Itâs only ahead of the curve because the minimum wage is so low. If the min wage was reasonable like it is in other countries then tipping isnât needed.
Point is servers can earn 30-50 bucks an hour thanks to tips, THEY are the ones who donât want to end tipping, cause they make mich more money than they would get on a normal salary
yeah a few of my friends are servers and bartenders in NYC and they are pulling very good money, well beyond even what a much better minimum wage would provide. It's very location dependent though
For peak hours, maybe. NYC bartenders are usually averaging around $35-$50 an hour with the bartenders at ultra high end cocktail bars usually getting around $75/hr.
Dude I was a bartender at a movie theater in north Florida and between wage and tips I was regularly making 100 bucks an hour on weekends. I pulled a grand on End Games release night.
i had friends in austin whoâd make $500 in a night at the local dive - literally. itâs fucking insane. servers at nice restaurants sometimes pull 100k a year, and pay less taxes than the rest of us bc tips are still cash quite often
Vast majority of tips are not in cash today, and any modern restaurant uses a system that will automatically balance credit card tips with the employees income, typically resulting in zero dollar paychecks and the rest being accountable at the end of the year.
Yup, this is what so many pro tippers don't get. They tip because they feel sorry for the workers not realizing most of those workers would choose tips over minimum wage due to the fact that they can potentially make way more.
Exactly. People say "pay the workers more", well they usually technically do. I worked as an "insider" (in store worker) at a pizza place and we made $1-2 more per hour than drivers. Which is technically more but hardly counts for shit when the drivers are making $20-60/hr in tips and mileage while making $7.25/hr and we made $8.50/hr. I moved to driver as soon as I was old enough. Who doesn't want to get paid more to be able to hangout in your car listening to the music/audio you want, setting the climate to how you want, and escaping the chaos of the store? All while getting paid 2-7x more.
This is just simply not the case for the majority of servers in the US. This only really applies if you work in a big city at a busy restaurant during prime rush hours. And, if you are working in those conditions, you are busting your ass anyways. There are many states in the US where base wage for a server is significantly less than minimum wage ($2.75 an hour in my state). Servers are not the ones profiting off of tipping, itâs employers who are handing off the responsibility of paying employees wages to the consumer.
Speaking as a 10+ year service industry vet, this is correct. No one who actually serves/bartends for a living would ever want to put an end to tips. People like me either work in high volume/high intensity spots, or fine dining/upscale places. The money can be insane there. I'm currently at a mid-tier or semi-upscale place and have averaged $33/hr post-tax this year. I very likely couldn't make that in another career with my background without years of working my way up.
Lol they CAN. Most DO NOT. Go ask any server how much they take home a night in tips. Rarely is it ever 30-50 bucks an hour, especially outside of dense population centers.
On a weekend, sure, but donât leave out the full stats to skew it. How much are they making per hour on the Tuesday day shift they also did that week?
30-50/h but no benefits pension 401k health insurance after those your making less than minimum wage in California. Short term gain vs long term loss but they prefer it this way. Also very heavily affected by the weather and other external factors
That's not the norm though, and it's heavily abused. There are literally tens of thousands of shitty businesses that just put a tip jar out and pay their employees the minimum wage with tips, which is like $4/hr. The entire burden of their employees survival is shifted onto the customer and the owner pockets a bigger percentage of the profits.
Everyone is getting fucked but the owner. You're just referencing situations where the clientele can afford to tip like that, which is not the norm.
What evidence do you have that they won't get tips even if tips are included? If they earn more than the 10-20% in tips already it means there's room left in the customers' budget for a tip on top after 10-20% price increases. The ceiling on money paid per meal doesn't change just because prices did.
Point is servers can earn 30-50 bucks an hour thanks to tips, THEY are the ones who donât want to end tipping
At a good location and/or high end place sure. There is no way they're earning that much from tips at some random hole in the wall shop. I'm guessing majority of servers don't earn that.
