Why Experts Criticize “No Tax on Tips” and What It Means for Your Wallet

Learn why experts criticize the “no tax on tips” policy and what it could mean for non-tipped workers if tips become tax-free. Why are some experts criticizing the proposed “no tax on tips” policy? Could it really benefit tipped workers as intended? Hosts Sean Pyles and Anna Helhoski discuss the nuances of the “no tax on tips” proposals from presidential candidates Donald Trump and Kamala Harris and break down why tax experts are skeptical about its effectiveness. Then, they cover the latest financial headlines, including updates on retail sales, car prices, and the potential Kroger-Albertsons merger. Calculating how much car you can afford before you visit the dealership can save you hundreds, maybe thousands, of dollars in the long run. To do that for free, you can use NerdWallet’s car affordability calculator here: https://www.nerdwallet.com/article/loans/auto-loans/much-spend-car In their conversation, the Nerds discuss: no tax on tips, tipping policies, federal income tax, tax exemption, tipped workers, minimum wage, inflation, car sales, grocery prices, Kroger Albertsons merger, consumer price index, CPI, retail sales, used car prices, payroll tax, earned income tax credit, child tax credit, recession, economic policy, subminimum wage, US presidential election, tax policy, financial headlines, tax credits, grocery merger, consumer spending, interest rates, federal minimum wage, Social Security, Medicare, restaurant industry, hospitality industry, tax loopholes, wage inequality, financial news, economic trends, car affordability, and tipping. To send the Nerds your money questions, call or text the Nerd hotline at 901-730-6373 or email podcast@nerdwallet.com . Like what you hear? Please leave us a review and tell a friend. Learn more about your ad choices. Visit megaphone.fm/adchoices