Server Unemployment Insurance/Compensation??

I assume (perhaps incorrectly) that restaurants pay unemployment insurance into the State Fund based upon a servers compensation. Is this tax/fee only on the base salary of ~$3/hr or are the tips part of the equation?
Likewise, on the benefits portion, do unemployed servers receive benefits which account for the tip portion of their income?
Just curious how this works.
'Winger

From my understanding tips would be counted in an unemployment claim...IF you actually claim them, which most servers/bartenders don't. (Well, most probably claim the minimum, thats all i ever did.) Kind of a double edged sword, you're escaping some taxes but you definately lose out when you need to prove income.

As Jason stated, tips were part of your income, therefore you are supposed to keep track of & report tips. However, one of the advantages of receiving tips is that it's extremely easy to get away with not doing so. I don't think that I've ever known anyone that received tips that actually claimed more than 25% of them.

Both valid. But, has anyone head of a person being audited for not reporting tips on Taxes? A simple Yes or No, please. I'm not looking for person's names. Just curious.