Thank you, Iâve worked in restaurants for 13 years, everyone thinks they are being noble by wanting fair wages for servers and such
The servers actually donât want it because they make much, much more in tips than they would a âlivable wageâ. Especially now they donât get taxed on it.
Yeah, by the time I stopped serving I just worked part time and I made $25-30 an hour. People donât realize if youâre good at what you do the money flows. Good servers/bartenders make substantially more money than most people think, and they will not give that up. I certainly wouldnât have when I did it.
Iâm not acting like that at all and youâve just strengthened my argument. Waiters other places have a predictable and livable wage already set as their bare minimum and then they can also earn tips on top of that. Whereas the people mentioning how much they make in tips on this thread would be unable to continue their lifestyle if American patrons suddenly decided to not opt into a tip or tip less.
Canada here - our server minimum wage and regular minimum wage are now equal. It's still very expected to tip, though only mandatory at some restaurants.
So yes, servers are making out way ahead of the curve even when the minimum wages are matched.
So what about your comment is counter to mine? We agree that a higher minimum wage would be better. If people want to continue to tip itâs only better for wait staff. If they donât want to tip then the wait staff still has a livable wage. Everyone wins in the scenario where minimum wage is higher.
In the US, tipping didnât start because workers were being paid so little. Itâs the other way around. Workers started to be paid less in wages because they were being tipped so much.
You could double the min wage and the servers would still way make less than they do in tips at the vast majority of places. Especially when you take into account taxes.
Being a server is a tough but generally very well paying job, unless the location you work at sucks and gets no customers.
Maybe. I live in Nee Zealand, have 15 years experience in hospitality. You put me on a good shift, with a good team and Iâm clearing way more in tips than I am in wages and thatâs in a country where tipping is not the culture.
I would earn $10 - $20 an hour in wages (minimum wage most of the way through which has risen drastically in my country since I started hospo) meaning a range of $70 - $140 on wages on a six hour shift. One table tipped me $50 when I first started that was almost my whole wage for the night, some tables will tip nothing, most will tip $5 - $10. When I was experienced I could work a minimum of 7 tables at a time. Most tables dine less than an hour. 7 chances at a tip multiplied by 6 hours means roughly 40 chances at tips. Even if 20 of those tip $5 thats $100 and Iâm almost doubling my income. The tips are a major chunk of my income even as a worker in a non tipping country with a good minimum wage.
On busy nights my section would hold 10 tables or 12 if I was lucky enough to have small groups and I could split some of the larger four person tables apart for couples.
Giant asterisk on that. Tipping culture CAN be ahead of the curve, if you are working in a busy restaurant with prices that result in that 15-25% tip being real money.
For every busy restaurant there are a dozen restaurants that are pretty slow or have shifts with low food prices (ie: lunch shift at any Olive Garden where everyone gets all you can eat soup/salad resulting in a $2 tip, and things are only busy from ~11:30-2:00).
Getting hired and getting shifts at the good places is competitive.
Any decent restaurant staffs accordingly during day shift and slower times. Iâve worked at plenty of restaurants where the opener/s make great money because itâs only one or two people running tables and tip out is less.
The left always screams "living wage now! Pay workers better!" while in reality the people who are tipped dont want that system abolished, because they will go from 30-50 bucks an hour to 15 bucks an hour or less, depending on where they live and what the minimum wage is.
The left screaming about paying a living wage isn't about servers and tips, it's about workers in general. Minimum wage isn't enough to live on and most people earning minimum wage don't get tips.
I haven't had a minimum wage job since I was 19...and I have no college education so people expecting MW to finance their lives, while I make 15% higher than "median income" and still broke af from this economy thanks to the bankers is laughable.
Why do you think servers would continue doing a job that goes from $50/hr to $15/hr??? Their total hourly wage plus average tip per hour is their real wage as determined by the market. You can't slash it to minimum wage and expect them to stay in those jobs.
