What Is A Service Charge For A Wedding

You might have seen a venue's fees with a ++ afterwards the dollar amount i.eastward. $60++
Those + signs refer to service charge and tax. Those are fees on superlative of the base fee. Service charges at venues typically range from 20-25%. And tax is the current sales tax rate in that city. So at many California venues for example when a venue says their fee is $60++ per person, it ends upward beingness more like near $80 with service charges and taxation.

It's really important to pay attention to this. For Indian weddings with anywhere from 150-600 guests this can make a really large divergence in your full bottom line.

{How To Calculate The Service Charges and Taxation}

A lot of people make the mistake of calculation the service charge and tax percentages and and so multiplying with the fee. That is wrong, because the service charge is also taxable.

{Case}

Fee: $threescore | Service charge: 24% | Tax: 8%

Incorrect: $60*(.24 + 08)=$79.xx
Correct: $60*1.24*1.08 = $lxxx.35

Even though the departure is just a trivial over a dollar, your last bill will be several thousand dollars and this volition make a difference.

Since the revenue enhancement charge per unit tin modify, most venues' outside catering packages don't state the tax rate. And only some state the service charge rate. Nearly will say, "$60++". So make sure to ask for the current service charge and tax.

You're probably booking your wedding 10-12 months out, and then go on in mind that y'all will be responsible for paying the service accuse and taxation rate at the time of your effect, not at the time of booking. Don't worry though, usually service charge and revenue enhancement rates don't change much (more than than 1%) year-over-year.

{Tin can You Negotiate Down Service Charges?}

Unremarkably no. A pct of the service charges are ordinarily allocated for the event staff that volition service your event. And many hotels, resorts and other venues are unionized, and then negotiating downward the service charges are typically something they will not practise.

But you lot can negotiate on the per person base fee. Willingness to negotiate volition depend on: