I’ve had success with this tactic as well as informing them I will hire a collections agency, garnish their wages etc.

My B+/A- property is in a good area with high income earners and generally well educated people with good social skills. 

Would you start any other business, and then expect complete strangers to run it for way less than minimum wage?  

He is the only  high income earner of his room mate (3 total) situation.

As a high income earner, you may want to couple your rentals with investing passively in a real estate syndication (or other business) that will shoot off a passive gain. 

Getting paid in cash makes wage garnishment darn near impossible.

For 2016, an employee will pay: a. 6.2% Social Security tax on the first $118,500 of wages (maximum tax is $7,347.00 [6.2% of $118,500]), plusb. 1.45% Medicare tax on the first $200,000 of wages ($250,000 for joint returns; $125,000 for married taxpayers filing a separate return), plusc. 2.35% Medicare tax (regular 1.45% Medicare tax + 0.9% additional Medicare tax) on all wages in excess of $200,000 ($250,000 for joint returns; $125,000 for married taxpayers filing a separate return).

And also a side note, if you hold the shop together is it the best option for a minimum wage income who has big back for saving every pay check to use an unsecured  he loan if he starts 2 years after the fact?

My business model only invest in major metropolitan areas, middle to upper middle class income earners, it's much easier to place highly qualified tenants and much less turnover.

Just as an example families combined with two wage earners made a lot of urban multis obsolete...changing use to condos drove appreciation.