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California Tip Deductions

nakirushnakirush Registered User regular
edited October 2010 in Help / Advice Forum
Hey all,

I work for a restaurant in Los Angeles. I was looking over my paycheck and noticed they took a hefty sum out for the tips I made. It's my understanding (according to Labor Code 351) that it's illegal for the employer to deduct any of my tip money. Could somebody a little more proficient in legalese confirm this?

nakirush on

Posts

  • DeebaserDeebaser on my way to work in a suit and a tie Ahhhh...come on fucking guyRegistered User regular
    edited October 2010
    Did they take out taxes?

    Deebaser on
  • EshEsh Tending bar. FFXIV. Motorcycles. Portland, ORRegistered User regular
    edited October 2010
    nakirush wrote: »
    Hey all,

    I work for a restaurant in Los Angeles. I was looking over my paycheck and noticed they took a hefty sum out for the tips I made. It's my understanding (according to Labor Code 351) that it's illegal for the employer to deduct any of my tip money. Could somebody a little more proficient in legalese confirm this?

    Can you explain it a little more clearly? You get the shit taxed out of your tips, that's normal.

    Esh on
  • nakirushnakirush Registered User regular
    edited October 2010
    It's not taxes. On my check stub it has one area that states how much I made during the pay period (Wage, hours worked, tips (in)) and the taxes taken from those.

    Then under that there's a section for deductions. It says: Tips (out) deducted - $(amount). Then under that the adjusted income for the period. At my other job that uses the same payroll company, they only use this section for when we buy items from them (shoes, uniforms, etc.) - all things we sign off on.

    nakirush on
  • LewishamLewisham Registered User regular
    edited October 2010
    Do you keep all your tips or do you tip out a bartender or something?

    Lewisham on
  • nakirushnakirush Registered User regular
    edited October 2010
    We get to keep all our tips. The deduction is for the exact amount as the declared tips.

    nakirush on
  • FiggyFiggy Fighter of the night man Champion of the sunRegistered User regular
    edited October 2010
    It's probably your tip-out.

    Figgy on
    XBL : Figment3 · SteamID : Figment
  • nakirushnakirush Registered User regular
    edited October 2010
    We don't do tip outs, and you never tip out 100% of your tips anyway.

    Transcription of my check stub:
    Earnings:
    Description Hrs/units Rate Current ($) YTD hrs/units YTD ($)
    Regular 9.07 $- $- 21.23 $-
    Regular 4.09 $- $-
    Tips (In) $95 $95

    Deductions:
    Description Current($) YTD($)
    Tips (Out) $95 $95

    Withholdings
    OASDI
    Medicare
    State SDI CA

    nakirush on
  • FiggyFiggy Fighter of the night man Champion of the sunRegistered User regular
    edited October 2010
    Ask your employer. If it's not taxation or tip out, no idea.

    Figgy on
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  • streeverstreever Registered User regular
    edited October 2010
    Maybe--the law lets them pay you under a certain amount per hour only if you make it up in tips, so they start you at a base pay (let's say 8/hour) and then if you earn that in tips, they deduct the 8/hour?

    streever on
  • streeverstreever Registered User regular
    edited October 2010
    oh wait so basically you only got to keep your hourly?

    did they give you the tips in cash? I'd ask them.

    streever on
  • JebusUDJebusUD Adventure! Candy IslandRegistered User regular
    edited October 2010
    http://www.dir.ca.gov/dlse/faq_tipsandgratutities.htm

    JebusUD on
    and I wonder about my neighbors even though I don't have them
    but they're listening to every word I say
  • Sir CarcassSir Carcass I have been shown the end of my world Round Rock, TXRegistered User regular
    edited October 2010
    streever wrote: »
    oh wait so basically you only got to keep your hourly?

    did they give you the tips in cash? I'd ask them.

    Yeah, if you got your tips in cash, this is how you pay taxes on them. They add the value of it to your gross, taxes are figured, and then they remove it since you already got paid it, leaving you just paying the taxes on that amount.

    Sir Carcass on
  • admanbadmanb unionize your workplace Seattle, WARegistered User regular
    edited October 2010
    nakirush wrote: »
    We don't do tip outs, and you never tip out 100% of your tips anyway.

    Transcription of my check stub:
    Earnings:
    Description Hrs/units Rate Current ($) YTD hrs/units YTD ($)
    Regular 9.07 $- $- 21.23 $-
    Regular 4.09 $- $-
    Tips (In) $95 $95

    Deductions:
    Description Current($) YTD($)
    Tips (Out) $95 $95

    Withholdings
    OASDI
    Medicare
    State SDI CA

    They added the tips you made to your paycheck, calculated the taxes on that total, then subtracted the tips again so they weren't paying you your tops. Unless I'm missing something, I don't see the problem.

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  • streeverstreever Registered User regular
    edited October 2010
    Yea--that's what I thought. I think you already got your tips, in cash, so this is just for accounting purposes.

    streever on
  • nakirushnakirush Registered User regular
    edited October 2010
    Ah, makes sense. I see what they did there. Thanks all!

    nakirush on
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