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required to tip out 33% of tips received Florida

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  • required to tip out 33% of tips received Florida

    Is this legal? I have found a few posts, some from other states and it usually says tip percentages that are paid out should be "fair and customary". The most I have ever paid was 23% of my tips at any other restaurants. Someone told me that 28% is the max that you can be required to pay out in the state of Florida.

  • #2
    There is no magic percentage. Basically the law was written in that way so that courts could look at what percentage was traditional for that particular type of business. The FLSA was very much a compromise law when it was written in the 1930s, and that particular wording basically grandfathered in traditional practice.

    I agree that 33% sounds very high, but it does not matter what I think. It matters what some court in FL or the federal DOL thinks. I find it extremely unlikely that the state of FL has an actual law on this. The feds certainly do not. What there is instead is simply a long history of court decisions.
    "Reality is that which, when you stop believing in it, doesn't go away".
    Philip K. **** (1928-1982)


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