Nevada

Would Trump’s ‘no tax on tips’ plan actually help Nevadans?

Published

5 months ago

August 2, 2024

Would Trump’s ‘no tax on tips’ plan actually help Nevadans?

Athena Young has spent more than a decade developing her skills as a server. She knows how good she is now – because of the tips she receives while working at The Kitchen at Atomic.

If those tips weren’t taxed, she said, she’d be better able to support herself and her child.

“I’m good at making tips. I’m good at serving. So for someone to take that away from me when it was pretty much a gift for my services – it’d be great if we didn’t tax it as much,” she said. “I have a kid at home. I could definitely use that money for other things.”

A proposal growing in popularity could see an end to federal taxes on tipped income that Young and other workers receive. But experts say the change would bring nominal impact to most workers and is not the best solution to help working families.

‘A really great proposal’

Former President Donald Trump announced the plan to nix taxes on tips while visiting Las Vegas in June, and since then has made it a big part of his 2024 presidential campaign.

While some Democrats and union leaders have called the proposal a pandering move for votes, others – including Democratic members of Congress in Nevada – have nonetheless signed onto bills in the House and Senate.

Members of Congress introduced the “No Tax on Tips Act” in the Senate side and the “Tax Free Tips Act of 2024” in the House that would amend the Internal Revenue Code to exclude tips from the federal income tax.

The two bills differ on payroll taxes, which are used to fund Social Security and Medicare and paid for by the employer and employee, while income tax responsibility falls on the employee. The Senate’s version includes payroll taxes while the House version exempts them. Both would only apply to tipped workers who are employed. Buskers and contracted workers, for instance, would not be included.

Republican vice presidential nominee JD Vance told the Review-Journal on Tuesday that servers are struggling to get by and that Republicans’ proposal would lower their taxes and make it easier for them to report income.

“I think it’s a really great proposal,” the Ohio senator said. “I think it’ll be great for Nevada, maybe more than any other state in the union, because you guys have such a service-built economy here.”

Elected officials on both sides of the aisle in Nevada, whose workforce relies heavily on tips, have expressed support for the legislation. Republican Gov. Joe Lombardo endorsed it, and Nevada Democratic Sens. Jacky Rosen and Catherine Cortez Masto joined in the legislation.

Rep. Dina Titus, D-Nev., is the only Democratic member of Congress in Nevada who hasn’t given the proposal a ringing endorsement. While she doesn’t oppose it, Titus said the proposal can be improved upon to make it more equitable.

“I think you just can make it fairer and better,” she said. “If you’re gonna work on something, let’s work on something that’s real. And that has a chance to get through and can make a difference, not just something you throw out there that sounds good to try to pander to some votes.”

Culinary Local 226, representing about 60,000 hospitality workers in Nevada, initially disregarded Trump’s proposal as a “wild campaign promise” — but weeks later, the union called on lawmakers to support the Congressional bills. Union officials say they took the bipartisan support as a signal to elevate other policy solutions, such as changing tip allocation rates some businesses use to simplify tip reporting and taxation.

“We still say it’s a starting point,” Secretary-Treasurer Ted Pappageorge said. “The idea that somehow taxes on tips is going to be wiped out is ridiculous and tip earners aren’t looking to escape taxes. They just want fair taxes. But we think the starting point is to look at tips for what they are.”

Workers react

Many tipped workers said they see cutting taxes on tips as a way to keep more money in their pockets and not worry about how to report the additional income. Cesar Reyes, a barber and manager at Downtown Vintage Barbershop, said he liked the proposal for its convenience.

“It’s hard to keep track of what you’re getting,” Reyes said. “Some things are cash, some things are card. I don’t really know what you’re getting taxed on.”

Guadalupe Anderson, a food pantry worker at Westgate resort-casino, said she used to work as a busser earning about $14 an hour plus tips from servers. But the tipping process was complicated by union rules that say bussers cannot ask the servers for a cut of their tips, only receive it from them. It bothered Anderson to see small amounts getting taxed, she said.

“I feel like they don’t really see how hard we work, and we still have to pay money out of our tips to the IRS,” Anderson said. “I wasn’t happy. Being in the food pantry, I get paid what I get paid, and they don’t take (extra) money out of it.”

