REVENUE Feedback, swap text for taxes

StreamElements Support Team,

I hope this message finds you well. I am writing to propose a change in the terminology used for donation payments on your platform, specifically shifting from the term "tips" to "gifts." This change could significantly impact your users, particularly those receiving government aid like myself, and influence tax favorably.

Impact on Users Receiving Government Aid Benefits

Many of your streamers and content creators rely on government aid programs, such as Supplemental Security Income (SSI). The terminology used to describe their income can greatly affect their benefits:

1. "Tips" as Earned Income: Under current regulations, "tips" are classified as earned income. For SSI recipients, this classification means a portion of their benefits will be reduced due to the earned income exclusions and reporting requirements. This can significantly decrease their monthly benefits, causing financial strain and potential loss of critical support.
2. "Gifts" as Unearned Income: By changing the terminology to "gifts," the funds received would likely be classified as unearned income. While unearned income still needs to be reported, many government aid programs often treat gifts more leniently. Small or irregular gifts might not reduce benefits significantly, helping recipients maintain their much-needed support.

Tax Implications

1. Tax Reporting for Tips: Tips are considered taxable income and must be reported on tax returns. This can lead to a more complex tax situation for streamers, requiring them to meticulously track and report all tips received, often resulting in higher tax liabilities.
2. Tax Reporting for Gifts: Gifts, on the other hand, are generally not considered taxable income for the recipient. While the IRS does have specific rules regarding large gifts (over $18,000 per year), most donations received by streamers would fall well below this threshold. This change could simplify tax reporting for streamers, reducing the administrative burden and potential tax liabilities.

Benefits to StreamElements

1. User Satisfaction and Retention: Adopting this change could significantly enhance the user experience for many streamers who rely on government aid or are concerned about tax complexities. This adjustment shows that StreamElements is attentive to the needs of its user base and is willing to make changes to support them better.
2. Positive Public Relations: Publicly making this change could also generate positive media coverage, portraying StreamElements as a forward-thinking and empathetic company that prioritizes the well-being of its users.

Conclusion

Switching from "tips" to "gifts" in your terminology for donation payments is a small but impactful change that could greatly benefit your user community. It would help those on government aid maintain their benefits and simplify tax obligations, leading to a more positive and stress-free streaming experience. I hope you consider this proposal favorably and look forward to any further discussions on how this change could be implemented.

Thank you for your time and consideration.