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Are mandatory service charges the same as a tip or gratuity?

April 26, 2017Charges gratuity mandatory service tip

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Are mandatory service charges the same as a tip or gratuity?

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A. No, tips are a voluntary amount left by a customer for an employee. A mandatory service charge is an amount that a customer is required to pay based on a contractual agreement or a specified required service amount listed on the menu of an establishment…