You’re not entitled to a tip (2024)

Tipping is a form of recognition—a way for customers to say, “Thank you” to service providers. Tipping, in most settings, is voluntary and left to the customer’s discretion.

Even so, many restaurant servers feel entitled to 15 percent or more from every table they wait on. Likewise, bellmen and skycaps feel they’re entitled to $2.00 or more per bag they handle. I’ve even been presented with charge slips asking me to tip, total and sign when I simply purchased two bags of whole bean coffee.

It’s easy to choose the path of least resistance and avoid confrontation—or, worse, retaliation—by rewarding indifferent (or non-existent) service with a tip. Americans are confronted with tip jars wherever we go. In most quick service restaurants, a tip jar is conspicuously placed near the register in hopes of capturing the remaining 90 cents of your $8.10 burrito. (Never mind that the employee who prepared your burrito may not have smiled or in any way expressed genuine interest in serving you.)

For employees in tip positions who demonize customers who don’t tip to their satisfaction and bemoan their compensation structure (generally a minimum hourly rate that, when combined with tip earnings, meets or exceeds the prevailing minimum wage), recognize that you’re no different than any other entrepreneur. Ultimately, you will be paid what your worth. If you’re unhappy with that arrangement, you have options.

Stories abound of hotel doorman and restaurant servers who make 20, 50, or even 100 percent more than their peers. To discover how they make more, all you have to do is identify what inspires you to increase the gratuities you offer to such employees.

What are the attributes, for example, of a restaurant server that inspire a 20 percent tip?

Here are a few from my list:

  • Smile
  • Eye contact
  • Energy in voice
  • Attentiveness without being intrusive
  • Sense of humor
  • Anticipate needs
  • Sense of urgency
  • Follow-up

Your list may look different than mine. That’s why the highest paid restaurant servers are adept at reading their customers and detecting which groups prefer chatty versus discrete table service in addition to other service preferences.

I recall a conversation with a Las Vegas taxi driver in which I suggested that he could increase his gratuities 20 percent by simply opening and closing the sliding van door for his passengers. Read about it here: An experiment in customer service

Tipped employees are no more entitled to 100 percent tipping compliance by customers than I’m guaranteed 100 percent sales by prospective customers.

As an entrepreneur, I recognize that there are no sure things. No prospective customer is obligated to take my call, let alone hire me and pay me money. I bet for every 20 contacts I initiate, I book a single event. At the risk of sounding like renowned sales trainer, Tom Hopkins, each of those 19 “Nos” brought me one step closer to that single “Yes!”

It’s the same with tipped employees, only their odds of success are much better. For example, for every 20 taxis ordered, a hotel doorman can expect to be tipped by at least half of the guests. So, while I’m rewarded for my efforts 5 percent of the time, the doorman’s rewarded 10 times as often!

Perhaps it is I who should shake my fist and shout, “There’s no justice!”

But, alas, after five years in business, I’ve tempered my expectations. I recognize that batting 1000 is a fantasy. One summer during my youth, George Brett of the Kansas City Royals went 4-for-4 in a game against Toronto, raising his season batting average to .400 (meaning he got a hit four out of every 10 times at bat). This was such a significant achievement that the game was halted while fans gave Brett a standing ovation as he waved from second base.

It’s okay to bat under 1000. Expect it. Don’t allow the inevitable setbacks to derail your success at work.

Look at it another way: What’s your mood worth to you? If you were under-tipped, what amount of money would justify altering your mood from positive to negative? From upbeat to downtrodden? From happy to sad? From optimistic to pessimistic? From outgoing to withdrawn? From engaged to disengaged?

Let’s say a waiter provides adequate service to a couple whose check totals $50.00 and who leave a minimal 10 percent gratuity of $5.00. This waiter, after discovering the amount of the tip, is now free to choose his response. If he becomes angry, bitter, or resentful toward the couple, he has allowed his disposition to be adversely affected for $2.50—the difference between a low 10% tip and a standard 15% tip.

And because human beings are emotional creatures, it’s natural to allow our resentment and negativity to spill over into our interactions with other employees and customers. When this occurs, we undermine those relationships and sabotage our success as one “bad table” turns into a shift filled with “bad tables.”

Let’s make a pact: I commit to not allow my 19 “Nos” to influence the quality of service I provide to my 20th prospective customer. And you must commit to not allow $2.50 (or whatever the number is) to dictate your behavior, undermine your relationships, and sabotage your success at work.

Deal?

I welcome all questions, comments, bouquets, and brickbats.

You’re not entitled to a tip (2024)

FAQs

You’re not entitled to a tip? ›

As waitstaff, you aren't entitled to a tip if you don't do a good job. It is part of your pay, but it is part of your pay for doing your job and doing it at least halfway decently. It is an incentive and you need to work for it. I have no problem tipping the standard 15% to 20% for service that isn't awful.

