Imagine if tipping was balanced with a "❌- you're fired" option for bad service—suddenly every server would be a ✔️superstar, right? I put this here to highlight the imbalance of responsibility when customers are essentially paying wages through tips.
Tipping has long been a topic of heated debate, especially in the United States, where the expectation to tip often feels like a social obligation. Customers are frequently judged for not leaving a tip, even in cases of poor service, further fueling the controversy. There are companies that reject tipping altogether in favor of paying fair wages—a practice I personally appreciate for valuing workers' efforts without placing the burden on customers. This post will cover the complexities of tipping, its cultural and economic implications, and industries where tipping is customary.
Tipping is the act of giving extra money, beyond the stated cost of a service, as a gesture of appreciation for the service provided. While it is commonplace in some cultures, it is absent or even discouraged in others. Tipping can be a way to reward excellent service and demonstrate gratitude, but it often serves as a method for employers to supplement the low wages of their employees
The Purpose of Tipping
Tipping provides financial support to service workers, many of whom rely on tips to make up for low base wages. In the United States, for instance, tipping is an integral part of the income for workers in industries like hospitality, food service, and transportation. Tips also act as an incentive for better service, encouraging workers to go the extra mile to satisfy customers. Servers frequently voice their concern about not getting tips even when it is clear they only provided a basic service to the customer. Blasting customers on social media if the tip did not meet their expectation shows an entitlement mentality.
Customary Tip Amounts
Tipping customs vary by country and industry. Here are some general guidelines:
United States:
Restaurants: 15-20% of the total bill before tax.
Bars: $1-2 per drink or 15-20% of the tab.
Hairdressers/Barbers: 15-20% of the service cost.
Hotel Staff: $1-5 per service (e.g., housekeeping, bellhops).
Canada: Similar to the United States, with 15-20% expected in restaurants.
European Countries:
Many include a service charge in the bill. If not, rounding up or adding 5-10% is common.
Asian Countries:
Japan: Tipping is generally not practiced and can even be considered rude. Exceptional service is rewarded with polite thanks rather than cash.
China: Tipping is rare but may be accepted in high-end establishments or tourist-heavy areas.
Australia/New Zealand: Tipping is not customary but appreciated for exceptional service, typically 10% or rounding up the bill.
Scandinavian Countries: Service charges are often included in the bill, and additional tipping is minimal or unnecessary.
Countries Where Tipping Is Discouraged
In countries like Japan and South Korea, tipping is not part of the culture. It can be seen as undermining the dignity of service work, as employees are expected to provide excellent service without additional financial incentives. Employers in these countries often pay higher wages to ensure workers do not rely on tips.
Industries That Expect Tips
Restaurants: Tipping is a cornerstone of the food service industry.
Hospitality: Hotel staff, including housekeepers, bellhops, and concierges, often receive tips. Envelopes for cash tips and "your convenience" are left on bed pillows.
Personal Care: Hairdressers, barbers, and spa employees are commonly tipped.
Delivery Services: Food and package delivery drivers often rely on tips.
Transportation: Taxi and rideshare drivers, as well as valet parking attendants, typically expect tips.
Many rideshare programs and food delivery services allow drivers to rate passengers or customers. While tipping isn’t always mandatory, customers who don’t tip—or tip poorly—might receive lower ratings from drivers. Here's how it generally works:
Rideshare Apps:
Drivers on apps like Uber and Lyft can rate passengers after a ride.
Drivers might rate passengers poorly for not tipping.
Passenger ratings are visible to drivers before accepting a ride, which could lead to trip requests being declined by drivers if they see a low score.
Food Delivery Apps:
Apps like DoorDash, Uber Eats, and Grubhub allow delivery drivers to rate customers, though this feature may not be as widely implemented as rideshare.
Drivers can see the tip amount when deciding whether to accept a delivery request. If a tip is low or absent, drivers might decline the job or rate the customer poorly after the delivery.
In some cases, customers place orders directly with merchants and are not offered the option to add a tip before or after delivery. This does not indicate that the customer chose not to leave a tip—they weren't given the chance to tip.
Impact on Customers:
Low ratings can affect the likelihood of getting timely service, as drivers may avoid low-rated customers.
