Tipping can be a controversial subject. Should you tip? How much? To whom? Do I need to break out the calculator to figure this out? Rest easy – we have a few handy tips to help you determine when you should tip, how much, and how to quickly determine how much to tip.
The standard tip for most services in the US is 15%. Love it or hate it, tipping is how many people earn their living, and it is here to stay. Most people I know have no problem with leaving tips. But I have noticed a lot of people have trouble determining how much they should leave.
Some people pull out a pen and paper and work it out to the penny, and others always leave the same amount, regardless of the bill. I also know a guy who carries around a tip cheat sheet in his wallet, but as you can tell from the contents of my wallet, I don’t like to carry around unnecessary items.
How Much Should You Tip?
Instead of figuring out the tip to the penny, try these simple tricks to quickly and painlessly calculate your tips:
Divide by 6.
My favorite tip trick to determine how much to leave is to divide the final bill by 6, which comes out to 16.67%. Sure, it’s a little higher than the standard 15%, but it’s also much easier to figure out. Dividing by 7 (14.3%) and rounding up accomplishes the same thing.
If the service is great I will usually tip 20%, which is easily determined by dividing the final bill by 5. If the service is adequate, but not great, I might divide 8, which is 12.5%, or 10, which is 10%. Even then, I usually round up to the nearest dollar because I don’t like carrying around change.
Divide by 10 and add half again.
Another quick way to get exactly 15% is to divide a number by 10, then add half that number.
Example: Let’s try this out on an odd number… How much would you tip on a $27 bill? If you want to pay exactly 15% of $27, you will pay $4.05. Check out how close you get by using the tips above:
- Divide by 5 (20%): $27 ÷ 5 = $5.40
- Divide by 6 (16.7%): $27 ÷ 6 = $4.50
- Divide by 7 (14.3%): $27 ÷ 7 = $3.86
- Divide by 8 (12.25%): $27 ÷ 8 = $3.38
- Divide by 10 (10%): $27 ÷ 10 = $2.70 (add half again and you have $4.05)
As you can see, all of these are easy to remember, easy to perform, and get you pretty close to the target number of 15%, or higher or lower depending on how good or bad the service was.
Here Are Some Other Tipping Ideas:
Tipping rules of thumb. I generally tip at least $1 regardless of the bill, even if it is only a $0.99 cup of coffee. I might tip more if I sit at the table for a long time because by occupying the table I am taking away other potential tips.
Another guideline is to tip a waiter or waitress 15 percent for good service, 20 percent for exceptional service and no less than 10 percent for poor service. Even though you might want to skip out on the tip for poor service, you may be hurting others because in many restaurants waitstaff share tips with busboys, bartenders, and hostesses.
Double the tax, then round up. Tax in many locations is roughly 6-7%. Doubling the tip and rounding up to the nearest dollar often gets you very close to 15%. (This works better on smaller bills).
Tipping at a bar. I often tip $1 per drink. If you want prompt service, make your first tip of the evening a good one, then follow that up with regular tips per drink after that. If you open a tab, it’s a good idea to make your first tip with cash to get the bartender’s attention, ensuring prompt service for the rest of the evening.
Casinos. Casino dealers don’t earn much per hour from the casino, but often earn quite a bit from tips. It is considered good form to give them a small tip when you win a big hand or whenever there is a dealer change. Many dealers also don’t mind if you tip them by placing a bet for them (often on the sucker bets).
Tipping on a cruise. Last year, my wife and I went on a cruise for our honeymoon. We had a great time, and thankfully were prepared for the tips. Expect to pay around $6-10 per person, per day, with optional tips as you go.
No tip. I don’t recommend stiffing your waiter because, as mentioned earlier, tips are often shared. But if you feel inclined to skip the tip anyway, do it the right way. If you are paying with a credit card, don’t write $0.00. It’s too easy for the waiter (or someone else) to change the numbers to give himself a nice tip. Instead, write NO TIP on the line. There is no way to easily change that. Also consider speaking with the restaurant manager. If the service is that poor, the manager will want to know.
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Tipping Tips for Your Vacation!
One of the hidden costs of taking a vacation is tips, especially if you are taking a cruise. Cruises can be very expensive, and one of the things many people fail to consider is how much they will spend for tipping the crew, wait staff, bartenders, and everyone else who makes your trip as enjoyable as they can.
Tipping is different on each cruise line, so the best thing to do is check with your cruise line and determine how tips are handled, or if there are suggested rates for tips.
Here are a few things to keep in mind regarding tipping on cruise lines:
Tips may be automatically added to onboard accounts: Some cruise lines automatically add a predetermined amount to your onboard account. The rates are usually determined on a per-person, per-day basis and are later split among the staff by the cruise line. Some cruise lines have different rates for adults and children, and some charge the same rate for everyone.
Many cruise lines also give passengers the option of increasing or decreasing the amount they tip to either the entire staff or to individual crew members if the passengers believe they deserve more or less than the predetermined standard. If the tips are automatically calculated and you wish to adjust them, you should go to the Purser’s Office to make the changes.
Recommended Tips: Instead of automatically adding tips to onboard accounts, some cruise lines give recommendations for tips. Celebrity Cruises has a long standing tradition of having their passengers pass out envelopes to crew members on the last night of the cruise. They provide their passengers with a list of “suggested” gratuities, but of course, guests can tip at the level they feel is appropriate.
Additional Charges: Most cruise lines automatically add 15% gratuity to all bar bills. Expect to give a similar tip for a visit to the health spa, masseuse, stylist, fitness classes, or other services. However, tips for the other services may not be automatic.
How much should you expect to spend on gratuities?: Automatic or recommended rates usually add up to around $6-10 per person, per day on the cruise. While this does seem expensive, the service on cruise lines is usually top notch and should be rewarded.
While it may seem like an easy way to save a few bucks on your vacation, shortchanging your tips to save money is probably not the right thing to do unless the service you received was substandard. After all, this is the crew members’ livelihood.
My wife and I recently returned from our first cruise. I must say, our trip was expensive, but well worth it! I haven’t sat down to compute the final bill for our vacation, but I know it is high. In fact, for just under 2 weeks, we spent well over $250 on tips alone!