Are you not entitled to a tip? ›

Tipping is a form of recognition—a way for customers to say, “Thank you” to service providers. Tipping, in most settings, is voluntary and left to the customer's discretion. Even so, many restaurant servers feel entitled to 15 percent or more from every table they wait on.

Is it illegal to not be allowed to accept tips? ›

If your employer, manager or supervisor wrongfully and unlawfully takes tips you earned, you may be able to file a lawsuit against your employer to recover those lost tips or wages. In California, when an employer or another supervisor or manager takes an employee's tips, it is considered a wage and hour violation.

Why are waiters entitled to tips? ›

Most waitstaff in restaurants are paid low wages, and tipping provides them with an opportunity to supplement their income. In some cases, tips can make up a significant portion of a server's income. This is particularly important in countries where the minimum wage is not enough to support a decent standard of living.

Are you obliged to give a tip? ›

You're never obligated to tip someone when they've provided you poor service or if you've had a rude interaction with them.

Can you sue someone for not tipping? ›

After all, tips are understood to be voluntary, and so you can't hold someone criminally responsible for not making a voluntary payment, according to eHow. However, if the extra charge is characterized as a mandatory "service charge," there may be a better argument to hold the customer responsible.

Can you refuse to tip in America? ›

In America, tipping is optional in name only.

Legally it's voluntary but if you slink out of a restaurant without leaving a gratuity of between 20 and 25 per cent, you're likely to be chased by a waiter demanding to know why.

Can my boss tell me not to accept tips? ›

Employers generally have no rights or legal interest in their workers' tips. If their workers earn more than the equivalent minimum wage through their tips, employers cannot move to limit or reduce their wages. Both tipped and non-tipped workers must be paid the applicable minimum wage.

Why are cashiers not allowed tips? ›

You most likely can't tip grocery store employees

The minimum wage for tipped employees is different than standard minimum wage (and varies by state). So if grocery stores are paying their employees the standard wage, they likely won't allow those employees to accept a tip — no matter how much they've earned it.

What to do if your employer is stealing your tips? ›

An employer withholding tips is a form of wage theft. Employers who unlawfully withhold tips from employees may be subject to legal action, including lawsuits and financial penalties. Employees who believe their tips have been unlawfully withheld by their employer may have grounds to pursue legal action.

Why is tipping so high in America? ›

At the end of the Civil War, America's labor force “was flooded” with formerly enslaved people and immigrants, says Zagor. Employers took advantage of this class of “low-educated, low-income” workers, he says, and hired them for jobs that paid very little, encouraging patrons to tip as a supplement to wages.

Why is tipping mandatory in America? ›

But there's actually a legitimate reason why Americans continue to tip more than Europeans. In the 1960s, the U.S. Congress decided to a so-called “tipping credit,” which meant that the employer could pay the employee under the minimum wage if they earn tips.

Do waiters get 100% of tips? ›

Federal law prohibits employers from keeping any portion of the tips or from including supervisors or managers in the tip pool. This is true regardless of whether the employer takes a tip credit or pays employees the full minimum wage.

Why does everyone expect a tip now? ›

Some restaurants are building the gratuity into the bill to make sure their employees' ability to make the money they need doesn't depend on the whims of the customer.

What is guilt tipping? ›

Too often, consumers feel obligated to tip, he said. “It's based on basic guilt.” Skijus advises shoppers, regardless of income, to consider tipping when you want to express gratitude, but not at every point of sale, even when prompted.

Is it rude if you don't tip? ›

"Etiquette would dictate that that is not a requirement," she said. Swann, the founder of The Swann School of Protocol in California, explained that leaving a tip is based on the worker's salary. Most servers who wait tables at restaurants or bars don't earn a full salary and instead rely on tips to make a living.

Can a customer ask for a tip back? ›

Does it seem strange that it's considered rude to ask for a gift back? Not at all, because that is more or less the social norms we grew up on. The same goes for tipping a server at a restaurant, it's simply unheard of to demand the money you gave them back.

Can an employer withhold tips in Texas? ›

Tip Basics. The basic rule of tips, under federal law and state law, is that they belong to the employee, not the employer. Employers may not require employees to hand over their tips unless one of these exceptions applies: State law allows the employer to take a tip credit.

Can shift leads take tips? ›

For example, supervisors often work shifts as bartenders or servers. Now, they can legally keep the tips they earn for those shifts. However, if they assist servers/bartenders, they cannot receive any of the tips given to the server.

Is tip mandatory in NYC? ›

New Yorkers in the service industries (hotels, restaurants and transportation) usually have gratuity factored into their wages, so tips are expected and greatly appreciated. You don't have to go overboard, but be sure to show appreciation for the help you receive.

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