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OPINION

Florida Workers Win Big With Trump's No Tax on Tips

The opinions expressed by columnists are their own and do not necessarily represent the views of Townhall.com.
AP Photo/Jose Luis Magana

President Trump’s “One Big Beautiful Bill” is making waves across the country—but here in Miami-Dade, one provision in particular has struck a powerful chord: the promise to eliminate federal taxes on tips. For a county like ours, built on the hard work of service industry employees who depend on gratuities to make ends meet, this is more than just smart policy—it’s transformational.

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Miami-Dade’s economy runs on hustle. In 2024, we welcomed 28 million visitors, who spent a record-breaking $22 billion in our hotels, restaurants, and entertainment venues. That spending supported more than 209,000 jobs in the hospitality industry alone. For many of these workers—waiters, bartenders, bellhops, concierges—tips aren’t just extra cash. They are a central part of take-home pay, often making the difference between struggling and stability.

And now, thanks to President Trump’s leadership, these workers are on the verge of seeing the full fruits of their labor. Under his proposal, tips would no longer be taxed by the federal government. For residents of Florida, which already has no state income tax, that means workers will finally keep every single dollar they earn in gratuities. This isn't just a win for workers—it's a direct investment in Miami-Dade’s future.

A recent survey by Instant Financial shows overwhelming support for this idea: 83% of hourly workers favor tax-free tips. That’s because they understand what the political class often forgets—real change starts with respecting the dignity of work. Removing the tax burden on tips recognizes the grind, hustle, and customer service excellence that define our hospitality workforce.

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This policy would have an especially powerful impact on Miami-Dade’s Hispanic community, which comprises the backbone of our hospitality sector. From housekeepers and cooks to servers and front-desk staff, these men and women—many of them legal immigrants pursuing the American Dream—will see more money in their pockets to support their families, buy homes, and invest in their children’s futures.

It also helps the college student working nights, the single mom juggling multiple part-time jobs, and the veteran earning an honest living post-service. Across demographics, this is about fairness. Why should Washington be entitled to a cut of tips left directly by customers for outstanding service?

In 2024, our hospitality sector grew by 2.5%—and with more pro-growth, pro-worker policies like this, we’ll continue to lead the nation. The One Big Beautiful Bill also proposes eliminating taxes on overtime pay, another common-sense move that will reward work rather than punish it. It’s a clear message from President Trump: if you work hard, you should get ahead.

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For Miami-Dade, this means stronger retention of talent, less strain on small businesses, and more local dollars circulating through our economy. It creates a climate where workers are more entrepreneurial, more motivated, and more financially secure. And that security translates into stronger families, safer neighborhoods, and a more prosperous Miami.

We should never penalize people for working harder. Pass the One Big Beautiful Bill and deliver No Tax on Tips.

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