Final answer:
The formula for applying "Tip Credit" varies by state, generally involves higher tips resulting in lower wages, and complies with federal guidelines along with state adjustments. the answer includes all of the above conditions.
Step-by-step explanation:
The formula for applying "Tip Credit" varies from state to state, reflecting differing local regulations and labor laws. However, it is generally true that the more you earn in tips, the less you are paid in wages, up to a certain point, as employers can count part of your tips towards your minimum wage requirements. This practice follows the federal guidelines but can also be adjusted according to specific state regulations, which means that essentially, the answer includes all of the above conditions.