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Do you know that the tips a waitress gets are meant to compensate her for the discrepancy in salary up to the minimum wage? If they are paid $2.35 (usual in our area) then they should make tips that would get her up to the minimum wage hence the need to report them to the owner. It is the owner's responsibility to make sure that everyone makes at least minimum wage. Many times, this does not happen here in New Mexico. Small business owners are unaware of the pay laws. 20% is the usual amount for the bare minimum. Good or excellent service always gets a big tip from me. I used to be a waitress years ago when the sun was little bitty in the sky and there weren't no dirt, it was all rock!