How much to tip at a restaurant?
While I eat out a lot, and I review restaurants quite often, I’m not technically what you could call “from the industry”. That is, I don’t have a background as a chef, or as a server. I have served before, but mostly at charity events (and mostly, I’ve bartended), and thus income derived from this activity has never been an issue for me. I recently did what some people may call “over-tipping”. I tipped about 20% in one case, on top of tax AND an automatic gratuity (I did not realize well until I had already paid), and in the other case, I tipped 20% on top of the total after tax.
I took to Twitter to ask how much was I supposed to pay for tip. I’ll fully admit that I have no problem over-tipping, for several reasons. One, when I go out, I already have budgeted what I’m going to spend. Two, many of my own undergraduate students at UBC work or have worked as servers or bartenders to put themselves through school. I figure if I tip them well, hopefully other people will do too and that will help them overall. Three, I think that serving is hard work, and if the service has been fantastic why not reward it?
One thing that struck me was what Sarah McKay said, which I think is often forgotten in the process. Servers pass on some of their tip to the rest of the house. And obviously, that may put them in a fragile position if you tip BEFORE tax.
One of the biggest problems I have is with the fact that HST (while theoretically and empirically a sound tax) has actually had an impact on how much people decide to spend and eat out. Obviously that also impacts people who work in the industry.
So, how much do you tip, and do you tip before or after tax?
I tip based on the “before” tax price, usually 15%, but sometimes less if the service hasn’t been great, or more if I’ve been impressed.
My sister is a server at a family restaurant that is part of a well-known BC franchise. She works for tips: she has been offered the position of restaurant manager, but the position simply doesn’t pay as well as the tips she makes as a server. What surprises me, though, is how poorly she is often tipped. The average tip at their restaurant is closer to 10%. She does have to tip-out to the kitchen: the amount is based on before-tax sales. I think this kind of tip-out system is imperfect. The kitchen has no motivation to ensure that the server gets the best tip possible since they get paid a fixed amount. Issues with service quality can just as easily be the fault of the kitchen as they can the server.
Tipping can be a pretty sensitive issue for a lot of people. Restaurants also greatly differ on how much servers and bartenders tip out to the house. Where I work (as a server) it’s about 3.5% but I’ve also served and bartended in spots where it was >7%. When I’m out I tip 20% after tax but people “in the industry” usually tip well as they know what the job is like. That, and maybe karma. Some tips are better (even a lot better in some cases) than others, but I find you take the good with the bad and it tends to be pretty consistent in the long run anyways. In the end, it really is up to the guest how much (or even if) they’d like to tip. I’m also a UBC student and this is how I’m paying for school so, for me, tips are always appreciated. You can come and sit in my section anytime! 🙂
I’ve worked at 5 different restaurants. I’ve hostessed, served, bartended, trained over 5 years in the industry. In all the places I’ve worked, the tip-out is a percentage on sales after taxes, so I think it makes sense that the tip is left on the amount after taxes. If the gratuity is included however, please don’t leave any tip unless the service really was excellent (a 20% tip on top of gratuity included is definitely overkill.) Servers can make over 40k a year working under 30 hours a week depending on where they work; I’ve seen many friends drop out of university because of the opportunity cost.
In my opinion, large groups were the biggest problem. Once, I was serving ten people myself at Cactus Club, and I was going around the circular table taking drink orders one by one. When I reached the 7th person, the 1st person asked, “Where’s my drink?” His friend elbowed him and pointed out what should have been obvious, that I had not even finished talking to everyone, let alone punched in the order, and the bartender made them. I’m glad his friend did so, because otherwise I probably could not have helped making some snarky retort.
Clearly (or not), people have to lower their expectations for service times in group situations. What is usually 2 minutes before you receive your first drink with a table of two can be 15 minutes in large groups. The bill total can be high but this does NOT mean you can tip less percentage-wise; the server is probably giving up other tables to serve the large group (they are often forced to by managers -you can’t serve others when one table commands your attention for 15 minutes at a time). The server is carrying huge loads of drinks and food, and the stress of keeping the bill organized is not to be underestimated, especially when people are switching seats.
Having two servers for one table is at best a partial solution because a)the tip now must be halved as well as tipped out on, b)information-sharing and coordination can be difficult with all the little details from different people, c)if one server is not experienced with sharing a table, (s)he can make errors, like mixing up money from the table with their own float, and d)it can (surprisingly) be more confusing for the guest. What was the most aggravating however was that the gratuity was NOT included in the restaurants I worked at for any number of people, though many restaurants do and so people expect it (or pretend not to notice that the gratuity was not included in their bills.) If you are not sure, please make sure. A large group bill can be thousands of dollars, with significant tip-out automatically calculated that the server must pay to the rest of the floor and kitchen. The server(s) can actually make no money (or lose money) for working that shift if a large group does not tip them.
I tip 15~25%. I take particular care in group situations that the total tip from the table is above 15%, and over 20% if two servers were exclusive to our table (which happens quite often when groups are bigger than 12.)
Disclosure: I do not work in the service industry anymore because it was a physically and mentally stressful job with no security.
Even after having been a chef for 11 years, I still don’t get tips. Why is this free money looked upon with such intent and ritual? No one is entitled to it, and it isn’t given for proper service, it’s given because of a social conditioning, so you don’t look like an asshole.
I always tip 15% – 20% and sometimes more. I try not to go out with people who don’t tip. Their cheapness makes me look bad. There are some people who are adamant against it and have all sorts of arguments and excuses. They are entirely entitled to their opinion… and I am entirely entitled not to go to clubs and restaurants with them.
Ever wonder how some people get served first, get an extra shot in their drink or get that free desert? It’s not a secret… tip and the world takes care of you 🙂
I normally tip 10% to 20% based on the bill after tax. I think it’s just Ok since the tip should go to the service crew personnel or team. I have no problems in over tipping as well provided that the server(s) are respectful and loving what they are doing. You’ll find that they are pleasing to talk with. However, there are establishments that have service charges. If given the case, I don’t normally give tips.
-James from Fast Food Franchise