When tipping was considered un-American (2015)
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And, while good service is welcome, I never go to a restaurant for the waiters, I go there because of the food. I've eaten at restaurants with absolutely awful service and came back often because the food was amazing. I've never once came back to a restaurant where the food was mediocre but the service was amazing. So why should my tips go to the least important staff in the restaurant?
If restaurant owners can create an even more opaque pricing structure that shifts the rest of their employee costs onto customers they will.
Waiting is one of the very few jobs where an untrained person can earn lots of money just by doing their job and being nice.
This is particularly why I hate the new custom of tipping before even receiving service or food. You have to do some game theoretic dance to decide whether you’ll get bad service if you tip low up front vs get bad service anyways because they’ve already got your money.
I've not left a tip a handful of times over some exceptionally bad service and food and never felt the desire to return to those restaurants.
Still was interesting they remembered me a year later from a restaurant I only went to once.
Hell you probably weren't the only person not tipping that same night.
I'm kidding about the above, but to be honest, you just don't say anything. The likelihood they're gonna slash your tires or something on your way out isn't even a possibility.
When I was a kid in the 80s/90s, 15% was standard (there was even the mnemonic to calculate it: 10% is easy to calculate, then take half that and add it). 18% was for really outstanding service, 20% was for outstanding service when someone wanted to show off, and 25% was basically unheard of besides some gossip mag detailing how rich a celebrity was ("They tipped 25%!")
Now I see tip amounts that default to 20%. My hypothesis, and perhaps this is a relatively sad commentary in the US, is that the level of inequality in major US cities is off the charts: for many people eating at a nice restaurant in a major city, food, even eating out, is a tiny portion of their overall budget, so adding 5% is really nothing, but people working in restaurants are really struggling to get by (and diners know it), so the increased tip rate is basically a consequence of trying to make unaffordable large cities bearable for workers.
What does “minimum accepted tip” mean? How is it not just 20% taken off the prices if it’s mandatory to pay it?
It’s effectively a part of the agreed transaction. I understand the mechanics of it, but it’s extremely weird to me (who isn’t American). I’d be fine with service charges of almost any level. Also if it said “service charge is 30% - please let us know if you aren’t happy with the service and we’ll remove it or compensate you”. That’s fine.
What’s important to me is that it’s on the receipt.
I wonder how Americans feel paying 0% tip without complaining in Europe (I wouldn’t ever complain and possibly not come back).
In some other cultures, good service is considered more of a moral obligation. The shame of providing bad service and of being known for it keeps waiters and their managers on their toes. Different culture.
Honestly it seems more like a post-hoc justification to avoid an interaction which seems to make many people uncomfortable. There is tension between not wanting to feel like a chump for voluntarily overpaying and not not wanting to appear cheap.
What even is 'great service' as opposed to 'sufficient service'
https://www.eater.com/2018/6/12/17439694/tipping-laws-tip-sh...
If I dine out here at say a pub, the price for a steak is $30 AUD and the price of a beer is $5.
The total price I pay is $35 AUD.
This includes tax.
This includes the wage for the staff front and back of house.
And if for some reason I'm feeling like tipping the staff because they went the 'extra mile', I can optionally do so.
This is super confusing in the US (as a visitor) when the price of a meal is advertised as $xx and then you go to pay and it's actually $xx + tax + tip.
If I'm paying a minimum price of $xx + tax + 10% tip, why not just make that the price of the item? It just makes no sense to me!
There's nothing stopping them from doing so but it benefits them by being deliberately opaque.
Also, worth noting is that Americans consider 10% to be a stingy tip.
How do you even know this? Who determines what a tip should be?
It isn't helpful (for a foreigner) in that you ask people "how much should I tip?" a lot of service staff won't give a clear answer. (They think it is rude to answer or something?)
On business trips to the US, I observed what my American colleagues did, and copied their behaviour.
I used to always tip 10% until I saw my American coworkers were always tipping 20% so I switched to that.
Nobody ever complained when I tipped 10% though. (Maybe they are more tolerant of stingy tipping from obvious foreigners?)
(And whether 10% or 20%, it was a business trip so my employer paid for it anyway.)
