San Francisco Restaurants Want To Make 25% Standard Tip Rate

CBS San Francisco Radio.com ^ | 10-13-11 | Mary Diaz at 99.7 FM Now

[rawhide]

SAN FRANCISCO (CBS SF/99.7 Now) – It’s a question many of us ask when we go out to a restaurant. “How much should I tip?” Whether your service is good or bad, San Francisco Restaurant workers want to implement a 25% standard tip onto your bill for you. Is this fair?

Many in the food industry say “…yes, it’s about time.” However, many “foodies” are not as happy with the idea. According to an article in the San Jose Mercury News, for the most part, people, on average tip between 15% – 20% and the restaurant worker actually has to claim 15% of that to the IRS.

Opinions that sway against the increase said that “…the whole purpose of a tip is to reward service.” They feel the new tip increase should be earned and if more is needed, then they must step up their service so that the increase justifies a larger tip amount.

Not everyone is against the idea. Some have felt with the state of the nation’s economy is in, that 25% is not unreasonable. And some tip above the average already. Some went a step further to say if you want to reward service, you must start tipping the workers at fast food places as well. Most fast food workers earn minimum wage and rarely get tips

[Sherman Logan]

That’s not a tip, it’s a service charge.

Perfectly legitimate for a restaurant to charge in this way. The market will decide whether it will work. Personally I wouldn’t eat at a place that charged this way. Let ‘em raise their prices and then pay their workers a living wage.

[Recon Dad]

No, hell no! A tip as was said is for good service. If it becomes part of the bill the next thing they’ll want is an additional tip.

[cuban leaf]

I typically tip 20%.

It’s one of the main reasons I rarely eat out any more.

[Winstons Julia]

The government COMPELS me! To give you 25% even though the service was bad.

I don’t eat out much, but when I do...it’s 15 - 20%.

Is that cheap? Well... I don’t have a lot of money.

[Vaquero]

lots of men in San Francisco take more than the tip....

[Doc Savage]

Why not 200%? Why not 500% Seems reasonable!

[rawhide]

went a step further to say if you want to reward service, you must start tipping the workers at fast food places as well.

Tipping at McDonald's?

[Amagi]

That’s not a tip, it’s a service charge. Perfectly legitimate for a restaurant to charge in this way. The market will decide whether it will work. Personally I wouldn’t eat at a place that charged this way. Let ‘em raise their prices and then pay their workers a living wage.

I knew someone would hit this out of the ballpark early on in comments. Well done, Sir.

[econjack]

Some have felt with the state of the nation’s economy is in, that 25% is not unreasonable.

WTF?

[cuban leaf]

—That’s not a tip, it’s a service charge.—

That is exactly what it is. If I ate at a place that did that I would just consider it part of the price. I’ll order my food knowing exactly what my food will cost. As far as I am concerned, it is technically just the new price.

Oh, and it is the ONLY tip I would give. It IS the tip.

This is kinda sad because I’ve heard many stories of restaurants charging the mandatory tip for groups over a certain size, and the wait staff gets none of that. That is the potential devil in the details of this.

[gunnyg]

Tips?

It all started with the Inn keeper’s daughter as travelers stopped by the highway from the 1600s, and it has “progressively” gotten out of hand from there...

First the merchants (much like politicians) made a good thing of it, then the irs got involved, now better not say anything against “tipping” as the AINOs (Americans In name only) will be on ya like odor on a wet mail-person!

Semper Watching!
*****

[liberalh8ter]

It’s a free Country (for now) so they can do as they please. Just don’t ask for a bailout when you’re facing bankruptcy. People will dine elsewhere if you force them to pay 25% no matter how lousy the service or food.

[silverleaf]

Must be getting harder for waiters to pay their union dues... and that SF health insurance for transgender surgery and lifetime hormones is killer

Next, tip jars in your child’s classroom

[TruthShallSetYouFree]

I don’t mind giving a little extra tip for good service (doesn’t TIP come from To Insure Promptness?) but I’d like to be the one who decides. Restaurants that serve wine usually mark it up buy 2 to 3 fold. A decent bottle that costs 20 bucks in the liquor store will bring in 60 at a restaurant, not including sales tax. And a 25% tip will add another 15 dollars to that. 15 dollars is a lot of money for turning a corkscrew a couple of times, a procedure that takes a few seconds.

[E. Pluribus Unum]

This is the same old "the rich don't pay their fair share" if they don't pay a higher rate crap.

When restaurant prices go up 25%, a 20% tip goes up 25%.

The get proportionally more money.

Now they want a bigger chunk.

No.

[The Sons of Liberty]

The swishers in San Fran must be unaware that we are in the middle of The 0bama Depression.

FUBO GTFO! 464 Days until Noon Jan 20, 2013

[rawhide]

It seems in so many unexpected places anymore, you see these ‘tip jars’. I am personally offended by these jars! What you charge for the product includes your tip. I buy, you do your job, I pay.

[MichaelP]

Agreed, a tip is a gratuity, not a fee. I avoid any restaurants that include a tip in the bill. Normally, I tip 20% for good service, 25% for very good and less for not so good. I don't penalize the wait staff for poor food, though I expect them to address it if I ask.

Mike

[cuban leaf]

—Why not 200%? Why not 500% Seems reasonable!—

It is. Imagine a place charging $3 with a 500% tip for a steak dinner that normally costs $30. I’d go for it. What it really comes down to is this: Is the price, AFTER the tip is included, still competitive. If it is, no problem. If not, business will drop off.

I am concerned that the wait staff will not get this money, though.