[Bill14564]

Originally Posted by retiredguy123

It is not correct that the tip is added to the minimum wage. Tipped employees are usually paid much less than the minimum wage, and the restaurant is allowed to apply the tip income to make up the difference between the lower wage and the mandated minimum wage.

I understand your point, but I don't think the restaurant can have it both ways. If they are charging a service charge for service, I don't think they should keep that money, and then to expect the customer to pay an additional fee in the form of a tip to the server. Just my opinion.

I believe (here it is) that there is a minimum wage for most workers and a separate, lower minimum wage for tipped workers; the idea being that tips would make up the difference between the two. I believe in the Miami case the restaurant owner successfully argued that the service charge was not a tip and could be used towards the minimum wage.

I agree that the restaurant should not keep that money and then expect the customer to pay an additional tip. However, I believe that is exactly what the ruling was in the Miami case. (and one of the posted links listed similar rulings in the past).

You and I seem to agree on how things *SHOULD* work which is why I care that the sometimes don't actually work that way.