Instead, how about we pass a law that guarantees a living wage, so that workers don't have to depend on tips?
Silly me. That would be COMMUNISM.
this post was submitted on 22 May 2025
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What it means?
Absolutely nothing because the upcoming One Big Beautiful Bill will absolutely destroy the economy for the people who get tips on a regular basis.
If enacted, workers could deduct all “qualified tips” from 2025 through 2028. Tips must be reported to qualify for the deduction.
In 2023, there were roughly 4 million U.S. workers in tipped occupations, representing 2.5% of all employment, according to estimates from The Budget Lab at Yale University.
“This is a very narrow subset of the workforce,” said Alex Muresianu, senior policy analyst at the Tax Foundation.
“For the lowest income tipped workers, it provides no marginal benefit” Muresianu said. “It would benefit moderate to middle income workers substantially.”
also from another article:
limited to cash tips that workers report to employers for withholding purposes on payroll taxes.
So many caveats it's practically worthless.
Why is it limited to cash? This is hilarious, hardly anyone tipping big is going to use cash.
Because that's the point? The appearance of help while doing absolutely fuck all.
And further entrenching the US in tipping culture where businesses don’t have to pay a living wage and the bill is footed to the consumer.
It’s pretty hilarious. Also a lot of people who work in tipping industries don’t claim their cash tips, or claim way less than they actually make in cash tips.
Because they're already not claiming those. So this does nothing. Except if people starting claiming tips and they get rid of the bill, it will make auditing easier.
It's also apparently tied to banning states from enacting AI regulations.
Who gives a fuck about that, it's tied to making the executive branch immune to contempt charges for ignoring the courts, retroactively no less
And it has a soft abortion ban (and maybe birth control too?) by banning any health plan that gets government assistance from providing it
And then there's weird shit... Like indoor tanning is getting a tax cut, as well as gun silencers
Also, there's the stuff on the label... Stripping food and medical care from the most vulnerable people. Which also fucks over farmers, because food stamps are a farming subsidy
This whole bill is really, really bad
So many caveats it’s practically worthless.
For normal workers who make tips...
For a 14 year old masseuse who works at a golf course getting a "tip" to stay quiet...
Well, they'll get less from the person tipping them than they used to, but value it as more because they don't pay taxes now.
Rich people are going to tip less, and get treated better for it. That's the savings they've always meant, they'll be able to tip less and still get the treatment they want.
Gas station pumps with mandatory tips is what it means.
I am not familiar with any of the tipping laws, but what prevents an employer (now) to withhold the tipping jar from employee's wages, especially now, under the norm of non taxed, in effect non official, incomes?
So, before one would get (income+tips) - taxes; and now only Income - Taxes because on paper the tips don't exist?
Would it be too cynical to think they just want to call their bribes tips so they’re legal and also don’t run afoul of the IRS?