this post was submitted on 10 Jan 2025
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Summary

Tipping in U.S. restaurants has dropped to 19.3%, the lowest in six years, driven by frustration over rising menu prices and increased prompts for tips in non-traditional settings.

Only 38% of consumers tipped 20% or more in 2024, down from 56% in 2021, reflecting tighter budgets.

Diners are cutting back on outings, spending less, and tipping less. Some restaurants are adding service fees, further reducing tips.

Worker advocacy groups are pushing to eliminate the tipped-wage system, while the restaurant industry warns these shifts hurt business and employees.

Key cities like D.C. and Chicago are phasing in higher minimum wages for tipped workers.

Non-paywall link

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[–] [email protected] 18 points 2 weeks ago* (last edited 2 weeks ago)

And now that Trump wants to make tips tax free, I'm about to tip even less. At least by the amount of the tax deduction.

[–] randon31415 18 points 2 weeks ago

Well, we past our tipping point in the US a while ago, so...

[–] hark 16 points 2 weeks ago (3 children)

Wasn't trump talking about making tips tax-free? It's only going to make the problem a lot worse. Maybe the problem getting so bad will reach a breaking point and we're seeing some of the effects of this aggressive push to shove tipping everywhere now.

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[–] BigTrout75 15 points 2 weeks ago (1 children)

I'm totally down with tipping for good service. But it's backwards. I'm suppose to tip before service. Personally, we have cut back going out with a lot of times thinking that it's too expensive. The worst is when there's a line behind you and the lowest tip preset is at %25. You have everybody looking at you while you try to set it lower.

[–] Serinus 13 points 2 weeks ago (1 children)

Why are you tipping if there's a line? The line implies self service.

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[–] FlyingSquid 15 points 2 weeks ago (1 children)

I will tip wait staff because I know they rely on it. Someone at the counter at Starbucks? No. They're not getting less than minimum wage and expected to make up the difference in tips.

[–] [email protected] 19 points 2 weeks ago* (last edited 2 weeks ago) (2 children)

Depends on the state, too. In Washington wait staff get full minimum wage, which is the highest in the country.

So I feel a lot less bad leaving a smaller tip in Washington because they're being paid the same as everyone else, not artificially paid less with "tips supposed to make up the difference."

Also, semi-related: Olympia, Washington was one of UberEats best-tipping cities in 2023.

https://www.uber.com/newsroom/2023-uber-eats-cravings-report/

Customers in Olympia, WA, Asheville, NC and Bismarck, ND were the most generous tippers in the U.S.

So a city with the highest minimum wage in the country is also one of the cities that tips the best. Interesting.

[–] [email protected] 7 points 2 weeks ago (1 children)

In my experience service industry workers tip the best, so in a city where they are more often flush they probably tip even better.

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[–] jordanlund 14 points 2 weeks ago (1 children)

I'm not in the best health so I do a lot of order at home.

GrubHub/DoorDash/etc. all calculate the tip based on the order + their fees, not the order itself.

If I order a $60 dinner, I'm tipping 20% of $60. Not 20% of $60 + your delivery fee and your service fee.

[–] tehmics 18 points 2 weeks ago

Tipping has always been a stupidly arbitrary thing to base tips on anyway, especially for delivery drivers.

As a driver, I accept runs based on dollar per mile because that's what actually factors into my income. I don't care what you ordered unless it's 100 items at the grocery store with cases of water bottles. The price is always irrelevant

[–] [email protected] 13 points 2 weeks ago* (last edited 2 weeks ago)

Meanwhile federal minimum wage is still $7.25/hr. Less, if you're a server.

[–] [email protected] 12 points 1 week ago* (last edited 1 week ago) (1 children)

I've been tipping more, but that's mostly because I live in a relatively low-income area and I know people around here are cheap/frugal. I've also worked in food service before (though not deliveries) and I know just how awful it can be. I hope I can be the one delivery that allows the person to call it an early night and spend time with their family. Shit like that.

That being said, I don't know what kind of notes the drivers get when they see my order pop up, but I will say that 99% of the time, my service has been impeccable. They know.

HOWEVER, don't take this as approval for tipping culture. I hate it and would love to do away with it. Unfortunately, I understand that these people depend on my tips for a living wage and that sucks.

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[–] andros_rex 9 points 1 week ago

Tipping was essentially an American invention to not pay black people. (Who were the majority of service industry workers in the late 1800s/1900s?)

Also keeps that servant/master power dynamic.

[–] Zugyuk 8 points 2 weeks ago* (last edited 2 weeks ago) (1 children)

What they need to do is scale the tips up to 40, 50, and 60%, and get rid of that pesky custom button

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[–] Poem_for_your_sprog 8 points 1 week ago (7 children)
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[–] gnomesaiyan 7 points 2 weeks ago (16 children)

I am a big believer in tipping and always tip the same way: I start at 18-20% and go down from there, based on service, friendliness, and food quality.

That said, I go out a lot less post-Covid, as the quality of the experience isn't what it used to be. I tend to stick to poke and sushi nowadays, as it tends to be fresher and the service better.

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