Yes, $250 is a lot of money, but you have to realize that cruise line employees make most of their money in the form of tips. The best thing you can do is recognize the associated cost and budget for it! Here is more information about tipping cruise line workers.
My wife and I traveled on Celebrity Cruise Line, so I included an example of their recommended tipping schedule, which we followed.
Celebrity Cruise line recommended tips (These tips are per person, per day):
- Waiter – $3.50
- Assistant Waiter – $2.00
- Assistant Maitre D’ – $0.75
- Stateroom Attendant – $3.50
- Assistant Chief Housekeeper – $.050
- Total – $10.25 (per person, per day)
For a 10 day cruise, that equals $205 for 2 people. The total my wife and I paid for tips on our cruise was at least $230. (We tipped extra for a special dinner, and a 15% gratuity is automatically added to all drinks and services, including alcohol, sodas, spa treatments, etc.). Including the cruise, taxis, excursion drivers & tour guides, and other restaurants, I think we spent around $275-300 on tips for our 2 week vacation.
Well-earned money. While I thought the cruise company did everything in their power to extract as much money as possible from their customers (more on that in a later article), every crew member on the ship did everything they could to make our vacation memorable. The service was everything we expected. Because the crew members were such hard workers and pleasant people, I had no problem giving them the money they earned.
Can you save money by tipping less? You can, but I would also recommend against cutting back on tips as a way to save money. Tips represent a large portion of these workers pay, and by scaling back, you are taking money away from individual people, not some faceless corporation.
Travel Hint: When budgeting for your next vacation (especially if you will take a cruise), don’t forget to budget for tips you may incur during your travels – such as tipping bag porters, taxi drivers, waiters, hotel staff, cruise line workers, and tour guides. These tips add up quickly!
Do you have any tip tricks or advice to share?
Note about tipping in the US and Canada: Many of the comments left on this article discuss tipping practices in the US and in Canada. There is a big difference because waitstaff in Canada receive a minimum wage for their service, plus tips. Most waitstaff in the US receive a reduced minimum wage (typically half) and their tips are supposed to make up the difference.
I definitely want to echo the bit on Tips. Even though you can and should include the gratuity with your bill, I’d also suggest tipping your waiter if you’re at a set table separately, and the cleaning staff. The crew on a cruise works extremely hard, and usually from less affluent parts of the world, especially those doing the harder work. The cruise lines pay their staff minimally, and are exempt from U.S. labor laws.
I’ve seen really cheap cruise deals, and I guess they make up the differnece with all of the little extras. Thanks for the heads up on what to expect!
Dong, Great point. There were people from 57 different countries working on the cruise I was on, and they were are hard workers. The cruise line had recommended tips in place which they collect and distribute among the workers. You tip waitstaff, stateroom attendants and others separately, and the money is distributed accordingly. The workers all definitely earned their tips!
Saving Diva,
You would not believe how much some things cost, and they charge for just about everything. I will write a future post about how cruise ships are money generating machines! But, you can still travel on the cheap if you are prepared and know what to look for. 🙂
Great article. I always wondered how much they made on the big ships considering how many people there were cuz the big ships carry at max a few thousand cruisers.
When I worked the ship in Alaska, it was a small ship, 240 feet, 210 passengers max, 22 crew including officers. Basically, all the tip went into a pool and was split equally among each of us, excluding the officers.
So the tips varied from each trip because some trips we were filled to the max, others a little less.
I find it funny people say they don’t make much money on these ships but no one ever takes into consideration how much it cost the company to purchase food, store the food in their holds, transport the food, so the crew is fed three times a day for free. Not to mention free room, water, etc…
All the same, I made 9 thousand for three months, about 6 thousand in tip, and 3 in salary.
Cool. I thought about working on a cruise line, but I joined the AF instead.
The way the big cruise lines do it, is each group (waiters, assistant waiters, stateroom attendants, etc.) pool their money in their respective groups and split it amongst themselves. They also each receive an hourly wage in addition to overtime. The waiters make the most money by far!
And 9 grand for 3 months isn’t too bad – especially considering you have few costs during that time. Thanks for the comment. 🙂
Excellent point. We don’t go out much and we go even less to places which require tipping (Chipotle, for example, has good food but no tips). But when we do, Mr. Micah and I both think it’s very important to tip unless the service actually sucked. Because we’ve had friends who wait tables.
I hadn’t connected it with a cruise, though. I normally think of those as pay-up-front and don’t worry about it deals.
I actually just got back from Australia 3 months ago and just last week I got 6 pieces of mail from there – apparently I went through 3 toll booths without paying and ALSO apparently was speeding each time… All in total costing me another $460 that I didn’t plan on putting in the budget… Maybe a better tactic would just be to not speed, and I wouldn’t need to toss that into the budget… 🙂
Tipping is important. As a bartender going to school full time, my very exsistence is tied to tips. I would love to say I do not get upset when someone comes into my bar and spends $200 dollars on alcohol but zero in tips, but I do get upset.
It is also amusing to me that people who buy a $2 beer will tip $1… a 50% tip, but those who buy a round of drinks totaling $20 will leave a $1 tip… which is a 5% tip.
Katie, I agree, people work hard and should be compensated for that. I generally tip about $1 per drink. But, I drink beer that costs around $5 or less. If I lived in the city and drank $10 cosmos, I would adjust that accordingly.
I didn’t know that about some ships not allowing irons on board.
And yes, the presentation of the bar bill at the end of the cruise is always an unwelcome shock. They slip it under your door and scurry away, probably to avoid the shouts of outrage, hehe.
I think the 20% tip is becoming the new “standard.” I only tip 15% if the service was bad or maybe if it was a quick breakfast or lunch.
Frugal Dad,
I agree. I never served, but I have a lot of friends and relatives who have. If I tip in cash, I always round to the nearest dollar, and don’t leave change. On credit cards I sometimes round to the nearest dollar for the tip, and other times ad it up so I have an even bill. It all depends on the numbers.
And I agree, I don’t mind leaving a little extra change. It won’t matter much to me, but if everyone did it, it will make a big difference to the waitstaff.