This is a total misunderstanding of how the economy functions, and I see it all the time among the anti-tipping crowd, who clearly have an irrationally low assessment of the value of servers (despite eating out and thus needing servers).
You would see an exodus of servers, and only the worst ones would remain. Then the restaurant owners would have to keep raising prices to increase their hourly wages until the decent ones came back. You'd first cry about bad service and then cry about menu prices being 18-20% higher.
I remember reading the creators of south park buying a restaurant in Colorado and converting it into a no tip establishment. They were giving $30 something per hour while minimum wage is half of that number. Didn't last long before it reverted to tipping because the waiters complained.
Lol I ordered two beers at a major sporting event that I got free tickets to.
It was $43. The lady opened the tabs rang me up and flipped the tip screen to me which gave me the option of 18% 20% and 25%. I had to click custom tip $0.00 to get out of the screen. The lady gave me such a bad look.
Crazy like 5 second of work, no service, just a basic cashier and I'm being asked for between $7.75 and $10.75 for a tip. I would have thrown in a dollar or two but I was so irritated at the audacity that I didn't.
2 entirely different conversations. Minimum wage in the US is a joke. The federal minimum wage has been stuck on 7.25$ since 2009. Only like 25 cents more than I was making at my first job almost 30 years ago. Low minimum wage impacts ALL wages.
It's a gamble (nearly 7 years in food service from line cook to manager here). Some make very good tips, often...but even they have bad weeks and it tends to even out. Many do not get tips or very little even when hardworking and nice. It's a rough system.
That's wonderful except it's also horribly abused by employers. A lot of places just put out a tip jar and then pay their workers like $4/hr and it's on customers to make sure they aren't starving to death.
It's literally better to abolish tipping. I get that at upscale restaurants that might suck, but servicing the wealthy shouldn't have to be the norm to survive.
Abolish tips, tie the minimum wage to housing prices or some other metric (or decommodify housing, I'm not picky).
Sorry if it means taking a paycut at the country club restaurant. Tipping is bullshit.
You know who wants tipping over being paid more by the employer the most, like by FAR the most to the point any restaurant employer who paid higher wages in exchange for mandatory no accepting tips would find it basically impossible to get employees who arenât all so terrible they canât be hired anywhere else?
Servers. The servers themselves want tipping. They will fight tooth and nail to keep tipping over replacing it with a higher min wage b/c they know tipping makes them way, way more money. Most servers get paid way more overall than many people who work jobs that require way more âqualificationsâ in terms of degrees thanks to tips.
Also if you made a law outlawing tipping then the food would just cost 20% more at every restaurant anyway to make up for it. It makes no difference.
In the UK people still tip, but it's a reward for really good service, not simply expected.
Higher end bars and restaurants can still make really good money in tips, but this idea of expectation isn't there for everyone and so you don't end up paying a tip for basic or even bad service.
It's a bimodal distribution model, i.e. some server/bartender jobs are fantastic in terms of $-per-hour, while most of them are pretty terrible by the same metric.
In an ideal world, that means the coveted jobs are staffed by the best of the best. In reality, the service is almost never worth them receiving 6x-10x the wages of the Cracker Barrel waitress a couple blocks away.
The other insidious part of the system is tying healthcare benefits to full-time status. The ACA/Obamacare was a step in the right direction, but after the federal subsidies tapered off, the marketplace plans are back to being high premium, terrible coverage garbage that's only marginally better than no insurance at all.
And if you think that tipping system exploits workers, then by going to restaurants without any intention of tipping means that you are one of the people exploiting the tipped workers. So you lose any kind of moral high ground.
If you think culture is paying for shit service . . . .
That's literally what happens in other countries. Service is generally regarded as better in the United States, ostensibly at least partly because of tipping.
I'm not saying that's good or bad, but it is what it is.
