What Are the Rules About Tip Pooling?
If you receive tips in your job, it is important to understand the rules about tip pooling, or tip sharing. For many in the service industry, they are paid a lower minimum wage (the "tipped minimum wage" on the theory that regular tips will bring them up to minimum wage.
The tip pooling rules apply whether you are paid regular wages or a lower tipped wage. Basically, the employer can pool and share tips among the people who provide service to customers. They cannot share those tips with anyone who has managerial responsibilities.
This means even if a person is both a manager and a service person, that individual should not be allowed to share in the pooled tips.
Your employer is also required to insure that the total you receive brings you to the regular minimum wage, combining wages and tips.
Learn more here about tip pooling in Massachusetts.
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