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

(page 4) 50 comments
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[–] hedgehogging_the_bed@lemmy.world 43 points 1 day ago (1 children)

When was a kid in the 90s, tip was 10% of the $20 bill. By the time I was eating out a lot in my 20s we left 15% on the $35 because we liked the servers. Now the check is $50 and the "recommended" is creeping past 30%.

[–] westyvw@lemm.ee 16 points 1 day ago (1 children)

Yes this irks me to no end. The tips were going up on their own, so why did the percentage go up?

[–] RagingRobot@lemmy.world 3 points 1 day ago (1 children)

Because wages didn't go up

[–] westyvw@lemm.ee 5 points 1 day ago

Wages don't matter. Nobody working for tips wants to exchange it for wages. The money is in the tips, and that kept going up.

[–] datavoid@lemmy.ml 30 points 1 day ago (1 children)

Im glad I never eat out due to dietary restrictions. Why does ordering more expensive food entitle a server to more money for doing the same amount of work?

I assume I'm probably just too poor to understand.

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[–] Canonical_Warlock@lemmy.dbzer0.com 46 points 1 day ago (4 children)

I wonder if all of the places like Subway that are asking for tips and getting $0 because who the hell tips at a Subway, are throwing off this stat at all.

[–] dylanmorgan@slrpnk.net 28 points 1 day ago (1 children)

Probably not directly, but I think tipping fatigue is definitely affecting things. If you’ve been prompted 10 times already to tip at places you usually wouldn’t tip and then are in a sit down restaurant, you may very well feel inclined to tip less.

[–] AbidanYre@lemmy.world 12 points 1 day ago (1 children)

Employees at places like Subway and Starbucks could be getting screwed by no one using cash anymore too.

If I'm using a card there's no change to toss in the jar.

[–] krashmo@lemmy.world 11 points 1 day ago

We shouldn't have to subsidize someone else's shitty wages. People who rely on tips need to unionize and put that nonsense to bed for good.

[–] jeffw@lemmy.world 15 points 1 day ago

Considering the article specifies “full-service restaurants,” Imma go with no

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[–] hark@lemmy.world 16 points 1 day ago (2 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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[–] tiefling@lemmy.blahaj.zone 41 points 1 day ago* (last edited 1 day ago) (3 children)

I've seen tipping options on websites to pay your landlord

[–] thesohoriots@lemmy.world 15 points 1 day ago

I don’t get the ones for products. I pay for a trendy pillow or whatever, also shipping at a flat rate, but then there’s a tip button? I just know that’s going straight to Shopify or management.

[–] Speculater@lemmy.world 10 points 1 day ago

My electric company has a tip line when paying the bill.

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[–] FabledAepitaph@lemmy.world 25 points 1 day ago (1 children)

I used to love ordering pizza for delivery, and I'd give like 5-10 bucks as a tip which might be 30 or 50% just depending. But now nobody does their own delivery anymore, I pay extra for the food because they're outsourcing to Door Dash, and it takes two hours to get a pizza.

Delivery is dead as far as I can tell. All that's left is going through the fast food drive-through which is like 12-15 bucks nowadays. I'd rather just eat at home.

The only time I go out nowadays is when I'm with a friend.

[–] JWBananas@lemmy.world 9 points 1 day ago* (last edited 1 day ago)

I pay extra for the food because they're outsourcing to Door Dash, and it takes two hours to get a pizza.

It takes 2 hours because they're sending a bid to drivers for your delivery contract, which may also include someone else's delivery on the same route, for a base pay of $2 plus your tip. After enough drivers decline that, they add 25 cents and send it around again. This process repeats until someone (hopefully) eventually accepts it. And – whoops – the merchant''s contract with DoorDash requires the driver to have a pizza bag. So the bid only even gets seen by the subset of drivers who do.

That's $2, plus your tip. And that's if the merchant was nice enough to actually pass that tip along when they outsourced the delivery. They aren't contractually required to do so, and some don't.

As an unpaid independent contractor, if I can see it's an outsourced order (placed through the merchant instead of through the delivery marketplace), I won't even accept it, because it's also going to mean losing 10-20 minutes of unpaid time standing around waiting for the merchant (who sent out the contract way too early) to actually start making your pizza, that they already lied about being ready when they sent a notification to you and to me. It's nearly always a disaster.

Edit to add: Just order from Domino's, they do everything in-house.

[–] SoupBrick@yiffit.net 26 points 1 day ago (1 children)

Inflated prices and a lack of disposible income will do that.

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[–] MeekerThanBeaker@lemmy.world 21 points 1 day ago (2 children)

When I go out, I usually tip well. My sister used to be a bartender and waitress and she relied on tips.

That said, tipping is really screwed up now. I went to a stadium for a game once and the employee said that they don't receive the tips when you tip for buying a beer or whatever unless it's cash. That's messed up if true.

I used to think Mr. Pink was an asshole, but he was on to something. I wish tipping was eliminated completely.

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[–] Omgboom@lemmy.zip 24 points 1 day ago* (last edited 1 day ago) (1 children)

I'm pretty well done tipping unless I'm going to a sit down restaurant and the service is really good

You know what tipping is supposed to be used for

[–] KnightontheSun@lemmy.world 32 points 1 day ago (4 children)

You know what tipping is supposed to be used for

Yes, allowing management to pay less than a living wage so that the public can cover the rest.

I get your meaning (and agree), but tipping as a practice should be dead and gone.

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[–] NauticalNoodle@lemmy.ml 13 points 1 day ago* (last edited 1 day ago)

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

[–] FlyingSquid@lemmy.world 15 points 1 day 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.

[–] SnotFlickerman@lemmy.blahaj.zone 18 points 1 day ago* (last edited 1 day ago) (3 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.

[–] otp@sh.itjust.works 6 points 1 day ago

To be fair, I don't think Uber Eats is paying minimum wage hourly anywhere

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[–] BigTrout75@lemmy.world 15 points 1 day 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@lemmy.world 12 points 1 day ago (1 children)

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

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[–] gnomesaiyan@lemmy.world 8 points 1 day 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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[–] RatzChatsubo@lemm.ee 4 points 1 day ago* (last edited 1 day ago) (1 children)

I know it's bad, but I've become a never tipper when I door dash food... It's just so insanely expensive for what I'm getting. I know I'm the problem, sorry

[–] westyvw@lemm.ee 6 points 1 day ago (2 children)
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