Sunday, June 5, 2011

The diner’s guide to restaurant tipping

There are certain topics that are guaranteed to incite passionate responses. Discussing controversial issues such as religion or politics is bound to land you in, at the least, a spirited debate. Oddly, you'll find that similar vigour and vitriol enters the conversation when discussing tipping etiquette, especially if you bring it up around those in the restaurant industry. The debate over who, where, when, why and how we should tip has become so overrun with conflicting opinions that it's tough to know what to do, particularly if you're in a foreign country. To clear up some confusion (and likely stir up some controversy), let's look at the standards for tipping service staff in some popular vacation destinations, and the rational for each custom. (Don't put your money on the table before getting a taste for analyzing this sector. Check out Sinking Your Teeth Into Restaurant Stocks.)

The United States
Unfortunately, many workers in America's food industry don't receive fair minimum wages. In some states, tipped employees (workers who collect more than $30 per month in tips) only collect the federal minimum wage of $2.13 per hour. Worsening the deal, tipped employees must claim their tips on their income taxes. For these reasons, it is customary for a diner to tip enough to help boost the server's wage to the prevailing minimum wage.

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