Service fee charged on a Server Fee??

Mine company charges 18% as well for tips/service charge

Everything is taxed. Liquor is not only taxed, but in most states, taxed at a higher rate (luxury tax.)

The service fee is an obligatory tip. So you don't need to tip on top of that, unless they really do an exemplary job, and you want to give a little extra.

Ok I was just confused because in restaurants in Texas they don't tax liquor.

I guess what I am most confused about is charging an additional $750 for servers and adding that into what we pay the gratuity on. I feel like we shouldn't pay gratuity on that fee just on the food and drinks.

I agree---it should be just on the food and drinks and not on the fee itself. A fee for a fee is weird.

Here's info on the taxing of liquor in Texas:

http://info.sos.state.tx.us/pls/pub/readtac$ext.TacPage?sl=R&app=9&p_dir=&p_rloc=&p_tloc=&p_ploc=&pg=1&p_tac=&ti=34&pt=1&ch=3&rl=289

Ok thanks. I guess a wedding would fall under

(d) Complimentary drinks. Any person who provides drinks to others without charge owes sales tax on the cost of the ingredients of the drinks.

But it is nice not paying it at bars

Mine company charges 22% as well for tips/service charge..sounds pretty carzy~

I'm pretty sure that taxes, service charges, and gratuity are based on the total amount of your package - rentals, delivery, teardown, servers, food, drink, everything.

Do you add your own gratuity on top of that at your discretion? Or did they build that into the package for you? Sometimes people think service charge = gratuity and it often does not. My understanding is unless the contract specifically tells you otherwise, servers don't see a dime of the service charge. That goes to the company. But every contract is different, just read yours really closely.

We paid a 21% gratuity on all charges

** Service Fee does not always equal gratuity! The service fee is usually code for overhead costs… costs of running the office and building, turning on lights, heat/air, etc. Gratuity is tip. I have never seen a service charge broken up and given to staff as a tip. Ask your sales rep what the service fee is for. They should be able to tell you. If not, ask the GM. But don't assume it's going to your servers.