In reading the story, there appears to be much more to it than what’s on the surface. There’s a good chance management had due cause to can her.
The story seems simple enough. She got a big tip and the restaurant had to pay taxes on that tip, so they fired her.
So why does the business pay the tax?
Yet they give no reason for firing her except that the tip is “part of the story”?? Why not tell us why then?
“When something this big happens, people act certain ways and if there’s issues with somebody to begin with, this can cause it to be even worse,” Cousins said. “And then it all just kind of blows up.”
She doesnt need the job
Get some training with that $10,000 and get a better paying job...
They fired her because of the actions of one of their customers.
As for the business paying the taxes, the IRS requires that businesses withhold income tax on tips just as if they were wages. I don't know if businesses are also required to pay the employer half of Social Security taxes on tips, but that may be the case and the business asked that the waitress reimburse them for their half of the SS taxes on $10,000.
Otherwise, the business would have to pay Social Security taxes on 'wages' (tips) without a corresponding income stream.
I never tip on a credit card. I tip in cash. I always give the person the cash, not left on the table. I don’t care if they pocket it or put in a tip jar.
In the old days, the cook was usually the owner and the wait staff low paid. Today, with high minimum wage I question the entire reason for tipping in the first place.
I no longer eat out at 14 USD for a burger, fries and soda. Thus, high wages have forced me out of this situation the past two years.
Thanks DNC.
No good deed goes unpunished.
Tip generously (but not outrageously) with cash and make sure the waiter/waitress gets it in hand. IMO
What did he get “on the side”?
No Good Deed goes unpunished
The business handled this badly. They probably acted in haste and said unkind things rather than negotiate a mutual agreement.