Of course, the merchant can change the setting to determine which options are shown as quick picks. I'm just talking about defaults.
In one case, the waitress apologised and blamed the owner.
I'll shame everyone who tips less than 30% with the usual arguments. You can google those arguments; it's something like they don't make enough money and etc.
In reality, I tip only 15%. For delivery, I don't tip if there's already a service fee. I only tip because I'm scared I'll be assaulted. Yes, some people got assaulted (or verbally assaulted) because the tip less.
Also, I don't tip if I won't see that person in real life.
That's how tipping percentage is determined. The person who screams the loudest win. It's stupid.
Even as an American, if you travel to a different part of the country you figure out the local tipping convention by observing other people.
That is one of the purposes of tips. Price obfuscation is good for the sellers.
I still think tipping is BS, but higher end restaurants will attract higher skilled front of house, and so it makes sense that they'll be paid more despite doing the same thing.
That's the same stupid reason why we have a dog tax in Germany. Some centuries ago some king - just on impulse - decided "if people can feed a dog they surely must have some extra money to give to their king". And we have to pay that stupid tax even today.
*quoting b2b prices without vat is fair as whether or not tax is payable depends on the customer.
Weird exceptions might be for infrequent purchases like cars that are taxed differently.
> Texas imposes a 6.25 percent state sales and use tax on all retail sales, leases and rentals of most goods, as well as taxable services. Local taxing jurisdictions (cities, counties, special purpose districts and transit authorities) can also impose up to 2 percent sales and use tax for a maximum combined rate of 8.25 percent.
Again, it's just extra hassle for no good reason, I don't understand why printing the FULL price of the item on the sticker/sign/whatever isn't a thing.
Just FYI.
How is that even a vaguely acceptable response, let alone _expected_ behavior I should anticipate? I cannot even fathom someone spitting in my food in Australia under pretty much any circumstance.
Absolutely ludicrous!
What happened to that? What I really can't stand about tipping is that most of the time it goes to some dumb "tip share" scheme.
My wife (then GF) worked at several restaurants in college and they all had tip shares. Even hosts and kitchen staff were included in the share. They were all payed under minimum wage, but the restaurant had to pay the difference if the tips alone didn't bring their wages up to the minimum (which happened more often than not).
I realized that when I tip, I'm usually not rewarding the waiter/waitress. That reward usually gets split across dozens of people and my waiter/waitress likely sees none of it. Worse still, most of the time it isn't even a bonus to their wage. The $5/hr-ish is effectively deducted from their tips so I'm just paying their wages so the restaurant doesn't have to.
What a scam. Regardless what you think of tipping, tip shares should absolutely be illegal.
But still, there seem to be lots of people willing to do these jobs.
You mean the students, fresh grads, and otherwise-unemployed who basically have no other choice? I'm not sure them being "willing to do these jobs" is a great defense for the practice considering their alternative.
This seems...really good! I’d rather be able to tip the people who actually make the food and clean the table (things that matter!), than the person whose only responsibilities are carrying the food to the table and not saying annoying or obnoxious things. I couldn’t disagree more with you here.
They earn something like $4/hr + their portion of the tip share. If the tip share is not enough to bring their wage up to minimum ($7.25/hr in most cases), the employer must pay the difference. Tip share is almost never enough to make up the difference, so they earn minimum wage regardless of whether they're part of the "tip share". The waitstaff earns less with a "tip share" because their tips get deducted from in order to pay the other employees' minimum wages.
Here's an example: say you have a restaurant with 2 waiters, 2 cooks, and 1 host. "Tip wage" is $4/hr and minimum wage is $7.25/hr. The waiters each bring in $7.50/hr in tips ($15/hr combined).
Without tip share, waiters get $11.50/hr ($4/hr wage + $7.50/hr tips) while the cooks and host get $7.25/hr.
With tip share, everyone gets $7.25/hr ($4/hr tip wage + $3/hr tips + $0.25/hr difference from the employer).
It's just a scheme to fund wages for cooks and hosts using tips from the waitstaff.
