We want to remind everyone exactly what the Club’s service charge policy is all about. The Board of Managers instituted this policy at the beginning of the 2018 season. 15% is added on to each Member Lounge originated check for food and beverage. The intent of the policy was to aid in attracting and retaining staff by not only compensating them with a higher wage, but also providing them with additional income from the 10% component of this service charge. The 5% component of this service charge is retained by the Club to help defray the higher wage paid along with the additional related payroll taxes and costs.
In addition, we would like to help you understand the sales taxes added on to your bill. The sales tax rate for this area is 8.75%, but the City of Joliet also has an additional 1% Food and Beverage tax, so the total rate is 9.75%. Finally, because the Club retains the 5% component of the service charge and does not pay that directly to the employees, the State of Illinois considers that to be taxable for sales tax purposes, so that too is hit by the sales tax.
We hope this helps clear up any confusion on this matter. If you still have any questions, please feel free to reach out to Kevin Rodgers directly at 815-823-8575 or firstname.lastname@example.org.