Nevada

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

Published

1 year 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.

Source link

Nevada

Nevada City to weigh water/wastewater treatment fee hikes

Published

11 hours ago

January 27, 2026

Press Room

Nevada City to weigh water/wastewater treatment fee hikes

Water and wastewater users in Nevada City could see fee hikes coming down the pipe as the City of Nevada City is currently going through steps needed to do so.

According to the city staff report, water users would see a 25% increase in costs each year for the next 5 years, while wastewater use would result in a 12% increase each year for the next five years.

For example, a water user currently paying $48 bi-monthly in fees, would be paying $198.41 bi-monthly by 2030.

A current wastewater user paying $159.31 bi-monthly, would be paying $250.67 bi-monthly by 2030.

“It is necessary to periodically review rates to ensure that the City can obtain sufficient funds to develop, construct, operate, maintain, and manage its water and wastewater system on a continuing basis, in full compliance with federal, state, and local requirements,” a staff report prepared by Interim City Manager Joan Phillipe said.

Council and staff will convene on the matter at their next regularly scheduled council meeting this Wednesday January 28 at 6:30 p.m. at Nevada City Hall, 317 Broad Street.

“It is recommended that City Council select a rate option for both water and wastewater and direct staff to initiate the Proposition 218 noticing process. This will involve public engagement and noticing to receive and consider feedback regarding the proposed rates and with public meetings and a hearing as mandated by Proposition 218 for formal adoption of rate adjustments,” the staff report said.

City to look at Enterprise Fleet services

Also at Wednesday’s meeting, the city of Nevada City will consider approval of an agreement with Enterprise Fleet Management to the tune of up to $400,000 per year.

“To increase fleet efficiency, reliability, and reduce expensive repair and fuel costs, staff has researched leasing options that would be a benefit to the organization,” the city staff report reads. “The City of Nevada City currently purchases all fleet vehicles on a cash basis, meaning the entire cost of each vehicle is paid at the time of purchase. This can be heavily impactful to the city as a whole and difficult to adequately budget for. Utilizing Enterprise Fleet Management would yield moderate savings while simultaneously improving fleet viability, safety, and appearance.”

Source link

Nevada

Nevada hosts newly minted MW member Grand Canyon this Tuesday

Published

23 hours ago

January 26, 2026

Press Room

Nevada hosts newly minted MW member Grand Canyon this Tuesday

RENO, Nev. (KOLO) – The Nevada Men’s Basketball team will host new Mountain West member Grand Canyon University this Tuesday.

The game will be played in Reno at 7:30 p.m. on Jan. 27 and will be broadcast on FS1.

This will be the fourth time the two programs have played.

GCU is coming off a 68-57 win over Fresno State and are 14-6 on the season.

Meanwhile, Nevada is coming off an 80-73 loss to New Mexico on Saturday.

Source link

Nevada

22 things to do this week: Nevada-UNLV, Brew HaHa and more

Published

1 day ago

January 26, 2026

Press Room

22 things to do this week: Nevada-UNLV, Brew HaHa and more

Does it seem like everyone’s getting snow but us? While most of the country is digging out from a round of snowstorms, northwestern Nevada and the Sierra are struggling through low-precipitation conditions.

This week might bring a degree of relief, with a chance of precipitation from Wednesday through Sunday, especially around Lake Tahoe.

We might not have much of a snowpack, but the calendar is packed. Nevada men’s basketball has a pair of home games this week, including a big one on Friday night against in-state rival UNLV, and the Reno Ice Raiders will host a two-game set against San Diego. The Sierra Arts Foundation’s annual beer-and-music fundraiser is set for Saturday night, and the concert lineup includes everything from country-rock to indie to jazz and funk.

Here’s a look at the week ahead for Reno, Sparks, Lake Tahoe and northwestern Nevada as the calendar rolls into February.

Reno-Tahoe events, Jan. 26-Feb. 1

Carnival of Chaos Tour, Jan. 26: Quite a mixed bill here, as rapper Ouija Macc and Wacco The Kidd team with humorous punk/metal band Green Jelly and a troupe of wrestlers — all hosted by Insane Clown Posse member Violent J. It all begins at 6:30 p.m. at Virginia Street Brewhouse, 211 N. Virginia St. Tickets are $35-$40. Details at jmaxproductions.net.

Weakened Friends, Jan. 27: For a decade, this band from Portland, Maine has been beguiling indie rock fans with its post-punk influenced sound. They play at 7 p.m. at Holland Project, 140 Vesta St. Tickets are $17-$19. Details: 775-742-1858 or hollandreno.org.

Nevada men’s basketball vs. Grand Canyon University, Jan. 27: The Wolf Pack hosts the Lopes in a Tuesday evening matchup at Lawlor Events Center, 1664 N. Virginia St. Tipoff is set for 7:30 p.m. For details and tickets, call 775-348-7225 or visit nevadawolfpack.com.