I use the divide by 10 and add half again method; it’s fast, I can do it in my head in seconds, and I can round up or down from there based on service.
I always round up to the nearest dollar, and I usually leave 15-20 percent. My wife was a server in college, and hated having to count out change at the end of the night to cash in at the register. Before I met her I tipped to the penny, leaving odd numbers on the table or on the credit card receipt to make my bill an even number. Now we round up to make life a little easier on our server. After all, less than a dollar in change isn’t going to make that much a difference in our financial lives.
I also usually tip 20% unless the service was bad. I’m terrible at math, so what I do is remember that 20% is $2 for every $10 spent. So, if your bill is $30 (3 x 2 = 6) your tip would be $6. I add a dollar as necessary for uneven numbers or fantastic service, or I take a little off for really bad service.
It’s probably a whole different topic, but I’m always torn about tipping at places where they don’t actually continue to wait on you, like Starbucks or a casual sandwich shop. Am I a stingy person if I don’t tip at a drive through window?
Kristen,
Personally, I don’t think it’s necessary to tip at a drive through and I don’t usually drop change into a tip cup for the cashier (though if there is one for a charity I usually put change in there). I think that is part of their regular job and not something that really deserves a tip. Waitstaff, busboys, bartenders, etc, rely on tips for their income.
Whatever you do, don’t use a calculator or tip cheat-sheet. Figure the tip in your head – it makes you look more intelligent and sometimes impresses your fellow diners (depending who they are).
I work for tips as a bartender. It is amazing to me how many people DO NOT tip. Even before I worked in a tip based industry I was a generous tipper.
It is getting even worse with the rising prices of everything.
The worst tipper I have ever had? A man opened a tab and promptly charged over $700 on the tab. Both bartenders and both waitresses waited on that man and his party all night long with prompt service. He left a ZERO percent tip. Not even a thank you.
My rule of thumb is to generally tip $25.00 if I am going to a place where tipping is customary. (Which I do not do a lot of these days!) I can assure you that I do not wait long for a table or a drink.
But really, if my bar is jumping on a Friday night and there are many customers waiting for a drink, who do you think I am going to wait on first? Those who I know tip or those who I know DO NOT tip? Now, I do not ignore anyone and I try to wait on people in the order they came to the bar, but really, I don’t always know who was there first. And when in doubt, you take care of the people who take care of you!
I believe that 20% would be the new 15%.
I say 20% for good, solid service.
15% for just barely adequate, brought-the-food service.
And I’ll go above and beyond 20% for that server who anticipates your needs and is very friendly.
I still have no idea what is the right amount to tip the woman who cuts my hair or delivery drivers from pizza places etc…
By the way, the easiest way to figure a 20% tip, in my opinion, is to move the decimal one to the left and double it. So $50.00 = $5.00 x 2 = $10.00 tip.
Klein,
I usually tip about 20% on my haircut, or more if they do a great job. I rarely order pizza, and if we do we usually get take out because it is much quicker.
Thanks for the tips. 😉
Amphritrite,
I do a lot of rounding like that as well. It makes it easier. 🙂
I had a disagreement with a friend of mine one day and I want to know what everyone else thinks. Do you tip on the total bill (tax included) or just on the amount that the food was. I believe you tip on the price of the food they said total bill. I know it isn’t a big difference but hell 10,000 pennies is $100.
Also another thing alot of people do not know is that in some establishments the waiteress gets charged a certain % on the total amount of sales they are resposible for so that it can be figured into their wages and for tax purposes. The bar that I bounced at the waitresses and bertenders had 8% of their sales added into their “wages” so that taxes could be taken out.
PS Tipping bouncers, doormen, etc at a club/bar that you frequent regularly can definately help you get into the place much quicker if there is a line. Just take a 5 or 10 bill fold it and shake hands with the guy this is especially helpful in getting large parties in quickly but is going to take more than 5 or 10 bucks a 20 can get a group of 6-8 in very quickly.
I do the 10%+5% thing, calling it “Time and a half”, myself. Although, I don’t really do the cents…I just round. For instance, if it’s a $17 check, I go: $1.70 + about…$.80, so around $2.50 should be the tip.
If it’s an odd amount, like $15.66, I’ll go about $1.50 + $.75…$2.25. Since it’s got a weird cents amount on the full bill, I’ll just tip $2.34, making it an even $18.00. This is both for my checkbook’s sanity and ease of writing.
Another reason for not giving 0% tip for terrible service: The server might assume you simply forgot to leave cash on the table as opposed to intentionally giving nothing. In that case, the server doesn’t get the message.
If you have a completely wretched experience and don’t want to leave anything, leave a penny. They’ll get the point.
In regards to not leaving a tip for bad service: 1) As another poster mentioned, you might also be shorting others who share in the tips, like bus boys; 2) I don’t think not leaving a tip, or leaving a very small tip, gets the point across enough. In the cases where I’ve had bad enough service to think the server didn’t deserve a tip, I still left a small tip but let the manager know that I was displeased and why so they can correct the problem.
You could have a server who is just sort of clueless or doesn’t realize what they’re doing wrong. As a plus, in most of the cases where I’ve complained the manager offered us a gift card as an apology!
Great points, Kristen. Managers should be aware if their waitstaff are not performing well. And it’s a bonus if you get a gift card out of it. 😉
My tips start out at 20% and go from there. Exceptional service warrents 25%, regular service get’s 20%, horrible service gets between 15 and 18%.
My wife used to be in the food industry as was I before going into the military. I know how little most people leave and how hard the job is. It’s sad when people get stiffed on tips because their hourly wage doesn’t even get them a half gallon of gas in my states.
I’m not a huge fan of the the “required” tipping in this country. I think that a better system would be to pay people what they are worth and leave it as a completely voluntary action for exceptional service on the part of the customer.
But, that’s not the way that it is in the US, so I reduce the amount I spend on tips by reducing the number of times that I am in a situation to tip, as opposed to to reducing the tips themselves.
