Published November 17, 2015

Infographic: The Economic Effects of Eliminating Tips

An infographic from Fast Casual magazine sheds some light on the long-term effects eliminating tipping can have for restaurant operators. The infographic highlights how the federal FICA tax credit changes the cost-benefit analysis of a tipped versus non-tipped model. Getting rid of tips could also cost restaurants a substantial tax benefit. For servers, going without tips will make their earnings more predictable, but the overall amount they make make go down depending on their proficiency and where they work.

Read the full article here: Infographic: Economic Considerations of Eliminating Tips