You are posting this on Hacker News. Most of the people in this community live in states where waitstaff earn more than $4/hour base, thanks to state laws. Read the room.
https://www.minimum-wage.org/tipped
Only 2 of those states have a tip credit of less than $3/hr.
You're probably implying that most HN users live in CA, OR, and WA where tipping wages are not legal.
Hopefully you're not referring to the NYC area. NYC tipping wage is $5/hr less than minimum. NY state is almost $4/hr under. NJ and MA are more than $7/hr under. DE and RI are more than $6/hr under. MD is more than $5/hr under. PA is more than $4/hr under. CT isn't too bad, though, at within $2/hr under.
Somehow I doubt you're implying most HN users live in HI, IA, or ND - the only other states with legal tipping wages within $3/hr of minimum. I also doubt you're implying most HN users live in AK, MN, MT, or NV - the only other states without legal tipping wages.
Not that it matters. Even if the overwhelming majority of HN users lived in a west coast state (maybe it used to be that way, but I'm skeptical of that now), most HN users also probably don't work as restaurant staff. A bad thing isn't less bad just because it doesn't directly affect you.
Do you have an actual point to make against anything I've said?
The only winner is the restaurant owners who get away with paying their staff less.
You needn't use your real name, of course, but for HN to be a community, users need some identity for other users to relate to. Otherwise we may as well have no usernames and no community, and that would be a different kind of forum. https://hn.algolia.com/?sort=byDate&dateRange=all&type=comme...
Sometimes this must be because their boss is telling them to gently push customers out the door to free up the table. Sometimes it might be because the waiter himself releases that by freeing up the table for another set of diners, he stands to get obligatory-tipped twice that evening instead of just once. But with a culture of obligatory tipping, customers have no way to penalize waiters for such over-intrusive behavior.
Is that not why fixed tips exist? To reward good service? Everyone pays the same percentage, except when the service is exceptionally good or bad?
Basically, my point is every trip that you need to make anyways, you check the table. If a table is hanging for too long, you start to get a little more pushy, because it's a business that's trying to make money. If it's a busy Saturday night and you have a table that doesn't want to leave, other people have to wait longer for that table, and also the restaurant makes less money. Imagine your annoyance if you make a reservation at a restaurant, and you get sat late because people are taking 3 hours to finish up.
Your point about obligatory tipping and not being able to penalize servers doesn't make any sense. If service is that bad, you just don't tip. If a server yells at you, you talk to the manager or just walk out the door. I've put zero for a tip a few times and no one has given me a hard time, and if they do, your night was already ruined by awful service anyways. Also, if you make it out the door in time, the servers won't even see your check by the time you're gone. If you can't bring yourself not to tip someone, that's on you. It happens ALL THE TIME. Almost every other night a server will tell me that so and so didn't tip, or tipped a dollar, etc.
By the way, none of this is for or against tipping, I'm just explaining my thoughts on the current system.
It's probably cultural, but Americans generally like that (unless its overboard). I prefer saying "no thanks" to the alternative I tend to face in europe--where the waiter only comes to take the order, drop off food, and take the bill.
Trying get a second bottle of wine or address a problem with one's food is hard in Europe b/c of that.
I wonder if it America's rule that its rude to snap or point to grab the waiters attention.
It's like, there's some mysterious unknown correct tip amount. If you don't just automatically know this amount and don't tip at all or too little, then you're a jerk. If you tip too much, then you're a sucker or trying to get some other kind of favor. How about if you want to make a particular amount of money for doing some job, you just tell me how much you want? I can either agree and pay it and we're both happy, or not do it at all and at least nobody feels ripped off.
If your servers (or anyone working in the restaurant) demand higher wages, pay them the fair wage and charge what it costs to operate at that level. The expectation of a tip feels similar to the hidden fees charged by wireless carriers so they can advertise a much lower rate.
> what is the best path to end this ridiculous custom?
> minimum wage
But I'm not defending the argument, just adding to the debate. I'm fine with tipping, personally, because I think it aligns incentives to encourage good service. That good looking people get better tips doesn't bother me in the slightest—life isn't fair.
2. Greedy enployers can't use the promise of tipping as an excuse so they start to paying minimun wage.
3. Government intervenes making sure minimum wage is paid.
It starts with (1).