Let’s turn this around a bit and ask: In this economy should service be even better to warrant a tip? I’m all for leaving a tip when it’s deserved (and I will usually leave one when even when it’s not) but it seems that a lot of places don’t do as much for a tip anymore. We have a favorite diner where the wait staff is great and they remember us and treat us well. They always get great tips. Other places do the bare minimum. Some stores have tip jars out but they don’t really go above and beyond to deserve a tip. If there’s a tip jar at Dunkin Donuts or Starbucks does the staff automatically deserve a tip?
I can’t say I tip less because of the economy; it’s more because of the service.
What warrants exceptional service? Everyone has a different definition of what that means. Each customer is different. I have one customer who thinks exceptional service is telling him “Hi! Want a Budweiser?” and then leaving him alone. When he wants another beer, he puts his empty beer bottle on my side of the bar. I then have approximately one minute to produce another beer if I want a tip. If I talk to him other than that, no tip.
I have other customers who expect me to talk to them the entire night they are there… even if 100 other people are there. If I don’t talk to them all night, they exclaim that they had poor service, even though I make sure they have drinks if they are sitting at the bar.
If you are a regular customer and the entire waitstaff knows who you are and how you like to be served, it becomes easier for the staff to take care of you. But if you go someone once in a bluemoon or its your first time, how can anyone expect their definition of exceptional service to be met?
As long as your waitstaff smiles, has a pleasant attitude, and doesn’t ignore your food or drink orders, that should be enough to warrant a tip.
I know it make me sound selfish, but if I am not going to make any money, I would rather there be no one in the bar. At least that way I don’t have to stay there an hour after the bar closes cleaning up after messy people who didn’t feel compelled to tip…. an hour that my boss DOES NOT PAY ME FOR I might add. But a clean bar is part of the service offered that a customer doesn’t think of.
I answered tip more, but I would like to add the caveat that the “tip more” is for good service. Regular tip for regular service still applies.
I do not believe in lowering your tip because of the economy. My thought is that if you cannot afford the appropriate tip, you should not go to restaurants or establishments where a tip is customary. It’s rude to say, “I have less money because of the economy, but I’m still going to have my nice dinner and glass of wine. But sorry server, I don’t have enough to leave you the proper tip.” Stay home if you can’t afford the tip.
If you can’t afford to leave a tip, you shouldn’t be eating out in the first place.
I like to leave generous tips because I know I’m doing a lot better financially than the person serving me (in general that should be true).
I think about it this way…should your salary go down because of the bad economy? You wouldn’t like it if your boss said, “Thanks for all your work and service today, but we aren’t going to pay for that last hour.”
And I agree, you know that the tip is a part of going out to eat, so if you can’t afford to tip, then stay home or order take out.
multiply by 2 to get 20%:
check = $71
x 2 = 142
tip = $14
round up if you got good service, or down for bad
How and why did the standard tip go up to 20% ?? When will it go to 25%, 30%, 50%??
I think tipping is a bad setup.
Adequate waitstaff should keep their jobs and get paid enough live on, w/ increases from time to time.
Superior waitstaff should get pay raises more often and get paid better than adequate waitstaff.
Poor waitstaff should get warnings, then get canned.
The tipping process is a pain. I’m happy to tip 15-20% for decent service, 25% or even a bit more if it’s great service. But being obligated to tip when you get shitty service just feels wrong. The shared-tip thing seems unfair to all involved, doesn’t it???
Dave,
No idea when it went up to 20%. I’ll tip that much sometimes, but only for good service, or on a small bill when it makes more sense to round up.
Unfortunately, waitstaff usually get compensated by their employer at the same hourly rate regardless of how good they are. Tips usually make up the difference.
Each state has a minimum wage for service staff based the fact that their primary income comes from tips, or gratuity. The average hourly rate is $3.oo in 2010. That often does not even cover the federal and state taxes, so on top of my servers having to pay taxes out of their cash income, they must also pay for healthcare benefits which are to expensive for independant business owners, such as myself, to offer. My restaurant is busy but my servers must still plan ahead in order to stay ahead of the curve when it comes time to file taxes by filing quarterly and otherwise.
Servers who really do work hard and build a good relationship with their customers and take good care of them do deserve the 20% tip and of the whole bill. It seems like a tough pill to swollow, but if diners are not willing to tip these employees who are here to take care of our customers and are left guessing what their income will be for the day if people are tipping according to all of these crazy math games, maybe carry-out is the best option for them. Just take care of your server because they take care of you. What if you had a less than productive day or week and he who signs your salary check decided you only deserved 75% of your salary??? Well that’s what a server may feel if you tip 15% on good-great service. I used to be a server and now am an owner. Take care of those who take care of you. After all, they’re not trying to sell you a care, new tires or a new mattress. They are trying to make you happy and satisfied. If you’ve had a bad experience speak with a manager before you pay your check. Often times your bad experience will be addressed and resolved and you are sure to be invited back for a more positive experience.
My tips are not going down, but they are not going up either. My boss hasn’t wandered by offering me a raise because grocery prices have gone up.
On the other hand, I only eat out every 4 or 5 weeks and usually tip 20+% because the servers in my favourite restaurant are usually very on top of things.
Also I consider it a little different here because wait staff have to get at least minimum wage.
I figure since tips are based on service, I’ll tip more if service is better (or if I’m being a pain). At some of my favorite places, I’ll tip more just because.
But I’ll confess, rising X prices hasn’t really affected me very much, so it wouldn’t occur to me to tip more because of that.
I think you are right that if you are in the same position giving more could be nice. But if you are in worse position (and a significant number of people may be) then giving less is ethical. If you give the bare minimum then going lower might be unfair. But you may well give a bit extra while you are doing well. If you are giving extra while you are doing well, I see nothing wrong with reducing that extra when you are not doing well.
Still many people have not have not had huge change on their cash flow and for them it is not really that sensible to change your practices.
Like Eden, I subscribe to the “if you can’t afford to tip, you can’t afford to eat there.” I lived with a waitress long enough to realize how little she earned without the tips, so I tend to give generously unless the server is outright rude. More for better, of course, up to whatever I’ve budgeted. My budget just includes the tip!
I tip based on how good the service was.Most of the time 20%. I know how hard it is in the service profession. What ticks me off is if I paid $15 for a 12 ounce steak before and now Iam paying $15 for an 8 ounce steak.
