TULSA, Okla. — About 60% of Americans have a negative view of tipping practices, according to a new Bankrate study that reveals changing attitudes toward gratuities.
"People are annoyed about tipping and they're tipping less," said Ted Rossman, Bankrate analyst.
The study comes as tip prompts appear at more businesses where customers pay with credit cards, extending beyond traditional tipping scenarios like restaurants and hotels.
"I'm still figuring out everything that you're supposed to tip for," said Miranda Gallagher, who typically leaves gratuities.
While most consumers expect to tip at fancy restaurants, hotels, hair salons, ride shares, and for food deliveries, many are pushing back against the expanding practice.
"Starbucks says that half of customers leave a tip when presented with one of those screens. That has to be way more than the percentage putting bills or coins in the old-fashioned tip jar," Rossman said.
"If it's a coffee shop, you know, I might like round up or put a little bit in a tip jar," Gallagher said.
The Bankrate study found approximately 40% of Americans believe businesses should pay their staff better rather than relying heavily on tips.
"I go on the low side. And sometimes I don't tip at all," said Ken Seidel, who has reservations about tipping.
Some consumers question where their money actually goes. "I'm concerned about how do I know that person's gonna get the tip," Seidel said.
The study also revealed demographic differences in tipping habits.
"Chances are older people are gonna tip better, women are gonna tip better. I mean, if you're a waiter or waitress and you have a table of young men, statistics show that's gonna be the worst tipping," Rossman said. "Gen Zers are the worst tippers by far. Millennials are the second worst."
Another interesting finding shows 16% of Americans would be willing to pay higher prices if tipping could be eliminated altogether – up from 14% the previous year.
This story was reported on-air by a journalist and has been converted to this platform with the assistance of AI. Our editorial team verifies all reporting on all platforms for fairness and accuracy.
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