Is tipping getting out of control? Many consumers say yes

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Is tipping getting out of control? Many consumers say yes
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As more businesses adopt digital payment methods, customers are automatically being prompted to leave a tip at places they normally wouldn’t, and some fed-up consumers have had enough.

Some fed-up consumers are posting rants on social media complaining about tip requests at drive-thrus, while others say they’re tired of being asked to leave a gratuity for a muffin or a simple cup of coffee at their neighborhood bakery. What’s next, they wonder -- are we going to be tipping our doctors and dentists, too?As more businesses adopt digital payment methods, customers are automatically being prompted to leave a gratuity — many times as high as 30% — at places they normally wouldn’t.

“Tipping is about making sure the people who are performing that service for you are getting paid what they’re owed,” said Schenker, who’s been working in the service industry for roughly 18 years. Some of the requests can also come from odd places. Clarissa Moore, a 35-year-old who works as a supervisor at a utility company in Pennsylvania, said even her mortgage company has been asking for tips lately. Typically, she’s happy to leave a gratuity at restaurants, and sometimes at coffee shops and other fast-food places when the service is good. But, Moore said she believes consumers shouldn’t be asked to tip nearly everywhere they go — and it shouldn’t be something that’s expected of them.

Tips at full-service restaurants grew by 25.3% in the third quarter of 2022, while gratuities at quick or counter service restaurants went up 16.7% compared to the same time in 2021, according to Square, one of the biggest companies operating digital payment methods. Data provided by the company shows continuous growth for the same period since 2019.

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