I think the thinking that if you are in a worse position, than giving less is ethical is off base. But that could just be me…
I understand that sometimes someone can not be a “Big” tipper.
But if you have the money to go out drinking, you certainly should tip your bartenders/waitresses.
Even before I was in tip based employment (I am prior service Army) I always tipped. If I went out drinking, I brought a certain amount of money out with me. I tipped everytime I bought a drink. Once I was out of money, I was out of money. I didn’t skimp on the tip so I could have one or two more drinks that I certainly did not need by the end of the night, and never really needed in the first place.
As far as restuarants go, if you do not have 15-20% to tip on the bill (Which, for an average restaurant could be what? $5-$15? Unless you are in a large group and then gratituity is added automatically anyway) You probably shouldn’t be going out to eat. At least at a bar there is movement in the crowd and just because someone who is not tipping is sitting at the bar doesn’t mean that I am not serving other people who do tip that aren’t sitting at the bar. In a restaurant, if you are not tipping, you are occupying a table that someone else who would tip could be sitting. Since restaurant waitstaff usually have assigned tables, and not very many of them at that, every table that is occupied counts.
Not to mention that at many restaurants, waitstaff have to pay taxes on their tips each night. So, even if you do not tip, they still have to pay taxes on 15% of the total amount they served. So, if you don’t tip at least 15%, they are LOSING money. Then take into account that they have to tip out restaurant bartenders, busers, hostesses, etc, even if YOU DO NOT TIP. The tip outs are based on 15% of their total sales.
Of course, these are things that people not in the industry don’t necessarily know or really even think about. I don’t think that everyone who doesn’t tip is heartless. Some of them actually think that you make a decent base wage. I don’t know how they could miss the fact that based on our minimum wage laws, people earning tips only have to be paid $2.13 an hour.
When I point this out to people I know in everyday conversation, some of them say, “Well, then you should get a job that doesn’t count on tips.” I think that is about as uncompassionate as a person can get.
I am sorry if I seem to be “ranting” on the subject. I just believe from what I hear and read from other people on this subject that most do not understand all that goes into the tipping aspect of these jobs.
Katie,
I don’t think it is ranting. I think a lot of people simply don’t think about it, and don’t understand how tips are calculated, taxed, etc. Thanks for sharing your side.
Thanks for the tips. I don’t plan on going on a cruise anytime soon, but I did find your tips useful for the future, especially the bit about allowing the steam in the bath to iron out wrinkles on clothes. I didn’t know about that, so thanks.
I don’t know why there aren’t employment laws in place for cruise ships. I do think it’s terribly unfair if the employees aren’t being paid a reasonable rate. The tip culture is great – it’s an optional way of showing appreciation for an amazing service received – but I also think when the employer doesn’t pay well, tippers then become glorified employers in a sense – I don’t think that’s right – it’s not fair on the customer, the employee, and it gets the real employer off the hook.
We went out twice last week and tipped almost 30% and over 20% respectively. The quality of service was different, so we tipped accordingly.
We also noticed that food was a bit more this time, so in a way a higher tip was built in.
I think most here are in concensus regarding not tipping less. A person is pretty low to tip less just because he/she paid more for gas to get there and the food might be priced a little higher or the portions smaller (God knows we don’t need the super size portions most restaurants serve). I used to be a waitress plus I worked on ships where some of the crew were paid $45/month and relied on tips. Tell me giving a decent tip isn’t the ethical thing to do. If you are seated at a restuarant and see that the prices are higher and you might not have enough to order what you decided on, switch to a lower priced entree. You still have the enjoyment of dining out and aren’t stiffing the wait staff.
I believe that the tip amount should not change. If you can not afford a fair tip (assuming fair service) than ou really can not afford to eat out.
I use to wait tables in a greasy spoon cafe when I was in high school, and the standard tip was usually 2 bucks, no matter what the bill. I ran my ass off waiting on truckers, other high school students, the after church crowd – so I appreciate the hard work of the waitstaff.
However – I am taken aback at the new “standard” of tipping 20-25%. I was out for dinner last weekend (at a fairly nice place) where my bill was a little over a hundred bucks. I thought I did the right thing by leave the waiter a ten, a five, and a few ones (which was the only cash I had on me) but instead I got a shitty look as he jerked the money away from me.
On the other hand, I tipped the girl who cuts my hair (a 30 buck cut) seven dollars and she seemed embarassed to be taking it.
Sigh. I guess you can’t win.
Lee, it seems ti me that waiter’s reaction was rude. If the bill is relatively low, then I might leave 20% or so (because less than $2 seems like it’s not enough). But I don’t think it’s cheap to leave 15%.
FYI, servers get paid an average of about $2.50 / hour. This is something that I don’t think everyone knows… don’t be cheap.
If you can’t aford to tip, you certainly can’t afford to be eating out!
Shelby, where do you live that servers only get paid an average of $2.50/hour? All across Canada the minimum wage is at least $8.00/hour, many places being $9.00 or $10.00. I know that’s still not an exceedingly high wage, but along with decent tips (15-20%) you can make a decent living off that. If I go out for dinner with my family, I always factor in a good tip (I was once a waitress myself) but it is not up to me to pay that person’s rent for the month.
If someone is honestly paying you $2.50/hour, I would contact the labor board because I’m sure that has to be illegal. No one could ever have a hope of living off a wage like that.
Steph, most places in the US only pay waiters about half the minimum wage because they are expected to earn money from tips. If they don’t earn enough to cover minimum wage, then the restaurant has to make up the difference in wages. (there are laws to cover this). It doesn’t seem fair, but that is how it is, and why it is so important to tip well.
…and there lies the problem.
There are places that pay min. wage and tips are a bonus
There are places that pay half min. wage and tips but get topped up to min wage
There are places that pay half min. wage and tips but no top up
There are places that are tips only.
So if you’re trying to tip so the server gets a decent wage what’s the right amount?
In the same way that I consider tax to be part of the price of an item, I also consider a 15% tip to be part of the price of a meal. Of course, I may still go up (or down) from this number if the service was particularly good (or bad).