Starting your movement with "don't tip" is a great way to punish workers without much chance of being successful. It should probably start with the restaurants, or even regulation.
I wouldn’t have a problem if the menu stated all items will have a mandatory extra 18% charge for gratuity. I would gladly pay it. I simply want it to be clearly stated and transparent.
It's that so they can fiddle their taxes?
Why [else] would you not want to get the same money, on average, as a wage instead of having a high per diem variance?
Also, aren't most young women feminists, they should be against such things ...
The consensus theory among my industry friends is that Americans are more generous with their spending when there is a perception that the money is going to a real person -- tipping -- whereas a service charge goes to the restaurant company. Customers attribute the cost of the meal differently in these two scenarios and they are not as willing to spend more money if it goes to some faceless company instead of a person they interact with.
Presumably other areas of devices, like clothing or general retail are getting demands from unions to move over to voluntary tipping to tap that generosity?
In UK it's relatively common to tip some hotel workers and taxi drivers -- do USA hotel room cleaners also benefit from this effect of tips>>charges?
When I tip (outside the US) its done so as a genuine expression of gratitude for good service. It's my way of encouraging and rewarding good service. If its done under compulsion than its no longer a tip, it's a charge and good service is relegated as less meaningful.
That's interesting.
When in Europe I've found it pretty common to see a "tip" section in the bill, where the tip is already added on to the bill by the management and counted in to total you have to pay.
That's rare in the US, where at most one sees a "suggested amount", and usually tipping is completely optional.
Why not just increase the price of the food and service charges to compensate for the salaries?
It feels like some kind of psychological hack where they want price of food to appear cheap on paper till the moment you pay.
But you do have to pay the full total of your meal regardless of how you felt.
That's why making "tips" mandatory is the scam. It's not a tip if it's mandatory.
I can't recall having ever seen this despite having travelled, and indeed continuing to travel, Europe extensively.
A denoted service charge is not uncommon, but I would be interested to see where exactly you believe the above to be commonly experienced.
In the Netherlands, Norway, Sweden, Czech, I've found it to be pretty common. It could have been other countries as well, as I traveled relatively widely, mostly in Northern and Eastern Europe myself. But unfortunately I didn't keep a log of exactly where this happened. Just noticed it happened a lot, and was more the rule rather than the exception.
Even here on HN we'll regularly witness people proudly proclaiming that they've tipped 50% or more for "good" service. Not content with showing off their status to whoever had the poor fortune to be dining with them, and the waiter/waitress that served the group, they also relish in the opportunity of soaking randoms online in their lavishness post-factum.
Paying more in taxes or increasing the minimum wage doesn’t have the same effect, even though it would result in a more egalitarian society. The power to select who received the benefit from you is important.
Deliberately overpaying is a bad thing when you're either feeding a company or gifting a stranger, neither of which need the money anywhere near as much.
The only way to end it, is if we all collectively decided to stop the practice so that waiters could negotiate a real wage.
Also, if you have a "tip" jar on the counter at a takeout joint or convenience store you're not asking for a tip, you're panhandling at work. I really don't appreciate the attempt to guilt me into paying extra for a gallon of milk or whatever.
As a former waiter, I realize the importance of tips for them, but it seems like the system is broken.
I remember where I worked, waiters would avoid servicing a table where. They new the customer was a poor tipper and force the new guy to take their order.
It always seemed shitty.
It seems that would solve a lot of the problems surrounding tipping and the employee situation in restaurants in general.
The people most opposed to that legislation are the bar/waitstaff. Anecdotally, I know bartenders with take home pay close to engineers. They don't want tipping to go away.
I'm sure there are bartenders making 6 figures, but according to the BLS, the 90th percentile make $40k with tips.
The median pay is $10. That's lower than minimum wage in a lot of places, so I doubt that many bartenders are against minimum wage before tips (none of the ones I know are).
1. The BLS knows this, so they get their data from multiple services--not just government agencies.
2. The IRS knows this, so are more likely to audit people who work in industries that receive tip income.
3. If the BLS numbers were vastly underestimating bartender income because of unreported cash tips, you would expect bartender income to have risen much faster than other similar low wage jobs over the last 20 years as cash has become less common. This hasn't happened.