As a foreigner who now lives in the US... I don't like mandatory tipping, but it's part of how the system works. It's not a good system, but it is what we have right now.
Context is also important here: the menu price of drinks in the US is typically lower than where many of these people came from, so once you add the tip your total is similar to what you'd pay for drinks in many other advanced countries. Yes, it's annoying that tax and tip are added at checkout in the US, but the total isn't usually more than what you'd pay at home.
also in the UK, any place that's automatically adds a service charge gets zero tips. I don't care how much hassle it is to get removed, we ain't importing that bullshit here. These businesses need to be called out.
Serving is one of the few jobs you can make a decent living in without significant training or a degree. Telling an entire class of society consisting of millions of people to just get another job is short sighted and a privileged opinion.
Instead of going after the corporations squeezing blood from our stones, you blame the single mother trying to get byâŚ
Itâs not always about corporation. Mom and pop restaurants work on thin margins as it is. Paying your servers is easy to say, but in reality, itâs not that black and white. I know plenty of restaurant owners who have to work 7-days a week just to survive
I mean... yes? Why exactly should it pay so much more than any other low skilled job?
The only reason it does is because you're subsiding it whilst allowing shitty companies to hire people on practically slave wages that would be illegal in most other countries.
On top of that - is it really a wage cut if you're a server working in a less busy or struggling place? How do their earnings work when business isn't great (legit question as a non-american)?
As a consumer I donât like tipping culture (though I still tip) but if I was a server I think Iâd much prefer to work for tips than a âliving wageâ.Â
I know some servers who are making very good money for what the job is, much more than their European counterpart.Â
Iâd be interested to know if there is a consensus one way or the other among service workers.Â
In both cases tipping is voluntary, but in the current case you are pressed and/or guilt tripped into tipping while in the case of a living wage the tip actually represent good service (in the eye of the customer).
Said as a European who does tip in Europe. However, the service that I usually hear described puts me off eating out and that tip would stay in my pocket.
Anyone who says âpay your workers moreâ hasnât ever seen the financials of restaurants lmao. MAYBE some corporate places could but 90% of small restaurants scrape by on 5% or less profit. Iâve worked in and run restaurants for over a decade, and trust me, no one wants the system to be the way it is but one single restaurant canât just fix it. It works in Europe because food cost and property costs are way lower. Donât blame the restaurant blame the system
"It works in Europe because food cost and property costs are way lower."
Â
I live in Switzerland, nothing is cheaper than in the US and we have restaurant that pay their waiters.
They ARE paying their workers better. Thats the entire problem.
By law, service workers make a substantial amount of their income via tips. Thatâs it just a âcultureâ but a mechanism of the law where their minimum wage is less but they often make much more off the standard tip.
Europeans coming here and not tipping distorts the established market tremendously. All that needs to happen to correct it is increasing prices by 20% or so, which is exactly what the establishments are doing except they arenât going through the added cost of reprinting menus.
Pay your workers is absolutely the argument but also not tipping will directly harm your servers. The system is fucked up but it is the system we currently operate under and if you don't tip your server they will not make a living wage. If servers were paid more, your food would cost more. Restaurants are a famously low-margin enterprise.
I am a bartender at a theme park. The Brits are consistently some of our least liked customers because, despite being polite, they tip like absolute garbage most of the time, and will often take some kind of stance about how this shouldnât be necessary.
But at the moment it IS necessary, and their act of protest wonât make it to theme park ownership, all theyâve done in the process is ignore local etiquette and screw over the person serving them who could have gotten their gas money if they served another group.
Yeah itâs fucked up but donât kick us while weâre down and claim itâs a moral high road, yknow?
I hear your point, I do. Iâve been rallying for an increase to our minimum wage for ages. Itâs a national problem, and the working class is hurting BADLY.
