Local Businesses Adding Flagstaff Wage Surcharge
4%, 8%, 12%.....
Many Flagstaff businesses are charging a 'service charge' to customers. Some have signs posted at the register while others have the service charge hidden in small print on the menu. But the charges show up on your bill as "Flagstaff Service Charge", "Restaurant Service Charge" or "FMW Charge". Most of these additional charges are not part of the tip or shared with servers, except Fratelli's.
This charge is NOT a Credit Card processing fee, but an additional charge added to the published price of the goods/service.
Supporters of this say that adding a service charge or Flagstaff Tax, or FWM charge, or because we can tax, is more efficient than reprinting menus.
Some comments I've seen by supporters "if you can't afford the extra 4% then you shouldn't be eating out", or "the owners are explaining costs to you by having notice posted on the door or menu". To the first one, the issue isn't about the extra charge. The issue is with how it's being done. The additional charge hidden in small print is ridiculous. If the price was $20.00, and now it's 8% higher the establishment should raise the current price to $21.60 and post the accurate price.
I wonder how these places would react if someone just flat our refused to pay these additional charges. Are they going to call FPD? Make you do dishes?
What's next, car dealers? "Well, the negotiated price on your new hooptie is $41,000, and now we add in the Flagstaff Wage Surcharge of 8%, your total before TTL is $44,280."
Let's work a restaurant scenario. Place has 35 tables with an average ticket for two of $65.00. From 5pm-9m they turn 100 tables nightly every Friday and Saturday. Revenue of $13,000, multiplied by 50 weeks for $650,000. Now we add in the Flagstaff Service Charge of 8%, the business would be taking in $52,000! If they only charge a 4% Flagstaff Service Charge the net is $26,000 every year. The 12% chargers would be pulling in $78K.
If you choose to eat at one of these places, PLEASE take care of your server if the service is good, the servers are not gaining anything from the additional charges.
We will try to keep an accurate list of what businesses are charging a service charge. If you experience a 'Service Charge' etc. from a business let us know by using the chat feature and send us a picture of the receipt, sign or menu, likewise if you see something incorrect here let us know.
- Salsa Brava: 4% added to the bill. The manager said to "call the owner if you don't like it".
- Fat Olives: 4% added to the bill.
- Fat Bagels: 4% added to the bill.
- Oakmont (Continental County Club): 8% added to the bill "Flagstaff Service Charge."
- Taverna: 8%
- Over Easy: 8%
- Warner's Nursery: 5% added "Flagstaff Wage Surcharge", see picture above.
- Northern Pines: 12%
- Dirty Birdies: 10% as of 6/12/24, listed as FMW tax; see image
- Miz Zips: 3%
- Grand Canyon Brewery: 5%
- Sakura: 13%
- Sportsmans Bar & Grill
- Thunderbird Supply
Conversely, here is a list of places that do not charge the "Flagstaff Service Charge" or are upfront with it.
- LaFonda: Way to go Marty!
- Fratelli's: they do add 12%, but they have it posted, and the staff does not accept tips, tips are covered in the 12%.
- Kickstand Kafe: They do charge a 12% service fee that "goes directly to staff wages." Quote from manager "We pay our staff well above the tipped minimum wage. Service fee is announced on all menus, doors, and at the registers." They do have a 'Tip' option as well.
- Hunan West
- Hunan East
- Lucy's Burgers
- Elevated Pizza Company
- The Corner Tavern
- Black Bart's Steakhouse, Saloon, and Musical Review
- In N Out Burger
- Beauty Barn Salon and Spa
- Peter Piper Pizza
- FlagTag AZ