Dean Howard, a bartender at Atomic Liquors, said he doesn’t think the proposal would make much of a difference, at least for workers in Nevada.

“The way I look at it is, it doesn’t matter if I’m a good server. If I’m a good bartender to people and I take care of people, I’m going to make my money either way,” he said.

Howard previously worked as a server in Florida where he was making $2.18 an hour plus tips, he said.

“Damn sure I don’t want you taxing my tips on $2.18 an hour, because I need that tip money to live,” he said. “But out here, we make a pretty decent hourly wage, and we’re still getting good tips.”

He doesn’t mind paying taxes, he said.

“Do I want more money in my pocket? Of course,” he said. “There’s got to be a level of fairness to it.”

Nominal gains

Economists and tax experts say the money returned to the worker may be nominal and would not be the best way to help families. The median individual income in the Las Vegas region is roughly $50,800, and many of those workers depend on tips, according to Andrew Woods, director of the Center for Business and Economic Research at UNLV.

Nevada is one of seven states without a sub-minimum wage option for tipped workers. Silver State workers earn at least $12 per hour, while other states allow employees to pay their workers as low as $2.13 hourly if they earn tips on the job.

Woods said for many, their earnings and the tax credits they qualify for result in more tax returns than tax bills.

“I don’t know if, long term, the majority of people would even see the benefit,” Woods said. “They might see initially in terms of what they take home, but at the end of the year, when it all evens out, they might not see any gain.”

He also said he’s concerned the policy would discourage employers from paying fair wages. Customers may react negatively to increased emphasis on tips at a time of high inflation and discussions of the extent of tipping culture.

Some have pointed out changing the tax code could add more confusion. Francine Lipman, a tax law expert at UNLV’s William S. Boyd School of Law, said if workers don’t report their tips, their gross income could appear much lower than reality – affecting their ability to qualify for some mortgages and other loans, to contribute more to retirement savings and to get more in unemployment benefits.

“I think that will really hurt people, especially working families who have to rely on borrowing even for a rental,” Lipman said.

There’s also a fairness issue, she said. A lot of industries where workers aren’t tipped, such as fast food restaurants like McDonalds, would not see the benefit.

“This is probably not the way to try to help working families,” she said.

‘A better solution’

“A better solution for everybody is really increasing the minimum wage so people have a livable income,” Lipman said. “And that’s reliable income that they can take to a bank, and a bank says that’s your salary, that’s what you’re getting every week.”

Banks like stable income, Lipman said.

An increase in the minimum wage to $15 by 2025 could impact nearly 500,000 workers in Nevada, according to the Economic Policy Institute, and would increase the average annual wage by nearly $2,000.

But Lipman said there is no perfect solution.

“If there was, it would be implemented, and a lot of states are increasing minimum wage to try to combat this issue,” she said.

Contact McKenna Ross at mross@reviewjournal.com. Follow @mckenna_ross_ on X. Contact Jessica Hill at jehill@reviewjournal.com. Follow @jess_hillyeah on X.

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Nevada

Baby's Bounty announce dates for January diaper banks across Nevada

Published

8 hours ago

January 8, 2025

Press Room

Baby's Bounty announce dates for January diaper banks across Nevada

(KTNV) — Baby’s Bounty is once again hosting multiple diaper banks statewide for families in need of these supplies for their children.

Families will be able to receive a week’s worth of diapers and wipes for up to three children.

You must provide a photo ID and proof of parental paperwork (birth certificate, Medicaid card, crib card, social security card, foster or adoption paperwork) to utilize these services.

Henderson:
📍Location: Morell Park – 500 Harris St, Henderson
🗓️ Date: Wednesday, Jan. 8
⏰ Time: 9 a.m. – 11 a.m.
🚙 Drive-thru bank
Registration is required and can be found here.

Las Vegas:
📍Location: Baby’s Bounty Center for Families – 4495 W Reno Ave, Las Vegas
🗓️ Date: Wednesday, Jan. 22
⏰ Time: 9 a.m. – 11 a.m.
🚙 Drive-thru bank
Registration is required and can be found here.