Some apps may even restrict or penalize users with consistently low ratings.
This system is controversial because it puts pressure on customers to tip generously to maintain a good rating, which some argue undermines the idea of tipping as a voluntary gesture for good service. It also raises questions about fairness, as customers might be rated poorly for factors beyond their control (e.g., app errors or slow restaurant prep times).
Focus on the Restaurant Industry
Average Wages of Servers
In the U.S., servers are often paid a base wage significantly below the federal minimum wage, relying on tips to make up the difference. The federal tipped minimum wage is $2.13 per hour, although some states mandate a higher base pay that can range all the way up to $16.28 per hour. President Trump made a campaign promise to eliminate taxation on tips which sounds like good news, but it will really only help workers in high-end restaurants that make enough tips to get taxed. Tipping Out
“Tipping out” is the practice where servers share a portion of their tips with other staff members, such as bussers, bartenders, and kitchen staff. Tipping out isn’t widely discussed outside of the restaurant industry! It’s essentially a behind-the-scenes practice that ensures a more equitable distribution of tips among staff who contribute to the service but aren’t directly tipped by customers. This ensures that the entire team benefits from the tipping system, as excellent service depends on collective effort.
The practice of tipping out began gaining traction in the United States during the late 19th and early 20th centuries, alongside the broader adoption of tipping as a norm. As the tipping culture grew within the hospitality industry, particularly in restaurants, it became clear that service given to the customer depended on shared work.
By the mid-20th century, tipping out had become more formalized in restaurants, especially as operations became larger and more complex. It served as a way for the "back of house" and support staff to receive some financial acknowledgment for their roles in providing quality service. Today, many restaurants have policies and in some cases, tipping out is even mandatory, often specifying set percentages that servers are required to share with different team members.
How Restaurant Owners Get Away with Low Wages
Restaurant owners often justify low base wages by citing the expectation that tips will make up the difference. Under federal law, employers can count tips toward meeting the minimum wage requirement, a practice known as a “tip credit.” However, this places financial responsibility on customers rather than ensuring fair wages for employees. In states that do not allow tip credits, employers must pay servers the standard minimum wage in addition to tips.
Final Thoughts
Tipping practices reflect cultural norms, economic structures, and societal attitudes toward service work. While tipping provides much-needed income for many workers, it also raises questions about wage fairness and employer responsibility. Understanding the nuances of tipping helps foster respect for workers and supports informed decisions when using local services, traveling or dining out.
In the past, many businesses, including restaurants, absorbed delivery or service fees as part of their operating costs. Over time, however, especially with the rise of food delivery apps and services, many of these fees have been passed on to customers. These fees now often include delivery charges, service fees, and sometimes "order processing" or "convenience" fees, which can substantially increase the total cost of an order before tipping. These fees may lead to customers skipping the tip—knowingly or unknowingly; right or wrong; justifiably or not. When posts about tipping pop up there are two prevailing comments: "Get a better job!" and "If you can't afford to order out, don't!"
I personally don’t like the practice of tipping—not because I think workers don’t deserve a tip for great service, but because service is often mediocre at best. I feel tips should be a voluntary gesture for excellent service, above and beyond, not given out of empathy because their wage is low. I only recently learned the term "tipping out" and I was really stunned that servers have to share their tips with other employees. I had heard of tips being shared between servers which I never really understood completely.
When ordering food delivery, tipping prior to the service being completed feels ludicrous. I prefer to tip at the door or adding it after delivery to make sure I am tipping appropriately and fairly. After closing the door, while pulling up the app to add a tip, I’ve had drivers text me obscenities about not tipping them. Thankfully, my current financial situation means I no longer can use these services, sparing me the added pressure of understanding tipping expectations and weighing the consequences of not tipping.
If you have thoughts, comments, or experiences related to the topic of tipping—or any of the points I’ve raised—feel free to reach out! Whether you agree, disagree, or want to share your perspective on how tipping works in your area, I’d love to hear from you. Your feedback is always welcome, and if you’ve had any interesting experiences or insights, don’t hesitate to get in touch or submit your story!
2 Corinthians 9:7
"Each of you should give what you have decided in your heart to give, not reluctantly or under compulsion, for God loves a cheerful giver."
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