I find it highly unlikely that a server is making anywhere near 60% or so of their tips in cash these days.
Maybe there are a few locations with that high of a mix of cash, but not enough for that to be anywhere near normal.
The first 10-15% of “tip” in the US isn’t a thanks, it’s a mandatory tax on menu prices.
The idea of a “secret” $120 price for a $100 dinner is pretty strange.
I can't think of a good way to undo tipping culture though. Best thought I have had is to have something like a 60% tax rate on tips. So you can tip, but you should know that 3/5 of it is just going to the Feds. Might disincentivize tipping to the point that it dies out. Other obvious thing is to remove the ability for anyone to be paying less than minimum wage; that is absurd.
Or not, simply because.
It's a disgusting way that rich people lord it over poor people, and every time I experience it my skin crawls.
It's no surprise at all that rich people really like the idea of tipping, because it lets them flaunt their money, and people of lower classes will literally scramble to get some of it. What's the point in having a ton of money if other people aren't impressed/trying to impress you/make you happy.
(Footnote) I still always tip, because the staff need it to survive.
The thing is, that’s isn’t even how it functions! It functions as a social norm with a very strong taboo against violating a customary minimum tip (often around 15-20% of the receipt).
My taxes pay for the state to protect me. Also, none of those things are in the service industry.
How about a nursing assistant that changes your bedpans?
Combine that with the fact that food value is a poor indicator of work. Someone who delivers a $100 bottle of wine should not be paid the same as someone who flips $100 worth of hamburgers.
But not the janitors, nursing assistants, cooks, non food establishment cashiers, retail workers, etc.
Tipping is un-American
Keep your change
So the idea was alive in some sense even into the 30s.Good luck getting your bedding changed regularly if you're in a coma and don't have a family member around to dispense tips in your behalf.
Sample size of 1 is pretty small. Anyone else from the region able to corroborate? Sometimes it is good to get a 2nd opinion.
I assure you that I will have a bad day if you visit HN and read one of my comments without paying.
You can argue that HN should be free to read until you are blue in the face, but the fact is that if you show up in this thread and read my comment and don't pay me, then you are making me have a bad day.
You could also argue that “driving on the right side of the road” is nothing more than an American social convention and choose to ignore it. Let’s face it—there is no logical justification for our society to choose driving on the right side of the road, versus the left.
The problem is that this is only done when the base wage + tips over a period falls below minimum wage. So it’s less likely that the employer will make up the difference, and more likely that other people around who are following social conventions will make up the difference, and the waiter will simply earn less money on days when you show up, and you will pay less money for food, because your food is partially subsidized by people who tip.
Perhaps that would work if everyone did it. This would require a lot of organization, some kind of massive anti-tipping movement across our entire society, in order for it to work.
In the absence of such a social movement, the actual effect of not tipping is that you benefit and your waiter suffers. So, I guess the question is—are your actions to not tip waiters coordinated with a movement of other people with the goal of achieving change? Or are you simply cheap, and looking for a way to feel good about it?
And if lots waiters quit their jobs, the wages will rise very quickly.
Regardless, not tipping is my statement of "go work in a factory if you hate minimum wage. plenty of people do it, so can you." And women especially cannot say they can't do that work. I've worked in a factory as well, FILLED with minority groups of all ages, weight, gender, and and lifestyles. Just because you're a white girl "destined for more" doesn't mean you can't ship digornios while you make ends meet.
When I was younger, there was tipping for waiters. Now, if someone hands you a drink, they swivel an iPad around and present an option for a 25% tip.
But the system is unjust because people keep rewarding those who make the system unjust. Mainly employers and the tip receivers who like to evade taxes. Both of these can be fixed by greatly increasing minimum wages or implementing a universal basic income.
Instead, I think the system should require me and others like me to pay more in taxes.
I can only choose among the options I am given, and the ideal system is not one of them. I can either choose to tip someone, and maybe they don’t pay taxes on it, which increases the tax burden for everyone else, or I can choose not to tip someone, which means that person suffers just for the unfortunate coincidence that I am their customer.