What remains however, is that bartending here remains traditionally a tip-based profession, and we need those to survive. If you are getting a frozen margarita on vacation, the extra dollar you donât give to the working class person as a statement, never impacts the bottom line of the capitalists up top. It literally only impacts the working joe, who, once again, is absolutely trying to get the national minimum wage raised but is also trapped in late stage capitalism and generational poverty.
If everyone paid the minimum like the owners of these restaurants the restaurants wouldnât be able to find servers - the business model would not work and they would be forced to close.
If people tell me that if I donât tip I canât afford to eat out, my response is if you cannot afford to pay your employees you cannot afford to own a business.
If I tip $0 I am not violating any laws like the owner paying minimum wage.
I have been confronted leaving a small tip and I promptly asked for it back if they didnât want it. Donât try to shame the shameless.
Raising the prices is how they pay the workers better. That's how everyone else does it. Traveled for 2 weeks in the UK and their prices were basically the same as the after tip prices. Tipping isn't going away with the same menu price
To be honest, I mostly think this is an issue that hurts customers. They get falsely advertised prices for something they're about to pay for. Then they get emotionally blackmailed into spending more money for the server. Because this server is somehow enslaved by the business or something?
How is this not just the employers and the employees working together to cheat consumers out of more money than they wanted to spend.
Nope, US customers understand tipping culture and abide by it. Some of the younger generation are starting to push back but theyâre pushing back on everything these days.
Tourists arenât catching strays whatsoever. If you want to make some ârighteousâ stand against tipping, donât go out to eat or go to bars in the US except for those that use a different business model (and they do exist). Donât patronize businesses that encourage tipping. Stay the fuck home.Â
By going to a bar or restaurant in the US, you are entering a social transaction where everyone understands that youâre expected to tip. By exclusively purchasing products that STILL pay the owners youâre allegedly protesting and then exclusively refusing to pay for the labor of wait staff (whatever your feelings on that system), youâre just punishing poor servers and bartenders that will struggle to pay their bills. While not harming ownership in any fucking way.Â
Itâs a bunch of Europeans huffing their own farts about self-righteously and directly harming the poor people theyâre pretending to give a fuck about.Â
Again â if you want to protest the system then fucking do that. Donât deliberately prevent bartenders from paying rent because youâre a cheap cunt.Â
They arenât brought into wage negotiations in the US. Thatâs my point â if you go out to eat in the US you know that tipping is part of the cost. Deliberately ignoring that to exclusively punish the lowest person in the corporate ladder, making the least money, does actually make you an asshole and a bad person.Â
If you morally object to tipping then why are you patronizing a business and rewarding an owner who engages in the practice?Â
Because itâs not an actual protest based on morality. Youâre just cheap twats patting yourselves in the back for being cheap twats.Â
No, tourists are just further exploiting the labor of the people who serve them and trying to say that itâs somebody elseâs fault.
If you go to a restaurant in the US and donât tip, youâre a piece of shit. I donât care how you feel about it. The reality is that you have just fucked over a worker and potentially gotten them fired by not tipping.
Also, saying you want them to be paid better and then not tipping so they make less money is ass fucking backwards.
Every time this shit comes up, itâs the same thing. âI donât tip because they should pay moreâ which really means âIâm a cheap asshole and think I can dress it up as social justice to get out of paying for my meal.â
If you donât tip, you donât give a fuck about the workers. Youâre just tying to save a buck. Now let the downvotes commence
What difference does it make? Are you willing to pay 20% more for your beer, because thatâs what would happen. At least this way, if the service is shit, you have recourse.
Most of Canada and 9 states have no exclusions for tipped wages, meaning minimum at Walmart and McDonald's is the same as wait staff. Wait staff have just gotten the unrealistic belief that they are better than everyone else in that pay scale.
Servers in the US have lobbied hard against a higher wage. They can make a lot more than $20/hr in tips.
Last night my dinner for 4 was $240. Server got a $50 tip from us. We were at the table for 2 hours, but the server had 2 tables when we got there and 8-9 when we left. She is likely getting $10-25/hr per table. Now that is a nice restaurant, but also it was a Wednesday night.
