I’m claiming more then i make sometimes after tipping out service support! ~ Allison Tags:claim tips, claiming tips, employer, server, serving, tipping ettiquette, tips, waiter, waitress Related Posts Do you see this trend in your chain restaurant? Comments | Aug 9, 2013 Banquet…is tipping required? Comments | May 8, 2013 Put The Waitresses On A Diet Comments | Aug 8, 2013 My Coworkers Frequently Stiff Me Comments | May 27, 2013 Chelsea Rodriguez:August 21, 2015 at 6:20 amMy job makes us claim credit card tips & it severely hurts us because i rarely have cash checks & i have to claim more than what I actually make due to tip outs & the credit card fees my boss makes us pay. it sucks because it effects our paychecks & for the moms that get food stamps it looks like they make all this money that they actually are not. I feel like we should only have to claim what we make if we have all credit card fees, but nope it's not allowed. Misti McClure:January 17, 2015 at 12:53 amBecause the Minimum Wage increased this year my employer started a system to Offset having to pay us the difference by forcing us to claim .75 cents for every hour we work the catch is I work in a Video Lottery Establishment that sells .50 cent bags of chips & $3 Bottled Beers,it is completely up to the customers if they leave anything at all!? Some Gamblers are generous and leave a dollar or some change here or there but I can go weeks without even making an extra $5! Its not as if the generous ones actually WIN every time they play so we are looking to loose $22.50 on a 30 hour work week AND be taxed on it as well. This cannot be legal and it certainly isn't fair. Too bad this thread is older I doubt I'll get any feedback but I just had to vent! March 28, 2014 at 3:16 pmi claim everything.. so i can get loans and if i ever get fired wrongfully i will recieve a nice unemployment check. Brian Carcaise:July 12, 2013 at 7:56 amI've worked in different systems, tipping out and claiming different ways. The people you are tipping out should pay the taxes on that money, not you. You don't pay anyone's taxes but your own. Where I work now, I think is the most efficient. Credit card tips are tallied, cash tips are discussed, tipout is reduced, and that's my claimed tips. Server assistants A, B, and C get their tipouts and that money is claimed on THEIR taxes in their paychecks. Erin Dillender:April 29, 2013 at 3:38 amlegally aren't you supposed to claim 100% of your tips? Ashley Varnis:April 29, 2013 at 12:44 amTip out to runners barbacks and any other tipped positon should be claimed and then written off at the end of the year. This advice from my accountant Brandy Lewis:April 26, 2013 at 5:53 amOur tips are calculated for us, but we can modify it. Basically it claims the credit cards, you add in what you made in cash (it give an estimate you can adjust) and then if you tip out additional you enter that in. Once you do all that it should be pretty accurate. If it is way off on any part it will require an manager override. Pretty good system I think. Jenna Richelle Thie:April 26, 2013 at 4:47 amWe were "required" to claim all of our tips, even the ones that we had to tip out. The computer forced us to claim all credit card tips, so on the days that I had all credit card payments with no cash tips, I went home with less than I had to claim. Annette Thie:April 26, 2013 at 1:39 pmGlad you're out of there!! Chris Bebee:April 26, 2013 at 1:02 amAs an employer I am required by law to tell you that you have to claim 100% of the tips you receive...that includes all tipped out employees(bussers, bartenders, hosts, food runners, whoever) As a general guideline it is safer to use the minimum wage rule...claim as much as you need to make 7.25/hour. For those of you who just love to throw around the word lawsuit or threaten to call the labor board...get over yourself Amber Lanane Benson:January 28, 2014 at 11:39 amSo do your employee's fil out a form or log in the tips they make each night? If not, do you think it is ok to assume that you have such a great crew that at the end of the year you can take their total sales(- credit card sales) multiply that by 20% (because they're that good) and claim that amount as their cash tip income for the year? Chris Bebee:August 19, 2014 at 6:18 pmEmployees claim their own tips in the computer when they clock out each day. It is against the law for an employer to claim tips for you. But we an monitor how much you claim and if there is inconsistency with your percentage we can and do have the right to point that out and, discipline the employee for it Let's get real... I have been in this business since I was 13 and you cannot tell me that a server who is worth anything can not make avg of 15 to 20 per hour on a busy night but you want to say that on a slow I got the employer should pay you extra... Jenni Dickson McClure:April 25, 2013 at 10:48 pmClaim what you make. Do NOT claim more than you are making. I was given a talking to once about how i needed to claim