New Tip Credit Rules Change Wisconsin/Minnesota Employees Income

Next time you go out and eat at a restaurant, pay attention to which state you are eating it in when it comes to leaving a tip, each depends on it but Wisconsin depends more.

In Minnesota, tip credit is not allowed. That employee makes a wage and then depends on the tip. In Wisconsin, their employer can use the tip credit and pay them less per hour depending on how much they make in tips. According to INC with the new laws, they have to be paid a special service minimum wage if they spend a half-hour doing not tipped services like cleaning the dining room.

I know from waiting tables (in Tennessee) the employer promised we would make so much an hour (I think it was $8 hr) but paid us 2.19 an hour because we made tips that would equal $8 an hour. So, when people wouldn't leave a tip or leave a small one, it really hurt us.

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I always tell people to pay 20% now, and if you can't afford to put 20% on top of what it costs to eat at that restaurant then they shouldn't go out. That server, no matter what they are paid per hour, depends on that money you leave at the table. I do endorse leaving 15% if you did not get good service. The money still gives the server something to live on but gives them a message that it could have been better.

I will also tell you this. I knew when I gave bad service because I screwed up or was so busy I had to pick a table I gave less than good service in order to give the other tables good so I could come out of the weeds and not be so busy.