Dexter and the Moonrocks, Jan. 27: A country-rock group from Texas that has dubbed its sound “Western space grunge,” this band plays at 8 p.m. at Virginia Street Brewhouse, 211 N. Virginia St. Tickets are $30-$40. Details at jmaxproductions.net.

“Lonely Planet,” Jan. 28-31: It’s the final week for this two-person play about gay friends navigating loneliness and connection against the backdrop of the AIDS epidemic in the 1990s. Performances are at 7:30 p.m. Wednesday, Thursday, Friday and Saturday; Wednesday’s performance includes a 60-minute pre-show, “Living Memory: An Intergenerational Conversation.” It’s happening at Brüka Theatre, 99 N. Virginia St. For details and tickets, visit bruka.org.

Dave Mason, Jan. 29: The famed singer/songwriter/guitarist known for his time with Traffic, session work and a solo career will be sharing stories from his new book, “Only You Know And I Know” at this spoken-word event and will answer audience questions during this show. It takes place at 6 p.m. at Nashville Social Club, 1105 S. Carson St., Carson City. Tickets are $130-$140. Details at thenashvilleclub.com.

Your Arms Are My Cocoon, Jan. 29: A lo-fi emo-pop concoction from Chicago, this solo artist plays at 7 p.m. at Holland Project, 140 Vesta St. Tickets are $12-$15. Details: 775-742-1858 or hollandreno.org.

The Bunny The Bear, Jan. 29: This band from Buffalo, New York that mixes electronic music with metal plays at 8 p.m. at Club Underground, 555 E. Fourth St. Tickets are $5. Details at clubundergroundreno.com.

Sang Matiz, Jan. 29-31: With a myriad of influences, this Bay Area band combines funk and jazz with music from South American and Africa. They play at 7 p.m. the first night and 8 p.m. subsequent nights at Terrace Lounge, Peppermill Resort Casino, 2707 S. Virginia St. Details at peppermillreno.com.

“The Cottage,” Jan. 29-Feb. 1: A comedy about marriages, secrets and human relationships, set in a cottage in the English countryside. Performances are at 7:30 p.m. Thursday, Friday and Saturday and 2 p.m. Sunday at Reno Little Theater, 147 E. Pueblo St. For details and tickets, visit renolittletheater.org.

Nevada men’s basketball vs. UNLV, Jan. 30: It’s rivalry time! The Wolf Pack hosts the Rebels in a Friday night matchup at Lawlor Events Center, 1664 N. Virginia St. Tipoff is set for 7 p.m. For details and tickets, call 775-348-7225 or visit nevadawolfpack.com.

Reno Ice Raiders vs. San Diego, Jan. 30-31: Reno’s semipro hockey team hosts the Renegades in a two-game set at Reno Ice, 15500 Wedge Parkway. For details and tickets, visit renoiceraiders.com.

Magique, Jan. 30-31: A show that blends magic, comedy and dance takes place at 8 p.m. Friday and Saturday. Shows are at the Celebrity Showroom, Nugget Casino Resort, 1100 Nugget Avenue, Sparks. Tickets are $60-$140. For details, call 775-356-3300 or visit cnty.com/nugget.

Winter Band Wars, Jan. 31: A contest show featuring 16 bands or artists from Reno. It takes place at 7 p.m. each night at Club Underground, 555 E. Fourth St. Shows are Jan. 31, Feb. 7 and 21. Tickets are $10-$20 for each show. Details at facebook.com/clubundergroundreno.

Shane Dwight, Jan. 31: The blues/Americana guitarist from Nashville will play at 7:30 p.m. at Nashville Social Club, 1105 S. Carson St., Carson City. Tickets are $30-$35. Details at thenashvilleclub.com.

Brew HaHa 2026, Jan. 31: A fundraiser for Sierra Arts Foundation, this annual event includes a live band among the beer sampling from regional brewers. It begins at 8 p.m. at the Grand Ballroom, Nugget Casino Resort, 1100 Nugget Avenue, Sparks. Tickets are $75-$95. For details, call 775-356-3300 or visit cnty.com/nugget.

Hashtronaut, Jan. 31: A stoner/doom band from Colorado that’s gaining a big audience from touring, Hashtronaut plays at 8 p.m. at The Alpine, 324 E. Fourth St. Tickets are $15. Details at thealpine-reno.com.

Analog Dog, Jan. 31: Not beholden to a particular genre, but having elements of modern indie pop, jazz fusion and neo-disco, this group from San Francisco plays at 8:30 p.m. at Lo-Bar Social, 445 California Avenue. There is a $5 cover charge. Details at lobarsocial.com.