📍Location: Las Vegas Indian Center – 2300 W Bonanza Rd, Las Vegas
🗓️ Date: Thursday, Jan. 30
⏰ Time: 9 a.m. – 11 a.m.
🚚 Mobile bank

North Las Vegas:
📍Location: Martin Luther King Jr. Senior Center – 2420 N MLK Blvd, North Las Vegas
🗓️ Date: Wednesday, Jan. 15
⏰ Time: 9 a.m. – 11 a.m.
🚙 Drive-thru bank
Registration is required and can be found here.

Reno/Sparks:
📍Location: Baby’s Bounty Northern Nevada – 1410 Greg St, #409, Sparks
🗓️ Date: Wednesday, Jan. 29
⏰ Time: 9 a.m. – 12 p.m.
🚙 Drive-thru bank
Registration is required and can be found here.

Mesquite:
📍Location: Salvation Army Mesquite – 742 W Pioneer Blvd, Mesquite
🗓️ Date: Friday, Jan. 31
⏰ Time: 10 a.m. – 12 p.m.
🚚 Mobile bank

Positively Las Vegas on Channel 13

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Nevada

True dual threat Braylon Wilson is hidden 2026 Nevada gem

Published

16 hours ago

January 7, 2025

Press Room

True dual threat Braylon Wilson is hidden 2026 Nevada gem

Playing quarterback can be as simple as zipping the pigskin around the yard, being the guy who can move the chains on the ground when needed, or a leader who can do a little bit of both with the run and the pass. At Reno High School, Braylon Wilson (6-2, 195) excels in all facets of the game displaying a smooth throwing motion, a rocket arm, has the wheels and will truck DBs, and is willing to be that guy putting his team on his back leading them to victory.

The Class of 2026 talent was acknowledged for his play on the field and in the classroom being an All-State Academic selection after throwing for 2,268 yards with 21 touchdowns and rushing for 677 yards with eight more scores in 10 games played after two regular season games were cancelled.

“We run an Air Raid offense,” Wilson stated. “Carson Strong is our offensive coordinator; he previously played at Nevada. He brought a lot of what he ran at Nevada to our offense. He was airing it out there and throwing a lot in each game. At the start of the season we were throwing a lot, over 30 times a game a couple of times. Towards the end of the season, we became more balanced run to pass.”

Wilson continued, “The main routes were over the middle-crossers, dagger routes, posts, a lot of drags, we were big on the crossers because we had a lot of speed at receiver, some outs, and goes; those were our main routes.”

Asked what sets him apart from other quarterbacks in his class, Wilson replied, “I think the biggest thing is the confidence I have in my abilities and my athleticism. I know I can make any play. Will I make all of them, no, but I trust myself that I can make any play. The mindset helps sets me apart.”

In between basketball games and practices, Wilson continues to fine-tune his craft.

“I work with Carson at least once a week and I am working with Cody Fijardo; those are the two main ones I work with,” Wilson shared. “I throw with my receivers during the week. The biggest thing I am cleaning up for next season is my footwork, my reads, and my decision making; I am trying to not do too much. Last year, sometimes, I tried to do it all myself, which can lead to negative plays. I have to keep the explosive and positive plays and limit the negative ones.”

Colorado State, Nevada, Hawaii, Sacramento State, Colorado School of Mines, New Mexico Highland, and Columbia are among the teams recruiting Wilson.

The Rams welcomed Wilson to campus this fall.

“It went well,” Wilson said. “I talked to their coaches, and I saw the program. I camped there last summer, that wasn’t my first time there, but it was great to see everything. I talked to coach Chad Savage, he’s their recruiting coordinator and receivers coach; it was really cool.

“All of Carson’s coaches moved to Colorado State; they run a similar offense to us. It was really cool to watch them run the same concepts. They got a big win over San Jose State. It was cool to see them doing something similar to my team and being successful.”

The Wolf Pack got the backyard talent in for a game as well.

“It was cool to get a closer look at Nevada,” Wilson stated. “Growing up, I have gone to a lot of Nevada games; on the visit I got to see the culture, their facilities, and I was learning about the coaching staff. It has been a struggle there for about 10 years, they are trying to change that; it was cool to see.”

Fans and college scouts will get to see more of Wilson’s live arm and talents this offseason on the 7-on-7 circuit with TMP (Sacramento, CA).