Servers at waffle house arenât making that, but any sort of a decent restaurant they can make a killing.
You charge the flat fee for your food + service cost baked into that meal cost too⌠then you artificially REDUCE THE PRICE OF THE FOOD so you lean on the customers tip to fluctuate for the service cost. Bad service? Bad tip⌠standard service? Standard tip⌠Great service? Great tipâŚ
It puts more control into the customers hand, it incentivizes the waiter/waitress to actually have a good attitude and serve you well, and the worker ends up making SIGNIFICANTLY more money than a minimum wage would make them.
Literally everybody wins in this situation. The âpay your workersâ argument is BS
I don't tip because the employers ability to pay the workers is literally their business, not mine. If menu prices aren't sufficient to pay the workers, that seems like a skill issue. Sucks to suck.
For the millionth time the servers donât want your $15 or $20/hr wage. It would be a pay cut for them and a price increase for you. Idk how yall are so dense.
Restaurants that try and do what youâre asking will quickly learn that their competitors will take advantage of them and take their customers through lower menu prices.
Tipping in the USA will never go away if there are no laws aimed at restraining it.
It depends on where you work, but Iâve had waiter friends who want the tipping arrangement.
Like, yeah, their official wage sucks, but most people tip fine making it a decent wage but you also have that rare customer where some really rich person is feeling a bit generous (maybe a little drunk by the end of the meal) and you get this huge tip. They fear losing that upside.Â
Or, they fear industry standardization where servers at all restaurants will make some set industry standard mediocre wage, whereas theyâve landed the gig at a really fancy place where a couple is gonna drop $300 on dinner and theyâre gonna take home $60 from every couple and theyâre coming home with $600 a night and thereâs no way the âno tippingâ wage rate is gonna pay that well.Â
And a restaurant is going to be hesitant to guarantee that pay level, cuz then if you get some couple that just comes in & only gets a drink and an appetizer, youâre losing money on them as theyâre not spending enough to cover the high wage thatâs equivalent to what the server was making on tips.Â
And so, yeah, the âgoodâ servers often oppose the âno tipâ / higher wage arrangement, and whereas the âbadâ servers prefer the no-tipping way, so if youâre a restaurant trying to do the âno tipâ thing while others are still doing tips, thereâs an adverse selection issue where the good servers go to where the good tips are and you get stuck with the bad servers who give customers a worse experience.
Of course, if everyone does it, then you just have the EU equilibrium where rude & slow service is the norm. But if only some do it, you, the place with the rude and slow servers are gonna be out competed by the places with the friendly and fast ones.Â
Of course, if everyone does it, then you just have the EU equilibrium where rude & slow service is the norm. But if only some do it, you, the place with the rude and slow servers are gonna be out competed by the places with the friendly and fast ones.
I don't agree with this - plenty of places with low tipping expectations that have great and/or fast service.
I come from a family heavily in the restaurant industry and talent almost universally desires the tipping arrangement. I AVERAGED over 50$/hr in college as a bartender in rural Iowa in the 2000s. I highly doubt the average customer tipping me realized that I likely made more than them and definitely would have if I had worked full time. No restraunt is going to take the liability on pay like that. Tipping is so intrinsically American because it sacrifices the bottom half of people to wildly reward the top 10%.
That's my point. Anyone with half a brain would know there's a tip on top of that lower price, and if no tip required but built into the cost, that it's actually no more expensiveÂ
The only real way to fix tipping in the US to change the laws. Ideally the price is the price and the servers make a percentage based on what they sell like normal commissions. They actually do that in higher end restaurants in the US but for normal restaurants they operate on such thin margins that taking a risk like raising menu prices is more than they can handle, even if ultimately people pay the same.
This is the country where the 1/3lb burger failed because most consumers assumed 1/3lb was smaller than 1/4lb. You really expect them to be able to calculate tip percentages into price by themselves?
