What are the laws governing wages and tips for tipped employees?

In Virginia, tipped employees are employees who usually receive more than $30 in tips each month. This is in addition to the wages they are paid by their employers. In terms of wages, employers are required to pay tipped workers at least the state minimum wage, which as of 2020 is $7.25 per hour. If a tipped employee’s wages plus tips do not meet the state minimum wage after 8 hours of work, the employer must make up the difference. In regards to tips, employers must also abide by certain rules. They must inform tipped employees of their right to retain all of their tips. Employers may not require tipped employees to pay a portion of their tips to the employer or other employees. Any tips received by employees must be the sole property of the employee who received them. Employers must also make sure that weekly tips don’t exceed the tip credit limit, which is 40 hours of tips per workweek. Finally, Virginia employers must also document that a tipped employee has received a tip. The law requires employers to keep records of tips reported by tipped employees who make more than $20 in tips each month. Employers are also responsible for ensuring that employees report their tips accurately. Overall, Virginia employers must comply with these laws closely in order to avoid any potential penalties or legal action. It is important for employers to understand and recognize their legal obligations with regards to wage and hour laws. Doing so can help ensure that they are not held liable for any legal issues. Additionally, it helps employers ensure that their employees are paid according to the law and are getting the most out of their jobs.

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What are the laws governing wages and tips for tipped employees?

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