Boogie T, Jan. 31: This bass music DJ/artist, whose real name is Brock Thornton, performs at 9 p.m. at Cargo, Whitney Peak Hotel, 255 N. Virginia St. Tickets are $35-$45. For details, call 775-398-5400 or cargoreno.com.

Justin Martin, Jan. 31: Putting together a mix of bass music and house, this DJ/artist performs at 9:30 p.m. at Cypress, 761 S. Virginia St. Tickets are $25-$50. Details at freshbakin.com.

Jo Passed, Feb. 1: Led by multi-instrumentalist Jo Hirabayashi, this group from Canada on the Sub Pop roster merges indie-folk with ’70s electronic styles. They play at 7 p.m. at Holland Project, 140 Vesta St. Tickets are $10-$12. Details: 775-742-1858 or hollandreno.org.

WonkyWilla, Feb. 1: This bass music DJ/producer from Florida performs at 8 p.m. at The Alpine, 324 E. Fourth St. Tickets are $30-$40. Details at freshbakin.com.

Reno-Tahoe weather, Jan. 26-Feb. 1

Monday: Mostly cloudy in the morning, then partly cloudy; highs in the upper 40s to low 50s in the valleys and in the upper 30s to mid-40s at higher elevations. Partly cloudy overnight, with lows in the upper 20s in the valleys and in the mid-10s to mid-20s at higher elevations.

Tuesday: Partly cloudy, with highs in the upper 40s to mid-50s in the valleys and in the mid-40s at higher elevations. Mostly cloudy overnight, with lows in the upper 20s to low 30s in the valleys and in the 20s at higher elevations.

Wednesday: In the valleys: partly cloudy, with highs in the upper 40s to mid-50s. Around Lake Tahoe: mostly cloudy, with a slight chance of afternoon snow; highs in the low 40s. Mostly cloudy overnight, with a slight chance of rain and snow at higher elevations. Overnight lows in the upper 20s to low 30s in the valleys and in the 20s at higher elevations.

Thursday: Partly cloudy with a chance of rain and snow at higher elevations; highs in the upper 40s to mid-50s in the valleys and in the low 40s at higher elevations. Partly cloudy with a chance of precipitation overnight, with lows in the low 20s to low 30s in the valleys and in the upper 10s to upper 20s at higher elevations.

Friday: Mostly sunny, with highs in the upper 40s to upper 50s in the valleys and in the low 40s to low 50s at higher elevations. Partly cloudy with a chance of snow overnight, with lows in the mid-20s to mid-30s in the valleys and in the 20s at higher elevations.

Saturday: Mostly sunny, with highs in the 50s in the valleys and in the mid-40s to mid-50s at higher elevations. In the valleys: mostly clear overnight, with lows in the mid-20s to mid-30s. Around Lake Tahoe: partly cloudy with a slight chance of snow overnight, with lows in the 20s.

Sunday: In the valleys: partly cloudy, with highs in the upper 40s to upper 50s. Around Lake Tahoe: cloudy with a chance of precipitation, with highs in the low 40s to low 50s. Cloudy overnight, with lows in the mid-20s to mid-30s in the valleys; a chance of snow around Lake Tahoe, with lows in the 20s.

Northern Nevada roads, Jan. 26-Feb. 1

Before traveling over Sierra passes, check the latest weather conditions at nvroads.com and roads.dot.ca.gov.

North McCarran Boulevard: Lane reductions will be in place on North McCarran between Keystone Avenue and Sullivan Lane as the Nevada Department of Transportation conducts crack sealing on the roadway surface. Lane reductions are set to take place through Thursday from 9 a.m. to 3:30 p.m. and 6:30 p.m. through 1 a.m.

West Fourth Street: Work is underway on a project to widen sidewalks, improve lighting and add ADA-compliant ramps at key locations on Fourth Street west of downtown. For more information, visit fourthstreetimprovements.com.

Mill Street, Reno: Work continues on Mill Street between I-580 and Golden Lane while crews work on utility trenching. For the latest updates, visit millstreetwidening.com.

Arlington Avenue, Reno: The bridges over the Truckee River on Arlington Avenue have been demolished, and traffic is being re-routed to nearby bridges. Replacement bridges will be completed in summer 2026.

Sparks Boulevard, Sparks: Work continues on the Sparks Boulevard Capacity Improvement Project, which will expand the route from four lanes to six on the roughly two-mile stretch between I-80 and Baring Boulevard. Expect round-the-clock lane closures between Springland/O’Callaghan Drive and Baring Boulevard through mid-March. For the latest updates, visit sparksblvdproject.com.

Mark Earnest contributed to this report.

Brett McGinness is the engagement editor for the Reno Gazette Journal. He’s also the writer of The Reno Memo — a free newsletter about news in the Biggest Little City. Subscribe to the newsletter right here. Consider supporting the Reno Gazette Journal, too.

Source link