1.9 KiB
Tipping in America
Sep 25, 2025
1. Why tipping exists in U.S. restaurants
Sub-minimum wage:
In most U.S. states, servers are legally allowed to be paid below the normal minimum wage (the federal "tipped minimum" is only $2.13/hr). The assumption is that tips will bring them up to at least regular minimum wage. California is one of the few states where employers must pay full minimum wage, but even here, servers still depend heavily on tips because restaurant owners factor tips into scheduling and raise decisions.
Tip-out culture:
The server does not keep every dollar. At the end of each shift they "tip out" a percentage of their sales (not just their tips) to runners, bussers, bartenders, and hosts. A 15% tip might leave the server with far less after sharing.
Historical roots:
Tipping in the U.S. grew after the Civil War. Employers, especially in hospitality, used tipping as an excuse to avoid paying formerly enslaved Black workers a fair wage. Over time it became normalized, but that origin is why many people see it as exploitative.
2. Social expectations
Restaurants with table service:
- Excellent service or fancy dining: 20–25%.
- Good service: ~18–20% of the pre-tax bill is standard.
- Okay but not terrible: ~15% is still expected unless something was truly bad. Bars: $1–2 per simple drink or 20% of the tab.
Coffee shops/counter service: optional, but $1 in a tip jar is nice if they made something complex.
Take-out/fast casual: rounding up or $1–2 is polite but not required.
3. Where you can save a bit as a student
- Counter service / grab-and-go: you can skip or leave coins without being rude.
- Delivery apps: still tip (~10–15%) because drivers rely on it, but you can pick up your food yourself to avoid the fee and higher tip.
- Bars during happy hour: $1 per drink is acceptable if it’s a simple pour.
- Large groups: check for automatic gratuity—don’t double-tip by accident.