So in the same way that I would add tax to the price tag of an LCD TV and THEN decide whether I can afford it, I add tax AND tip to the price of an item of a menu and then decide if I want to pay that price.
It makes no sense to me that someone will say, “Gas is so expensive/The economy is down/etc/whatever, so I tip less now.” If the price of the food plus tax and tip is too high for you, then DON’T eat out at that restaurant in the first place.
Of course, the 15% number only makes sense in North America. Tip appropriately to where you are.
As a person who has always been in service industry, I tip better than average by far. And in response to Jarhead, the amount of tips that are to be claimed and paid taxes on, are the total amount of sales, which includes tax. So the proper amount to tip on would be the total amount. I daily experience the people who tip a set amount regardless of how much is spent or the excellence of service, and quite frankly it is not fair. A lot of people think you should not have to tip certain service people, but when it comes right down to it, they make a lot less an hour than many other jobs.
Dave R. I bartend and generally work by myself so do not have to share tips except the rare ocassion that i have help. I have worked one place ever that we had what is known as a tip pool, for a week. I get a $20 tip and have to share that with someone who made $20 all day, i think not! But it has to be horrendous service for me to leave no tip, which i have.
I have worked in many positions in the service industry and even owned a few restaurants in my time.
Most servers are taxed a percentage of the total sales they did for their shift. The average they are taxed is 8%-10%. What does that mean? It means that if you stiff your server, that server is paying money out of pocket for the privilege of waiting on you. Also means that if you tip 15% the server is really only getting around 5% of what you left, and this is if they don’t have to share with others.
So to all of you guys who drop hundreds at a bar or restaurant and think you are doing the server a favor by leaving them a whole $20 dollar bill, you just took money out of their pocket to pay taxes on money they never received. Fair or not, that is the tax system we have in place. Don’t hurt those who are serving you, they have families too.
Too many times servers are stiffed for things that are out of their control, such as the kitchen being in the weeds, or they may be short staffed and having to do more than one job.
I worked at a truck stop where the servers had to also do the dishes and be the janitors for that shift. Alot of people think that restaurant owners make lots of money and that is rarely the case. Most restaurant owners work an average of 14-16 hrs per day 6-7 days per week. Most owners earn less money than the lead cook. 80% of all restaurants will fail in the first 3 years.
If you are cheap and don’t like to tip, please use the drive-thru or stay at home, you are hurting other hard working people. Serving tables was rated the most stressful job in the world, second was clearing land mines.
As to Casino tipping. Tip at least $1 for every drink served. If you are a table player you should tip the dealer every 20 minutes equal to what you are betting for each hand. If you are betting 1 red $5 chip per hand you should give the dealer a $5 chip every 20 minutes or even more if you get on a good run. You should also tip the cashier or Cage at least $1 when you cash out or more if you did well that day.
Slot players should also tip and tip well. If you don’t tip you will find yourself waiting for a long time for any kind of service. When you win a hand pay jackpot where a slot attendant must pay you money by cash or check there will usually be 2-3 people present. A Slot attendant, a security person, and depending on the size of the jackpot a players club person. You should tip the Slot person and the Security person as these people depend on tips. The Players Club person should not be tipped as most casino’s do not allow them to be tipped because they rate your play.
You should either tip the Slots, and Security seperately or tell them to split it. If you do not tell them to split it slots will take it all and give security nothing. You should tip at least 10% on a split tip or 5% to each department (Slots/Security) It may sound like alot of money to you, but you need to realize that those people do not get to keep the tips for themselves, but have to share the money with their respective departments, and only get paid their tips once per week. Their tips usually average $200 or less per week as most people don’t tip. You should also give a $5 courtesy tip each to slots/security for a hopper fill to ensure quick service.
Why tipping can make you a winner at the casino. Casino’s can get very busy at times. It seems to be either very slow or extremely busy. When it gets busy Slots and Security will service the people first they know will take care of them, after that they will get to the people who don’t tip. I have seen people who don’t tip wait for service up to 30 minutes even when its dead, as punishment. Also if you tip well Slots/Security will give you information as to what machines are hot that day. If you wait for a long time for service at a casino, now you know why. So you think you will complain to the manager about slow service instead of tipping? Guess what? The Slot Manager gets a cut of the tips too.
NEVER stiff the server. ALWAYS give at least 10%. If there is a problem TELL the manager!!!!The reason is this…you have NO idea what is going on behind the scenes. If the manager unfairly gave the server too many tables, and the server couldn’t keep up, then TELLING the manager your service was slow will help them correct those problems in the future. NEVER assume you know what the problem is!!!The server has every right to defend themselves when problems arise, just like you do at your job.
Tipping is a gratitude for services rendered. I will give 10%, if I do not notice the service. From there, it will go up or down, depending on my awareness of that service. I will give nothing if the service is annoying and I will add to the 10%, if I become aware that the service is better than usual. Tipping someone for poor service is bizarre. Not tipping someone for decent service is just as bizarre.
Dan, I have been serving for almost two years and today was the first time i have ever been this insulted. i would like to say that we’re not always perfect, we’re not always going to have good days, and im sure you aren’t flawless ether so maybe next time you experience slow service be a little more considerate. you have no idea whats going out. chances are they are just overwhelmed, and im sure that they are aware of the mistakes so keep you penny in your pocket. cuz im sure they feel bad enough without your insulting penny….id rather just be stiffed.
its not that hard to get their attention if you want something… its not like we can read your mind and if their busy there are plenty of people around that are more than willing to help you out. simply ask them for assistance.
I never tip on the TOTAL bill . . . I usually tip 15% on the Total before taxes. I refuse to pay a tip on money that goes to the government.
