Originally Posted by
gj83
IRS assumes 8% is the average. I didn't wait tables regularly, but during HS I would wait tables periodically and the restaurant encouraged us to just take 8% of our sales and write that down as the amount of our tips.
Edit:
Although on researching this it sounds like it's 8% on the restaurant's end, not the server's end...but if all tipped employees claimed 8% of sales as tips then the restaurant would be 8% as well.
http://www.irs.gov/Businesses/Small-...urant-Tax-Tips
I've always been a great admirer of the IRS
* - one of the free world's great institutions. So if its good enough for the IRS then its good enough for me - 8% tips it is from now on.
*Except when they take 30% out of my Las Vegas Slot jackpots (and the Slot Attendant expects me to share 10% of my pre-tax good fortune with them)