Service Charge

LD2011

We booked our hall and there is a 22% service charge on food & beverages that was included per person. There is also an asterisk that says "this is not a gratuity and is not the actual amount paid to staff." 

This may sound stupid but I didn't want to look cheap and ask what that 22% was. What else could they be charging us for? I thought it would be built in for those people who generally do not tip?

In every day situations we are 20%+ tippers but to be honest, we really don't really want to tip separately on top of that. I feel like they're already getting so much money from us, is that wrong?

lisalou402

We have 21% tacked on as gratuity.  And then tax.  I know we have to tip certain people separately as per our contract as well, adn then I'm sure my FI will be a tipping maniac on top of that.  I would just clarify with them on the phone.

kahb

I was told by the owner of a catering hall that the 20-22% service charge/gratuity is for the banquet managers. The owner said that the charge could be avoived if you can deal directly with the owner instead of banquet manager.

lucyslove

I don't know why it isn't gratuity or tax?  I would ask because that is a lot of extra money!!!!

RachRoseK

I'm wondering about this myself, but personally, I think a service fee IS a tip.  Unless you have a contract without a service fee, there's no need to tip, but of course you can always tip on top of the service fee. 

jmarchionni

My contract says the same exact thing, so I asked our banquet manager if we would be expected to tip on top of it.  He assured me that we would not be tipping anyone on top of it and that their waiters are paid hourly and therefore do not rely on tips.  FYI, it might say "service charge" because in NY, the price++ must be independent of each other, meaning that it can be price + gratiuity and price + tax, but the gratuity cannot be based on the price+tax, and vice versa.  Saying that its a service charge allows the venue to get around this, and likely also has something to do with the venue paying the servers (tax and reporting tips) etc.

When I questioned my banquet manager about this he dropped the price just because he felt that he hadn't been 100% as clear as he would like to be.  It only re-affirms my belief in us choosing the right venue. 

slbriz34

Most contracts are like that and many consider it a tip, others do not.  I'd double check with your vendor.  Ours was not a tip, so we added on top of it.

smsuzie

Its horrible -this service charge.  A couple of vendors told me that this is the gratituty but then some said that the head people get tipped on top of that.  Its absurd.  Should be a law!

TristenMD

In Response to <a href="http://forums.theknot.com/Sites/theknot/Pages/Main.aspx/local-wedding-boards_new-york-new-york-city_service-charge?plckFindPostKey=Cat:Local%20Wedding%20BoardsForum:114Discussion:308f9593-1184-480e-9830-e508c9810dfePost:43e4cc7c-16ff-4153-8cba-1faef28a205e">Re: Service Charge</a>:
[QUOTE] The owner said that the charge could be avoived if you can deal directly with the owner instead of banquet manager.
Posted by kahb[/QUOTE] 
 If a viable option, this sounds best to try and deal as much with the owner as possible.  You bring up a good point as to whether or not it would come across cheap, but hidden (or otherwise unforseen fees) can only be accounted for so much.  It's bothersome many of the costs are not as transparent as they should be.  In the end, the bottom line really does matter.  Even in instances where a budget is very flexible, vendors and hosts could make their businesses a lot less complex by being more forward and concentrating on the end number without confusing with additional fees which may or may not need further explaination.  Who to tip, who not to tip, is it included. 

yaayet

We have the same thing, 20% plus tax, plus tip for the staff and the banquet manager is expecting something as well. I asked about the 20 % and they said this is a salary for the banquet staff ( all the srevers etc) plus the rental of whatever ( not sure what). Usually when you work for catering company your salary is 100-200 per night/gig. So this 20% is to cover that and then they want a tip on top of it, You don't have to tip, it;s not something you HAVE to do ( like any restaurant) but you are expected to tip about 8-15 % from you total bill before tax and gratuity. You don't have to tip on the tax and grat included amout bc that is actually illegal. Tip or grat is always calculted before tax even thou server pay their taxes off of whole sales amout ( that includes tax). I have worked past 12 years in hospitality industry and know banquet stuff with , my eyes closed. It really hurst to have this extra 8-15 % bc it seems like a little number but amount wise it is huge. I hate it but there really is no way around it unless you find a venue that has everything included in this 22% ( 20 for staff and 2 for the house).
People that are expecting to get a tip at your wedding:
party manager ( sometimes they expect to get 2% of the party $$)
band members if they are doing a great job ( about 20 each)
catering chef or kitchen ( not when the food comes form the venue)
captains of servers
whoever is going to marry you usualy gets a little thank you present on top of thier fee/donation

Weddings are so expencive even if you try to do it on a low budget your tip's for people will add up..

sorry;-(