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Business

via Aaliyah Cortez / TikTok

A server in Texas shared some personal information on TikTok to remind everyone why it's so important to tip those who serve us our meals, drinks, and cut our hair.

The reminder is important at a time when restaurants, bars and hair salons are reopening across the country and many service industry workers are reeling from the downturn in business during the pandemic.

Aaliyah Cortez filmed a video of her paycheck where she shows that although she worked 70.80 hours during a pay period, she only received a check for $9.28. "So this is why you should always tip your bartenders and servers, anyone who waits on you, or provides a service for you," she said.



The video shows that even though she was paid the criminally low federal minimum tipped wage of $2.13, the money she received in her check was further reduced by taxes, social security, and Medicare payments.

"Of course, I got tips, but this is what I got for my hourly," Cortez said. "This is why you tip."

The rules for wages in tipped industries vary across the country. Texas is among the 16 states where the state minimum cash wage payment is the same as that required under the federal Fair Labor Standards Act ($2.13/hr.).

Now, if a server making $2.13 an hour doesn't reach the federal minimum wage of $7.25 an hour with tips, then their employer must make up the difference.

The best state to work in for tipped wages is California where the minimum wage is $13 to $14 an hour, depending on the size of the business.

In a follow-up video, Cortez further discussed the issue, noting that she doesn't agree with "state laws that allow restaurants to pay under minimum wage and expect the customer to pay our wages," she said.

"I make great money in tips, she added, "However, this is not the case for all service industry workers." According to Cortez, people aren't always that generous with their tips, even though their "state is expecting them to tip."

Cortez's video is a great reminder of two things:

First, that we should all be mindful to take care of those who serve us by giving them a decent tip. Secondly, that the U.S. needs to address the issue of the tipped minimum wage because it hasn't changed in 30 years.

"Since 1991, the federal tipped minimum wage has been frozen at $2.13 an hour," gender economist Katica Rot told NBC. "Meanwhile, the non-tipped federal minimum wage has risen 70.6% and consumer prices have gone up 90.24%."

In fact, tipped employees are twice as likely (and servers three times as likely) to live in poverty than non-tipped workers.

Women bear the biggest burden of the tipped minimum wage. They represent 70% of all workers in tip-dependent occupations.

Recently, the Senate rejected attempts to raise the federal minimum wage as part of the Biden administration's wide-sweeping COVID-19 relief package. Although that fight is far from over, it means the average person needs to step up and do their part to help out.

Cortez says that a big problem with her industry is that people just don't tip enough. Let that be a reminder that in a world where it's been painfully difficult to raise the minimum wage, we are all deputized to help those who serve us by pitching in with a generous tip to show appreciation and humanity.


This article originally appeared on 4.5.21

Business

This Map Reveals The True Value Of $100 In Each State

Your purchasing power can swing by 30% from state to state.

Image by Tax Foundation.

Map represents the value of 100 dollars.


As the cost of living in large cities continues to rise, more and more people are realizing that the value of a dollar in the United States is a very relative concept. For decades, cost of living indices have sought to address and benchmark the inconsistencies in what money will buy, but they are often so specific as to prevent a holistic picture or the ability to "browse" the data based on geographic location.

The Tax Foundation addressed many of these shortcomings using the most recent (2015) Bureau of Economic Analysis data to provide a familiar map of the United States overlaid with the relative value of what $100 is "worth" in each state. Granted, going state-by-state still introduces a fair amount of "smoothing" into the process — $100 will go farther in Los Angeles than in Fresno, for instance — but it does provide insight into where the value lies.


The map may not subvert one's intuitive assumptions, but it nonetheless quantities and presents the cost of living by geography in a brilliantly simple way. For instance, if you're looking for a beach lifestyle but don't want to pay California prices, try Florida, which is about as close to "average" — in terms of purchasing power, anyway — as any state in the Union. If you happen to find yourself in a "Brewster's Millions"-type situation, head to Hawaii, D.C., or New York. You'll burn through your money in no time.

income, money, economics, national average

The Relative Value of $100 in a state.

Image by Tax Foundation.

If you're quite fond of your cash and would prefer to keep it, get to Mississippi, which boasts a 16.1% premium on your cash from the national average.

The Tax Foundation notes that if you're using this map for a practical purpose, bear in mind that incomes also tend to rise in similar fashion, so one could safely assume that wages in these states are roughly inverse to the purchasing power $100 represents.


This article originally appeared on 08.17.17

Education

Expert shares the one way to be in a 'position of power' when talking to someone intimidating

A communications expert shows you how to be comfortable in a tense situation.

A woman in a tough job interview.

We’ve all been in conversations with intimidating people. It could be the boss, someone you met at a party who is highly intelligent, or a date with someone you want to impress but are feeling a bit uncomfortable.

In all these situations, there is an imbalance of power and you feel like you’re on the high end of the teeter-totter.

To learn how to give yourself a bit more power in the interaction and even the upper hand, we need go no further than the landmark book on communications, Dale Carnegie’s 1936 classic, “How to Make Friends and Influence People.” In the book, he writes, “Be a good listener. Ask questions the other person will enjoy answering.”


