- Many Americans are becoming aware that tipping is expected at a growing number of businesses.
- The two explained to BI why they believe the chip is out of control.
- Now retired, Pam said she still tips for certain services.
From taxis to pizza places to dry cleaners, Pam, 77, has noticed a widespread expectation of tipping.
“I think everyone deserves a tip,” said Pam, who asked to be identified by her first name to protect her privacy but was identified by Business Insider.
Pam isn’t the only one who thinks tipping is widespread. Previous research from the Pew Research Center found that In an August survey, nearly three-quarters of American adults said tipping is expected in more places today than it was five years ago.
As the range of businesses where tipping is expected continues to expand, many Americans are growing weary of paying extra for service.
“I think there’s a big difference between places where tipping is expected and places where tipping is optional,” Ted Rothman, senior industry analyst at Bankrate, previously told BI, “but I think the lines are becoming blurred, and companies are looking to get customers to make up some of the difference. Maybe they’re reluctant to raise prices any more and are looking to supplement employee wages.”
Rothman pointed out that coffee shops are one place where tipping is done. While tipping may be more optional, sit-down restaurants and food delivery are two services where tipping is generally expected. Rothman cited salons and barbershops as other services where tipping is expected.
Tipping seems to be common these days, but not everyone adds a tip to their bill. “I know a lot of people who flat out refuse to tip, and I don’t fall into that category, but I do think about how much I tip,” Pam said, revealing that she thinks a 15 percent tip is “more than enough.”
According to a Bankrate survey conducted April 29-May 1, 67% of U.S. adults Respondents who go to a sit-down restaurant always tip the server, with an additional 11% saying they tip when they receive takeout and 10% saying they tip home service or repair workers.
Attitudes toward tipping vary by generation. Rothman said Gen Xers and Baby Boomers surveyed were “much more likely to say tipping has gotten too expensive and that tipping culture is out of control.” Rothman said the backlash against tipping could be due to rising prices, rising tip costs or people thinking they don’t have the money to spare.
Even those who believe tipping is out of control believe there are places where it is appropriate.
Pam, a retired woman living on a fixed income, said high tips and inflation have forced her and her husband to cut back on dining out. “My husband and I have a comfortable life, no question about that, but we’re still on a fixed income,” she said. “The lifestyle we’ve planned for and saved for is now within that income.”
She’s against restaurants encouraging customers to tip: “I think it’s completely up to the customer whether they want to tip or not, and I don’t think they should have to print the amount on a receipt or tablet or whatever,” she says.
Pam isn’t the only one who feels tipping is out of control. Michael Sandberg, 58, believes the tip jars that are often found on retail counters are unnecessary. He doesn’t think workers in other industries or the service industry should expect tips, either.
“I don’t think tipping is a good thing,” Sandberg told the business magazine. “People should get paid for their work, so why should they have to tip someone to do their job?”
Sandberg said restaurant servers should be paid the minimum wage instead of tips. “If that means restaurants can charge more for their food, so be it,” she said.
“It’s uncomfortable and not very cool to ask customers to pay employees directly,” Sandberg said.
Sandberg said she is “much more likely to tip” at a small restaurant than at a larger one, adding that she “just doesn’t tip anywhere else.”
For example, Sandberg believes that if you’re buying something for yourself, tipping isn’t necessary because “there’s no extra service.”
“If you have to get up to order food or buy an item, you don’t get a tip,” Sandberg said.
Tips are also given for special services
Sandberg, who said she used to frequent restaurants and tip 10%, noted that tipping is justified if you get “really great service somewhere,” such as a waiter doing an “exceptional job” or giving you special attention.
Pam recalled giving her server a larger tip than usual to show her appreciation for one particularly excellent service she received. The server was “very sweet” with her grandson, “added a special cherry to his ice cream and played with him,” she said.
Meanwhile, Pam says there are some places where she doesn’t tip and some where she does: “I don’t tip at fast food restaurants as a rule,” she says. “I usually just drive through and don’t get served, or I take my order and bring it to my table.”
Pam did have an exception to her rule: She tipped a cleaning lady at a fast-food restaurant who she said she “saw many times doing a great job. She obviously took pride in her work and I appreciated that she kept the restaurant immaculately clean.”
Pam said she always tips for “other personal, one-on-one services,” like when she goes to the nail salon or when she asks a delivery person to “help carry a heavy package home.” She also said she doesn’t tip people who help bag groceries at the grocery store, but she does tip at sit-down restaurants.
She said tips should be given for “the special service someone has given you.” She gave the example of tipping a taxi driver who carries your luggage, opens the door for you or gets you to your destination quickly.
It is common to tip the driver
According to a Pew Research Center survey, 61% of US adults who use rideshare or taxi services often or always tip. Some people also tip Uber and Lyft drivers, but Sandberg doesn’t think it’s necessary. “I think rideshare drivers should get a tip if they’ve gone out of their way and really contributed to the ride,” she said.
Sandberg said ride-hailing drivers can receive larger tips “if they’re in a very congested, large city or a tourist area.”
He said he was an Uber and Lyft driver several years ago and that he was only ever tipped once, “the only time I thought I deserved a tip.”
“I went above and beyond the call of duty. There was a major accident and the highway was closed so I took the back roads to get to the airport,” he said. “The rest of the ride I just did my job.”
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