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.

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  • @captainlezbian
    2•3 days ago

    I’m sympathetic to tipped labor, but I can’t imagine why they shouldn’t pay taxes on it. These are their wages and if they get paid so little that they need to not be taxed but still pay them we need to either adjust the progressive taxation tiers or to figure out something else. Because this feels more like an attempt to normalize removing taxes than an attempt to alleviate the burdens on the poor