more which would mean i was claiming more than I was making. As soon as I mentioned lawsuit, they dropped that B.S. Alicia Abreu:April 25, 2013 at 9:38 pmWe are supposed to claim all of them but nobody says anything if they are right at or a little over the amount of the credit card tips.On day shift I don't have any problem with this but sometimes the night staff gets all their tips in credit cards and they have to tip out the security guy or other helpers and they have to claim the whole thing. Security and helpers don't have to claim tips. It probably works out in their favor in the end considering they won't have to claim extra large cash tips :) Erik Brown:May 3, 2013 at 3:37 amYeh, i'm rolling in cash - ha ha ha ha. Alicia Abreu:May 3, 2013 at 4:37 amI meant that it works out for the bartenders in the end. Only once in a blue moon do the credit card tips make up the majority and they have to claim it all. Bambie Pardon:April 25, 2013 at 9:28 pmwe claim whatever we make so the government can pull out taxes and if we don't make the equivalent of minimum wage(never happened to me) they reimburse us so were not sol at least those are the guide lines Vivian Bracewell:April 25, 2013 at 9:18 pmthe exact amount we received, cash+credit, no more no less, every night. But we split tips so that makes is easier. April Lamkin:April 25, 2013 at 9:01 pmThey are not allowed to tell you what to claim or claim it for you!! I wish i knew that 10yrs ago cause i got screwed over my pay because of a manager mistakenly claiming $200 on a slow ass night!! Mike Shine:April 25, 2013 at 9:00 pmI am required to claim at least 12% of my sales after tip out, I would recommend declaring 100% of the tips that you make though. When you are looking to get a car loan or mortgage claiming 100% of what you make will help you James H Medlock:April 25, 2013 at 8:57 pmIt may not help your paycheck, but there's a section for tip out on your tax return. Hope that helps. Jayme Alexander:February 9, 2015 at 12:18 amHow would you be able to prove what you tipped out, though? Holly McCurry:May 19, 2015 at 5:59 amJayme Alexander the ones thattake home more than 20$ a month are suppose toclaim that i keep up with what and who and what date i tip out for this very reason and my employer claims more than i take home qhich is wrong and im just goin gto find another job itsbnot leagal for me topay taxes on money that someone else takes home and its illegal for them not to claim that money as well Vanessa Capiz Ruvalcaba:April 25, 2013 at 8:50 pmWe have to claim 12% of what we sell and sometimes it's what we actually make or more of what we actually have done. Sarah Mac:April 25, 2013 at 8:37 pmYou're supposed to report 100% of your tips and no more. That being said, I claim myself up to minimum because I don't have to worry about getting a house or anything. But your employer can't force you to claim a percentage. Brian Phillips:April 25, 2013 at 8:35 pmBy LAW your Employer MAY NOT dictate what you claim in tips!!! However, for IRS purposes you Credit Card tips are used as a base. Your cash tips at the end of the filing year are supposed to be no less than 2% below your reported CC tips or you are subject to audit. This is the Government's way of policing the industry. IF YOUR EMPLOYER MANDATES TIP CLAIMING THEY ARE BREAKING THE LAW!!! They can only have you sign a "Tip Allocation Agreement" stating that you will be held liable for any unreported tips in your Restaurant as a whole so make sure the people you work with are claiming their fair share! Kailey Dina:April 25, 2013 at 8:33 pmYour employer is not legally allowed to make you claim anything. They should not know how much you are making. The only thing they can require you to claim is your credit card tips because those they know for sure. Vikki Tikkitavi:April 25, 2013 at 8:32 pmYou should never be forced to claim more than you actually made, and if your employer is making you do so, it may be a reportable offense. Tips are income, and you're required to report everything you make to the IRS, just like everyone else. Use a paper notebook or an app to record your gross tips, what you tipped out = your net tips, and that way if you're ever audited you have a record. Lexi Kennedy:April 25, 2013 at 8:27 pmwe have to automatically claim all credit card tips, but as long as we claim at least minimum wage which is 7.25 nobody will ask questions, I claim at least 90% of my tips because if i ever need proof of how much i make for a house or car i have it. Jason Krentz:April 25, 2013 at 8:27 pmwe are forced to claim 100% credit card tips before tip out and no cash. i work high end service, so basically everything :( at least it's good money! Kristi Geremonte:April 25, 2013 at 8:26 pmwe claim 15% of our sales. the pos sometimes claims higher if they are all credit card payments. so I adjust over the course of my shifts. Leah Ford:April 25, 2013 at 8:25 pmWe are required to claim 100% of our tips leftover after tipping out the service support.