I am dead against tipping more than 10%. In the 70’s when meals were less than $5.00 tips were 10%. On $5, that’s 50¢. Now when meals are $20.00, they want 15%? or even 20% as one person here has pointed out. On $20, 10% is $2.00. As meals go up in price so does the tip …at 10%. These people are paid a wage although it is minimum wage but with 10% in tips they do quite well for a job that requires little education. Keep in mind that while they are waiting on you, they are waiting on others and can probably take care of 5 tables in an hour. That’s $10 in tips per hour plus minimum is a lot more than many others get who work a lot harder or at least as hard. People at donut shops, clothing stores, walmart etc get not tips at all and often are working for minimum or a bit over. And they are working their AO and they are giving service. The people who are trying to push the tips percentage up and up are the waiters. When they mention 20%, they are getting ridiculous. When the price of dinner or a service goes up, the amount of the tip automatically goes up and there is no need for the percentage to go up, too. We should pay them 5% for a while and then they would appreciate 10%.
I hope you realize by leaving this comment you’ve made yourself sound ridiculous. First of all we aren’t living in the 70’s and plenty of young people need to work in the service industry to pay for school and other important necessities. There isn’t a surplus of other jobs in this day. You choose to go out to eat and know before hand what it will cost you. The tip is for the service you receive when you decided not to cook or prepare a meal for yourself. If you decide to go out to eat in year 2010 you pay the standard 20 percent of this day and age unless treated rudely by the server themselves. Restaurants do not pay servers. Paychecks go to taxes and as others have said most servers are required to tip out other waitstaff up to 5 percent of their total tips. When people do overtip it makes up for all the people who don’t. Serving is strenuous mentally and physically. It takes a strong character to deal with the absurdities of people and business all at the same time.
The salaries of resturant workers are calculated in the cost. then the costs are the base of the bills. so when you pay your resturant bill you covered even the gas for the truck bringing the meat to to resturant. then one day the owners of the resurant added %15 of the bill to thier profits, meaning to cover any new costs but simply double thier profit. How did they do that is by asking customers to pay some of the workers. they wish they can make you double pay for all workers including the ones behind the seen. So the sent these workers to you and make you feel guilty as thier living in totaly dependent on your tip. In the mean time the owner did not bother cutting what he used to pay them from your bill.
I think the tip is a steal the goes to resturant owner, it is demeaning to resurant workers, it is becoming a way to judge cutomers and even deprive some from thier right of good sdervice and make them feel cheep even if they tip but not %15 but say %11. Tip used to be a sign of wvaluation and appreciation for real good service. but now it is a sign of evaluation of customers.
I think we need to remember that some comments here are Canadian based, and some are American based.
My husband and I owned a restaurant for several years in Canada and this is how it is….
– tipping is on the total BEFORE TAXES- when taxes were 15% it made it easy- simply pay the tax for good service.
– servers DO NOT pay tax on their tips (unless they claim it) which most do not
– Most servers do need to contribute a % of their sales (not a % of their tips) to a tip pool which gets divided between cooks, hostesses, bus boys etc… that means if you do not tip at all the server has had to put money out of their own pocket- basically it cost them to serve you, which even for poor service is unfair. if you do a bad job do you get wages deducted????????
– 15% is a standard tip, we leave more for exceptional service and less for poor service. By poor service I mean something within the severs control- examples: rudeness, walking past our table 15 times without askingi if we want a refill on coffee etc, waiting for a long period of time when first being sat without even a acknowledgment, waiting to pay (very irritating)etc…
– NOT LIKING YOUR MEAL- or waiting too long for your meal is not the servers fault- that has NOTHING to do with service- it is the kitchen.
– and finally: servers live on tips and get paid minimally for a reason- your pasta dish which is $14.99 would easily be $30.00 if the owner had to pay the entire wait staff higher than minimum wage. So would you rather pay an additional $2.50 tip on that entree or $15.00????????
Thanks for the insight, Wendy. I think many people weren’t aware that there were comments from Canada and the US, which causes confusion on standard practices, and what is is isn’t acceptable.
The best tip I have heard and now use and makes it easy to figure in your head is…take three times the tax and that will give you 18% so you can go up or down whatever suits you. And tip only on the food not with the tax included ((total bill).
I don’t have to tip if I don’t want to. Good service? You got it. Bad Service? Maybe next time pal. Either way, I’ll tip if I want to and the economical status of my well being will dictate my behavior toward tips. Call me names, insult my intelligence but personal remarks shouldn’t influence what I think. Look at it from my perspective. First, consider that the restaurant joint is lucky enough to even have customers eat at the place in this gloomy economy where restaurants should be going bust. The customers must already pay a premium amount for food that could be cooked at home and not to mention the nationwide sales tax increase (9.25% now in CA) and then the hefty tip itself (almost like a 2nd tax itself). Don’t forget, no matter what the biased laws of courtesy may say about mandatory tipping, the tip should always be done by choice of the customer. It always has been but lately something is wrong. Remember the last century when it was not required to tip? Nowadays people make it seem as though not tipping would imply rudeness, cheapness, disrespect and although it may seem so to the robotic crowd, tipping is still a freedom of choice. In this depressing economy along with the Federal Income Tax sucking me dry, I don’t feel like tipping. Plus I have student loans to repay, my wallet is light, and Obama’s Health Care Plan will soon force me to buy health insurance or be fined for failure to comply. I’m poor but I can still afford a meal at a restaurant. If I’m in a jolly mood, I tip. If not, maybe next time. Don’t harass me on my way out the door because I indirectly pay for the restaurant’s livelihood. No customer, no business. Simple. And speaking of simplicity, we have forgotten this basic freedom behavior of the consumer to tip or not and as a result, automatically accept the 15%, 18% or 21% tip as though it was a requirement. We resort to the calculators and the how-to-tip charts to govern our decision and on how much to tip at a restaurant. It’s plain business psychology and we feel better and more content after tipping. Well I’m here to break the status quo! Your lucky to have me walk through your door. I had to open it myself too. The economy is in shambles and I’m in a bad mood. I don’t tip. Go cry to the next customer.
You are part of the reason that I am having trouble paying my bills. The national minimum wage for servers is $4.80 and yes we get taxed on your sale, it doesn’t matter if you agree with it or not, tip is required as part of the service. You are ignorant and seem to enjoy making up your own rules, if I decided to go out and shoot someone could I use the defense that I just felt like it and it’s a free country? Moron, one hand washes the other, if the restaurants go “bust” then where will you go to sit on your lazy *ss and be served your meal? Oh, you might have to shop and cook it yourself. Karma is a b*tch and I just keep telling myself that in some way at some point or another this will come back to you or someone you love……and everyone else like you.
