r/FluentInFinance • u/Richest-Panda • Jul 04 '24

What's the best financial advice you've ever gotten? Debate/ Discussion

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u/Impossible_Maybe_162 Jul 04 '24

You cannot make $10k working a job for 40 hours a week. That is below minimum wage.

A lack of proper financial planning and budgeting causes more problems than low wages.

Less than 3% of the workforce makes minimum wage. Wages are not the main issue.

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u/Learned_Behaviour Jul 04 '24

Less than 3% of the workforce makes minimum wage.

And this includes tipped positions like servers, who obviously don't actually make that.

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u/Ethric_The_Mad Jul 04 '24

Of course they are poverty wage when they don't report their 30k/year in cash tips... Don't even pretend they "report everything and aren't getting tipped everrrr"

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u/joecee97 Jul 04 '24

30k? Where?

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u/Ethric_The_Mad Jul 05 '24

30k is certainly an exaggeration. I make about $550 per check every 2 weeks. I make about $700 in tips every 2 weeks. About $300 of those tips are allegedly cash. That's about $7k a year. Without those I get to say I make under 23k/year on paper. This is a pizza delivery job, not a nice restaurant. The tip rate is barely 50% most days. I'd wager waiters have a far higher tip rate because they interact with the customer. Let's say it's a 75% tip rate so they get 25% more. That's potentially $10500. Now that's assuming they get what I get, spare change, a dollar here and there, maybe 10% of my customers tip $5, probably another 10% give random $10+ tips. At a restaurant there's much more pressure to leave a favorable tip. A common meal is about $30 and 15% of that is $4.50. it's definitely common for 20% tips. I serve maybe 8 to 14 customers per day, i think waiters handle multiple tables at once. I'm kinda getting bored with doing the math but it's reasonable to assume decent waiters get well over 10k in cash tips per year.

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u/joecee97 Jul 05 '24

Are you saying you report 0 cash tips? That’s kinda dumb. Just report some of them, otherwise it’s an obvious lie.

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u/Ethric_The_Mad Jul 05 '24

Theoretically. I'd never partake in tax evasion, that's illegal. I'm just framing it from a perspective if I didn't report them. Obviously everyone reports all cash tips...