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Content Last Revised: 9/28/67
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CFR  

Code of Federal Regulations Pertaining to U.S. Department of Labor

Title 29  

Labor

 

Chapter V  

Wage and Hour Division, Department of Labor

 

 

Part 531  

Wage Payments Under the Fair Labor Standards Act of 1938

 

 

 

Subpart C  

Interpretations


29 CFR 531.57 - Receiving the minimum amount ``customarily and regularly.''

  • Section Number: 531.57
  • Section Name: Receiving the minimum amount ``customarily and regularly.''

    The employee must receive more than $20 a month in tips 
``customarily and regularly'' in the occupation in which he is engaged 
in order to qualify as a tipped employee under section 3(t). If it is 
known that he always receives more than the stipulated amount each 
month, as may be the case with many employees in occupations such as 
those of waiters, bellhops, taxicab drivers, barbers, or beauty 
operators, the employee will qualify and the tip credit provisions of 
section 3(m) may be applied. On the other hand, an employee who only 
occasionally or sporadically receives tips totaling more than $20 a 
month, such as at Christmas or New Years when customers may be more 
generous than usual, will not be deemed a tipped employee. The phrase 
``customarily and regularly'' signifies a frequency which must be 
greater than occasional, but which may be less than constant. If an 
employee is in an occupation in which he normally and recurrently 
receives more than $20 a month in tips, he will be considered a tipped 
employee even though occasionally because of sickness, vacation, 
seasonal fluctuations or the like, he fails to receive more than $20 in 
tips in a particular month.
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