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Nevada

Real-money 5-card draw poker app launches in Nevada, more gaming news

Published

23 hours ago

January 7, 2025

Press Room

Real-money 5-card draw poker app launches in Nevada, more gaming news

JETT/Terrible’s Gaming announced the launch of Terrible’s Mobile Gaming, a new real-money five-card draw poker app available in Nevada, according to a press release.

The multi-player game includes features such as Royal Flush bonuses of up to $4,500 and four-of-a-kind payouts up to $175. To celebrate the app’s launch, Terrible’s Mobile Gaming is offering a deposit match of up to $500 each week.

Terrible’s Mobile Gaming is available for download on iOS and Android devices.

“JETT/Terrible’s Gaming and the Terrible’s brand in general have been making life more convenient for Nevadans for over 65 years,” said Tim Herbst, president of JETT Gaming & Terrible Herbst Inc. in a statement. “Now, we are excited to bring that same level of convenience to mobile gaming—delivering the excitement of Multi-Player 5 Card Draw Poker directly to our customers, wherever they are, and within the palm of their hand.”

The app is available in collaboration with Real Gaming, the igaming platform co-founded by South Point casino-hotel owner Michael Gaughan and tech entrepreneur Lawrence Vaughan.

“Nevada players know that both the JETT Gaming and Terrible’s Gaming brands mean convenience, and that’s exactly what we’ve delivered,” Vaughan said in the news release.

Culinary Local 226 ratifies Fontainebleau Las Vegas labor contract

Members of Culinary Union Local 226 recently voted to ratify a labor contract with Fontainebleau Las Vegas. According to the union, 99.6 percent voted in favor of the labor deal.

The new contract covers nearly 3,300 non-gaming employees at the Fontainebleau casino-hotel, located at the north end of the Las Vegas Strip. It is the first labor contract with the new resort, which opened in December 2023.

According to previous reports, the Culinary workers’ contract is for slightly less than five years, timed to match the span of the citywide contracts agreed to at the end of 2023 and the beginning of 2024 with other Strip operators.

The deal with Fontainebleau comes as Culinary Local 226 workers at the off-Strip Virgin casino-hotel have been striking for more than seven weeks. The union rejected the casino-hotel’s invitation to arbitration in late December.

Sports wagering

Two U.S. states that haven’t legalized sports wagering are making efforts to win approval in 2025.

Oklahoma state Sen. Dave Rader has introduced legislation in the Sooner state to modify the state’s compact with tribal casinos there to allow betting on sports. The bill’s first reading is scheduled Feb. 3.

Under Rader’s proposal, tribes would be required to pay the state 5 percent of the first $5 million in gross gaming revenue, 6 percent of the next $5 million and 7 percent for any revenue over $10 million as a fee.

A bill introduced in Oklahoma last year never made it out of committee.

In Minnesota, state Sen. Matt Klein said he will reintroduce a bill that failed to win approval last year early in that state’s legislative session. The session opens Jan. 14 in St. Paul.

Bill opponents have blocked passage because of fears of gambling addiction and family bankruptcies. Klein said his legislation has protections that would make it the safest sports-betting law in the country.

Washington D.C. and 38 U.S. states have legalized sports wagering and Missouri is establishing rules and regulations to begin this year.

Raising the age limit

New Hampshire lawmakers will consider raising the minimum age to place a sports bet from 18 to 21 under a bill that is expected to be reviewed Wednesday by the state’s House Ways and Means Committee.

New Hampshire is one of seven states and Washington D.C. that set the minimum gambling age at 18 and most neighboring states — Massachusetts, Connecticut, Vermont, Maine, and New York — have 21 as their minimum age.

If signed into law, the bill would likely take effect in mid-2026. Lawmakers will take into consideration the possible loss of $640,000 a year in gaming revenue with the age increase.

DraftKings is the only online sports-betting option in the state.

Macao

Gross gaming revenue in Macao totaled $28.3 billion (U.S.) in 2024, a 23.9 percent increase over 2023, the special administrative region’s Gaming Inspection and Coordination Bureau reported last week.

December revenue of $2.3 billion was off 2 percent from a year ago and was the first month in 2024 to have less monthly revenue than in the previous year.

October was the strongest month of the year with revenue of $2.6 billion.

By comparison, Nevada’s October gaming revenue total was $1.286 billion.

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