Let’s say that the normal tip is $5. If I choose to tip someone and they don’t pay taxes, perhaps their marginal tax rate is 12% and this is 60¢ in lost tax revenue.
Given a choice between “60¢ in federal tax revenue” or “$5 in income for a low-wage worker”, the correct moral choice becomes stark clear, in my mind.
Also, above you wrote that someone that doesn’t tip is being subsidized by those who do tip. Isn’t that the same with evading taxes? Why should certain lower paid jobs have to pay taxes and subsidize those in food service because they have the ability to evade taxes?
The incentives get even more screwed up when the tip receivers start advocating against non tipped wages.
If I do tip, the person I tip gets $5 and evades paying 60¢ in taxes. If I don’t tip, that person gets $0, and presumably I get to spend that $5 on something else and the taxes will be paid.
> Also, above you wrote that someone that doesn’t tip is being subsidized by those who do tip. Isn’t that the same with evading taxes?
Yes, it is the same, but the numbers are different and the parties who benefit are different.
- If a worker earning tips doesn’t pay 60¢ in taxes, then that’s like the worker being subsidized 60¢ by everyone who does pay taxes.
- If I don’t pay a worker $5 in tips, then that’s like me being subsidized $5 by everyone who does pay tips.
I am fairly certain that the marginal utility of $5 is higher to the person I am tipping than it is to me, and the societal cost is lower, and it’s what’s expected of me. Now, why I don’t just empty my wallet for everybody I see on the street is an entirely different discussion, but the morality of the choice to tip / not tip $5 when that is the expected amount seems pretty cut and dry from where I’m standing.
I’d also say that if I discovered that one of my friends refused to tip service workers, I’d definitely file that information away in my brain as evidence that this “friend” is untrustworthy, of poor moral character, and that I may also risk embarrassment by associating with them.
As a coordinated social movement, yes. However, if you are only an individual person making an individual choice to not tip, then you are making a purely selfish act to benefit from the unjust system.
So what is the downside for that individual?
https://gciruelos.com/what-is-the-roundest-country.html
But not sure this is what GP was referring to
Quick search suggests they might mean Poland.
https://worldpopulationreview.com/country-rankings/most-obes...
It's equally disgusting.
It just shows that business owners rely on a government controlled mandatory tipping system to pay its wages.
I went from a tipping + starvation wages culture to a no tipping + living wage culture.
Soooooooooo much better.
Sadly the push to deunionize and deregulate and zero hour contracts.... is pushing things towards starvation wages here.
But the solution isn't tipping. The solution is to pay attention to complaints of worker abuse and the boycott such businesses.
If that causes the business to die, we're all better off without it in the long run.
Killing off non viable jobs is a mercy killing, it allows viable businesses to survive.
Racing to the bottom is a loss for all.
Lets do free market. Raise prices, charge more and pay your waiters more. If no one eats at your restaurant, you know your food was shitty. People pay big bucks for good food, always.
The centuries-old concept of the intellectual cafe in Central Europe where you could order just a coffee and then spend two hours at the table talking with your peers, is now dying out: the proprietor wants you to drink your coffee quickly and then either order more or get out. Sometimes the business owner intentionally plays bad pop music loudly, so that it becomes uncomfortable to maintain a conversation in the long term.
Only solution would be to move to a place with lower rents, I think. Or start explicitly paying rent for your table at the cafe per unit of time, but that might be unsavory to most people.
The manager needs to control all of this. If they hire good waiters, you will enjoy good service. But you can't pick yours, and I don't think what you leave at the end is a particularly big lever for affecting the service you've already had.
Oh wait, I’ve got to listen to your 20 minute rant about inequality and racism and sexism and the violence inherent in the system because you don’t want ME to tip.
If basic needs are gauranteed in some way for everyone, then yes, you don't need a minimum wage and can work for whatever wage rate you want.
If you don’t want to listen to people complain about injustices, then surround yourself with people who just don’t care. You might not be able to go to dinner with people who used to work as waiters, so be sure to remove those people from your friend group.