Everyday Math

Tip Calculator

Enter your bill, pick a tip percentage, and — if you're splitting — the number of people. Get the tip, the total, and each person's share instantly.

How much should you tip?

In the United States, tipping is a standard part of paying for service. Common guidelines:

SituationTypical tip
Restaurant, table service15–20% (18% is a comfortable default)
Exceptional service20–25%
Buffet~10%
Food delivery10–15% (minimum $3–5)
Bartender$1–2 per drink or 15–20% of the tab
Taxi / rideshare10–15%
Hair stylist / barber15–20%

Outside the US, customs differ a lot: in Japan and South Korea tipping is not expected at all, in much of Europe a service charge is often already included, and in Canada US-style percentages apply.

Tip on the pre-tax or post-tax amount?

Etiquette guides traditionally say the tip is calculated on the pre-tax subtotal, but in practice most people tip on the total — the difference is small (on a $100 bill with 8% tax, an 18% tip differs by $1.44). Either is acceptable; tipping on the total is simply more generous.

Quick mental math for tipping

Why US tipping percentages are what they are

Tipping in the United States is not simply a generous custom layered on top of a normal wage. Under the federal Fair Labor Standards Act, an employer may pay a tipped employee a cash wage as low as $2.13 an hour and count tips toward the rest of the federal minimum wage of $7.25 — a "tip credit" of up to $5.12. If tips fall short in a given week, the employer is legally required to make up the difference, but the structure means a large share of a server's income arrives as tips rather than wages.

That is the mechanism behind percentages that visitors from other countries find high. It also explains the geography: several states have abolished the tip credit and require the full state minimum wage before tips, so the economics of a tip differ substantially between, say, California and Georgia. The social expectation has not tracked those differences — 18–20% is the norm in both.

Service charge, gratuity, and tip are three different things

These get used interchangeably on menus and they should not be, because only one of them is yours to decide.

TermWhat it isDo you add a tip on top?
Tip / gratuityVoluntary, chosen by you, legally the employee's propertyIt is the tip
Automatic gratuityA fixed percentage added by the restaurant, common for parties of six or moreNo — it already is the tip
Service chargeMandatory, and legally the employer's revenue, not a tipOptional; it may not reach the staff

The distinction is not pedantic. The IRS treats an automatic charge as service-charge revenue rather than a tip, because the customer did not determine the amount — which is why some restaurants have moved to "suggested gratuity" lines that you fill in yourself. If a bill already carries a mandatory service charge and you want the staff to receive something directly, cash is the reliable route.

Where these percentages do not apply

US norms travel badly, and applying them abroad is not a neutral act of generosity — in some places it is read as not understanding the bill. Japan and South Korea have essentially no tipping culture, and leaving money can cause genuine awkwardness. Much of continental Europe builds service into the price and rounds up modestly, if at all. The UK and Ireland commonly add a discretionary 10–12.5% service charge to the bill, which you can ask to have removed. Australia and New Zealand pay full minimum wages to hospitality staff and treat tipping as an occasional bonus rather than an expectation.

The practical rule: check whether service is included before you calculate anything. Where it is, a US-sized percentage on top is not the safe default — it is roughly double the local norm.

Sources

Frequently asked questions

Should I tip if a service charge is already added?

If the bill says "service charge included" or "gratuity added" (common for groups of 6+), an extra tip is optional — many people round up or add a few dollars for great service.

Is it rude to tip less for bad service?

Tipping less (10% or so) is a recognized signal of poor service in the US. Leaving nothing is generally reserved for truly unacceptable experiences — and consider speaking to a manager instead.

How does splitting work with uneven shares?

This calculator splits evenly. If one person had the $40 steak and another the $12 salad, it's fairest to split in proportion — our percentage calculator can help with that.

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Last reviewed: · Who maintains this · How it is checked

The arithmetic runs entirely in your browser — nothing you enter is sent to a server or stored. The formula and its assumptions are stated on the page so you can check the result rather than trust it.