Tips are often a major source of compensation for wait staff and other U.S. service providers. Employers often pay these employees lower wages in anticipation that tip income will provide a significant portion of the employees’ income.

Why is tip expected?

Tips are often a major source of compensation for wait staff and other U.S. service providers. Employers often pay these employees lower wages in anticipation that tip income will provide a significant portion of the employees’ income.

Is 10 a good tip?

Tipping rules of thumb Another guideline is to tip a waiter or waitress 15 percent for good service, 20 percent for exceptional service and no less than 10 percent for poor service.