DOUBLE THE TOTAL AND MOVE THE DECIMAL TO THE LEFT FOR 20%
27 x2=54 TIP $5.40
DROP A LITTLE FOR LESS THAN 20%
Just thought I would give everyone a heads up on a app I saw in the itunes store called cruise card control lite. It is a free budgeting app for cruisers and it also has free countdown clocks and ship images, thought it was pretty cool and would share.
I have worked in a restaurant for 5 years now on and off to pay for my college tuition. In Georgia, we get paid $2.13/hour. EVERYTHING we make is tips. Our paychecks say VOID and the $2.13/hr all goes to taxes. Not only do we make only what people leave for us but we have to share it with the rest of the staff. SERVERS tip the host, bartenders, and food runners at the places I have worked at. We give the host and bar 2.66% of our TOTAL SALES and the food runner 1% for a total of 3.66%. Also, some places claim 16% of a servers sales for taxes so if you are only tipped 10% and then you tip out to the rest of the staff 3.66%…you are only making 6.44% but the restaurant is telling the IRS you make more so you end up paying a lot of taxes at the end of the year. You also have to remember that if you are in a large group of people and you have more than 1 server…they are SPLITTING the tip! If you sit at a table for a couple hours and leave $5.00, you are saying it’s okay to work for $5.00 an hour. If you would have gotten up after you ate, the server could have had another table and would have gotten another tip. If you are going to hang out with friends or coworkers and talk and take up that servers table…tip extra considering you are costing them money! If you don’t tip at all…you just made that server pay to wait on you because of the money they had to tip out from your total bill.
Here are some examples:
If your bill is $100…a 20% tip would be $20. The server gives $2.66 to the bar and host and $1.00 to the food runner which means the server actually only made $16.44 from you.
Let’s say your bill is $25 and you give a $4.00 tip. Take out a dollar for what the server has to tip out and now it’s down to $3.00 but if you sit in that servers table for 2 hours and don’t leave extra, you just paid that server $3.00/hour.
If your bill is $30 and you don’t leave anything, that server just PAID $1.10 to wait on you.
Servers only have 3-5 tables in their section for the night so when someone takes up that table (we call them campers) for a long period of time, they are taking the money you could be making from having another guest sit there.
Also…keep in mind that your server does not quote the wait time or cook your food or make your bar drinks so if you had to wait a while or if things didn’t come out the way you wanted them…it might not necessarily be your servers fault. To help a server provide you with the best service they can give…ask for everything you might need for your meal at once, not every time they come by the table you need something else (we call this running the server). Servers want to make money, they don’t want to give bad service (well…most of them) but you are not the only people they are waiting on. Another table might be a pain in the rear and the server is trying hard to make all the tables happy but one might be taking up more time than the others so when you go out…look around…see what other tables your server might have and how they are interacting with your server. Technically 18% is the standard in Georgia. My restaurant adds on 18% gratuity for parties of 8 or more.
I find it unsettling that so many people in our society today feel so entitled. Tiping is not required. It is given for service received. Maybe you need to work on your financial habits if you have trouble paying your bills instead of blaming other people. Part of being an adult is taking responsibility for your own actions. If the service is good (or even adequate), the wait staff deserve to be tipped. I’ve been there, done that. I always received good tips, but I worked to get them. Maybe you need to check out your service and attitude if you aren’t receiving tips. As I said before, if you can’t afford to tip, then you need to choose somewhere else a little less expensive to eat. Many of us are not eating out as often, because we are trying to control our expenses. You make it sound as if cooking your own meal is a bad thing. It isn’t. You speak of karma. If you believe that, then you might receive some that you don’t really want.
I was told several years ago to leave 15 percent of the bill, however if you just don’t have it to give simply leave 3 cents ( a sign of sorry, just don’t have it but next time I will take care of you) to 1 cents flipped upside down for your service sucked!
Here is what I think, the waitstaff on here is saying if you cant afford to tip then don’t go out to eat. Well if you can’t afford to work for the pay that the job is paying then simply don’t take the job. You know before you accept the job what the pay is. When you go shopping do you tip the cashier? If not you should, because they are taking care of you and ringing up your purchase. If you don’t tip the cashier then only use self check-outs and if something goes wrong and an attendent has to come and assist you in anyway be sure you tip them. When you pay your bills do you include a tip for the accountant that is going to post your payment for you, I could go on and on about everyone should be tipped but only a select few are or think they should be. If I receive good service I will tip good BECAUSE I want to NOT because I am suppose to.
Most of the pay of waitstaff is the tips, thats why you would take the job. Its a very stressful job. Though it might take a long time to get your drinks/ food, its hardly the servers fault (not like they are just standing around) usually they are fighting for you. Since infact they do not make the drinks/food (thats a bartender or cook). And when you go shopping you are indeed tipping, except we just call it commission and it is already figured into the price!
what about Dave & Busters? do you tip on the total of food & drinks, or food & drinks plus the game cards? we went last night and got 100.00 in game cards then 77.00 in food & drink. we left about a 23.00 tip. as i based it upon the food & drink total. felt like i was being cheap tho.
In this case, I think the tip should be made on the food purchase, since that is what the waitstaff delivers. You can spend money on the games at your table, or at the booth. So I don’t think you necessarily need to tip on the games. (this is different than an alcohol purchase you can make at a bar, because you would normally tip on that purchase. You wouldn’t normally tip on a game purchase made elsewhere).
Please do not forget to tip your esthetician or massage therapist when visiting the spa. Most therapists earn a good portion of their income from tips, and rely on the standard 20%. It is disheartening to give an amazing, relaxing service to the tune of $250 and to receive an $8 tip at the end-especially when the client affirmed the service was enjoyable. If it wasn’t to your liking, we would rather know right away than to wonder after you have paid the bill.
I am a waiter and I work in a nice restaurant. The normal tip is 20% or more. But in my restaurant we tip out close to 40% of the tips i earn to bussers, food runners, and bartenders. So if i make $100 I am walking with $60 of it.