@perks1207 I am going to jump on my soapbox here on this one. Why would you not want to pay 3% to pay your employees wages. Especially when this money isn't even yours? I feel like this is a situation where the business is being "cheap" or "stingy". You want good employees and you want them to get paid or you will end up with bad ones. Just add 3% to the price of your stuff.
It is legal to deduct the processing fee from tips, but you can't hide it from your employees when you subtract the processing fee. Otherwise it seems like you don't want the employees to know you even do it which lends itself to my first point.
The way it looks is if you process 200k in tips you are processing 1-2 million in sales and you are trying to recoup 6k. I think the restaurant industry as a whole are cheapos with respect to tip credits and the whole 2.17 wage and minimum wage. I don't like mandated 20$ an hour, but for tip staff, be a good employer and handle this on the back side. I guarantee you are spending more time stepping over the quarters to save this nickel.
I am sorry if my tone comes across in a negative way, but I want you to be better and in my experience this is a better business practice.
Donnie
Multi-Unit Manager
Order Up Cafe/Tombras Cafe/Riverview Cafe/City County Cafe
Roddy Vending Company, Inc.
www.OrderUpCafe.com
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