To go a step further, a thoughtful question will make the other person think you’re intelligent, both mentally and emotionally. It may also make them reflective and feel vulnerable, leveling the playing field.



Why is asking great questions so important?

“Asking a question puts you in a position of power,” communication expert Matt Abrahams, a Stanford University lecturer, tells CNBC Make It. “I can actually raise my status and lower your status when I ask a challenging question.” He adds that asking questions “demonstrates you care, it demonstrates empathy, it demonstrates you’re willing to learn and, in some cases, admit you don’t know everything. Those are all valuable tools and assets to have when you’re trying to grow your career or deepen relationships.”

How to ask great questions

Abrahams says that there are three elements to good questions:

  1. They are concise
  2. They build on what the other person has said, furthering the conversation
  3. They revolve around the conversation topic’s bottom line

A great question allows you to enter the person’s orbit and become a partner or contributor to their endeavors. You are now a collaborator in the project or helping them solve a problem, which enables you to deepen your relationship with them.

Alison Wood Brooks and Leslie K. John at Harvard Business Review say people don’t ask enough questions because they fail to understand how beneficial they are, especially in a professional setting. “Questioning is a uniquely powerful tool for unlocking value in organizations: It spurs learning and the exchange of ideas, it fuels innovation and performance improvement, it builds rapport and trust among team members. And it can mitigate business risk by uncovering unforeseen pitfalls and hazards,” they write.



What is the 43:57 conversation rule?

Study after study shows that listening and asking questions are incredibly powerful tools for building social, romantic, or professional relationships. A 2016 study found the perfect ratio of talking to listening in a conversation is the 43:57 rule.

A marketing director at Gong.io analyzed 25,537 sales calls using artificial intelligence and found that the interactions where the salesperson talked 43% of the time and listened 57% of the time had the highest sales yield.

Even though this study was conducted on business interactions, it shows the power of what can happen when the customer feels heard and believes the salesperson understands their needs. It’s the same in a social situation where the person you’re talking to wants to feel valued and respected.

Ultimately, it should make many people out there breathe a sigh of relief to know that the next time they speak with someone intimidating, they don’t have to try to bowl them over with incredible wit or insights. Instead, you just have to listen and ask a few thoughtful questions, and you’ll balance the power dynamic while coming off as more likable at the same time.

A salesman showing a client the big picture.

So you’ve got a great idea for a Hawaiian vacation you want to sell to your spouse, but you’re not entirely sure they’ll go along with the idea. If you want to know the best way to sell them on the trip, you should follow the advice of John Medina, a brain researcher and professor who wrote the “Brain Rules” series of books.

In "Brain Rules," Medina argues that the best way to persuade someone is to show them the big picture first. "Don't start with details," he writes. “Start with key ideas and, hierarchically, form the details around these larger notions."

So, instead of starting the conversation with the fact that your buddy Rick at work has a brother who has an AirBnB in Waikiki and can get you a place to stay for $125 a night. Or, kicking off the pitch by outlining a deal on Aloha Airlines where if you fly on Thursday mornings from a specific airport, you can save 37% on a round-trip flight to Honolulu.

Start with a big-picture idea. “Did you know we can spend a week in Hawaii for under 2 grand?”


The rule is based on a fundamental neuroscientific truth: The brain craves meaning before detail.

neuroscience, brains, persuasionThe human brain. via Curtis Cripe/Flickr

Medina argues that humans need to feel a connection to the story before they are willing to pay attention to the details. “Normally, if we don’t know the gist—the meaning—of information, we are unlikely to pay attention to its details. The brain selects meaning-laden information for further processing and leaves the rest alone,” Medina writes in his book.

Communication coach and Harvard instructor Carmine Gallo says the rule is rooted in human evolution. "When primitive man ran into a tiger, he did not ask, how many teeth does the tiger have? Instead, it asked, will it eat me? If you want your team to get behind a new initiative, give them the big picture first,” Gallo said in a keynote address.

The great thing about this rule is that it has many different applications, from interpersonal relationships to business to social media. Gallo says that when trying to persuade someone, we should consider sharing our ideas as if they were tweets. “The big picture, however, must be short. I like to keep the top-level message no longer than a Twitter post of 140 characters,” he writes.

steve jobs, apple, iPhoneSteve Jobs shows off iPhone 4 at the 2010 Worldwide Developers Conference.via Matthew Yohe/Wikimedia Commons

Steve Jobs did a great job selling Apple products by introducing them with a simple, big-picture idea that enticed people to pay attention. He started with the big picture when introducing the iPhone in 2007. "Today, Apple is going to reinvent the phone,” he said. “The iPhone is a revolutionary and magical product that is literally five years ahead of any other mobile phone."

On a deeper level, the rule is all about understanding a simple part of human nature. You must have a compelling story from someone to want to listen to you, follow your lead, or change their mind. But once you have them hooked on the big picture, convincing them of the details is a piece of cake.