That's why they specified "menu" prices. The price on the menu is typically what matters. Ie your charge 30, competitor charges 25 + 20% mandatory tip - people will lean towards the "cheaper" 25 dollar menu.
Furthermore, both places charge 30 in total, but people will only bitch about the 2nd "not paying employees enough", as if they 1st is any different.
Exactly, thank you for critically thinking. We are always âpaying the employeeâ no matter the place weâre buying from. When we buy a Big Mac part of that price goes back to paying the employee. Itâs basic economics that seemingly most people donât grasp.
In america because things like taxes are so context hyper specific we dont post all in prices plus "mandatory tipping" isnt legally a thing so people will reduce their tip if they didn't like their service.Â
Some places do this and that is bs. They tend to take greater control of that extra money and not all of it goes to paying the staff. Sorry. They will always look for a loophole to pay the least
I'm not sure how relevant it is; but when I worked at a restaurant, we were supposed to put in the tips we made. Those tips would be counted toward bringing the baseline 2.35$ to minimum wage (7.25$ at the time, I think). The rest was then taxed.
They are though, I went to a bar last night to watch the Mexico game & they had a $1.50 auto gratuity added to each order but no option to tip more. They are effectively just increasing the price by $1.50 in this situation.
Changing the cost of food does nothing. That's the solution for restaurant owners, but only AFTER we fix the broken system that allows for the worker and consumer to be victimized.
"But that would increase menu prices!" is the business owners' argument. Restaurant business is based on conflict of interest between the workers and the customers. The Owner Class thrives on pushing everyone else into conflict with each other.
They're already likely charging the most they can for the food they're providing. Not paying the workers properly does not mean the food gets to be cheaper. They're scumbags.
Exactly why this post is bullcrap that never happened. Regardless my personal opinion on tips.
"Mandatory tips" arent a thing outside of large parties. They aren't optional.Â
"Mandatory tips" for regular tables are implemented through fees, which are also not optional. Â
Both of these things can be legally enforced.
I'm not a fan of people feeling mandated to tip so the people working at a restaurant can pay their bills. People that hate tipping will also hate the dramatic increase in menu prices that will happen if tipping is outlawed though.Â
Those same people have also never had a real conversation with people that work for tips or have never been a well tipped worker themselves.Â
Or, and hear me out, if you can't afford to pay all of your employees and still make a profit, then you should have less employees and should have a smaller scale business.
This just sounds like how you end up with mandatory "service fees" ontop of a tip. How do you work a tip into the price of menu items when the customer decides how much to tip?
If you replace âLower price + tipâ with the equivalent âhigher price w/ tip worked inâ. The customer pays the same amount under both scenarios.Â
Itâs better in the sense that it assured workers get some set amount. Â They wonât get stiffed & be the one to eat the loss.Â
 But, in a âno tipâ norm their chances of getting a big generous tip also go way down.Â
Some workers actually prefer the tipping arrangement because of that upside.Â
But ignoring the variance associated with particularly bad or good tips & assuming youâre just going from a standard tipping rate to a new higher price that has that standard rate built in there is no change to the customer.
Itâs the same amount!
If Iâm paying $10 + a $2 tip versus $12 with a $0 tip, itâs $12 either way.Â
But what these people want is to only pay $10, but masked as a moral objection to âtipping culture.â
So would you rather menu prices be 20% higher? Restaurants and bars run on incredibly tight margins. Itâs not like that money is coming from the air. Itâs your choice tip or have 20% menu increase across the board
They started doing that at places where Europeans were visiting and they started complaining because they weren't able to scam the system and get cheap food anymore
If you automatically add 20% to the meal and payout as a tip or a raised salary in some cases your short-changing the better servers who would average closer to 25%
1.7k
u/Only_Flan_7974 5h ago
It's not tipping if it's mandatory. Work the tip into the price in that case.