Before the last Federal Minimum Wage hike, the standard hourly minimum rate was $5.15, the standard hourly minimum rate for employees earning tips was $2.77.
I cant seem to find any information regarding the new rate (if there is one) for employees earning tips!
HELP PLEASE!
2007-08-23 04:19:06 · 4 answers · asked by KristinaZEE 1 in Politics & Government ➔ Law & Ethics
http://www.dol.gov/esa/programs/whd/state/tipped.htm
2007-08-23 04:32:46 · answer #1 · answered by jurydoc 7 · 0⤊ 0⤋
An employer of a tipped employee is only required to pay $2.13 per hour in direct wages if that amount combined with the tips received at least equals the federal minimum wage. If the employee’s tips combined with the employer’s direct wages of at least $2.13 per hour do not equal the federal minimum hourly wage, the employer must make up the difference. Many states, however, require higher direct wage amounts for tipped employees.
2007-08-23 11:30:18 · answer #2 · answered by ♥ Cassie ♥ 5 · 2⤊ 0⤋
This varies from State to State. I have friends that work in restaurants for $2.12 an hour but have to add in their tips to make the legal minimum wage for tax purposes. Others don't claim their tips as income and make the same base pay. (I think this is actually illegal) The pay goes up to State minimum wage when they are not waiting on tables, such as folding napkins or doing cleaning chores after closing.
2007-08-23 11:36:28 · answer #3 · answered by sensible_man 7 · 0⤊ 1⤋
Minimum wage for someone that earns tips is $2.15
Federal over-all minimum wage is 5.15, however, each state has it's own laws governing their state's minimum wage, for instance, here in Texas, the minimum wage was just raised to 5.85.
2007-08-23 11:29:45 · answer #4 · answered by Anonymous · 0⤊ 3⤋