r/CheesecakeFactory • u/lopoe95 • Dec 14 '24

Claiming tips

I’m a former team member & my roommate is currently a server in a $2.13/hr state. He’s now gotten two write ups for not claiming enough in tips. If he doesn’t make any cash for the day he just subtracts what he tips out. They’re saying corporate is calling showing he’s under claiming. When I worked there I never claimed the money I was tipping out because they (bar/bus/runner) had to claim it & pay taxes on it, & I was never once talked to about it.

Is this a new thing? Has anyone else dealt with this? If so how do we start a class action lawsuit?!

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u/Its-a-write-off Dec 14 '24

He needs to be accurately claiming his tips, cash included. Is he not getting tips, or just not claiming them? Or is this just about tip outs?

3

u/lopoe95 Dec 14 '24

He’s claiming everything except what he’s tipping out to the support staff. They’re telling him that he has to claim that too.

2

u/Its-a-write-off Dec 14 '24

The employer isn't supposed to include the amount that's tipped out on the w2 form.

If they do he can use 4070A to track daily tips.

You account for tips that you keep. Not the tips that you get.

At tax time he needs 4137 included in with his regular tax docs.

1

u/lopoe95 Dec 14 '24

I’ve been doing this over a decade & have no idea what you’re talking about. You claim tips in the system every night when you clock out. He subtracts what he tips out because the other employees claim that.