TAMPA, Fla. (WFLA) — When it comes to tipping, millennials and Gen Z don’t — or at least not as much as their parents and grandparents.
A study on tipping levels by CreditCards.com found that Gen X and Baby Boomers tip more than their younger counterparts, but that Baby Boomers still tip the most of all Americans, regardless of what type of service they’re paying for.
Typically when talking about tipping, it’s centered on dining services, like at a restaurant or bar. CreditCards.com said the number of restaurant diners who tip has gone down, and has been since 2019. As costs remain high and continue rising, how much consumers are spending for service has been in flux.
“Inflation is cutting into consumers’ purchasing power and a tight labor market has left many service industry businesses understaffed and struggling to provide top-notch customer experiences,” Ted Rossman, senior industry analyst at CreditCards.com, said.
The CreditCards.com survey found “Americans are slightly worse tippers now than they were before COVID-19 hit.” The gap in tipping was measured across ages, but also gender.
“Our survey showed that just 52% of Gen Zers (ages 18-25) who go to sit-down restaurants and 60% of millennials (ages 26-41) always tip restaurant servers, compared with 77% of Gen Xers (ages 42-57) and 87% of baby boomers (ages 58-76),” CreditCards.com said. “Adding gender into the mix, 78% of women but just 68% of men always tip restaurant servers.”
However, when it comes to the amount tipped at restaurants, “Men and women both give a median tip of 20%, but the mean is a little higher among men (22% versus 20% for women).”
Additionally, annual earning levels play into how much people tip.
“Dining tipping averages increase with income – from 19% for those with less than $50,000 in annual household income to 21% for those with incomes between $50,000 and $79,999 to 22% for those with incomes between $80,000 and $99,999 and 26% for those with incomes of over $100,000,” CreditCards.com reported.
According to the tipping survey, here’s how often those Americans who use each of the following tip other service providers:
- Taxi/rideshare drivers: 43% always tip, 23% tip most of the time, 21% tip sometimes and 13% never tip.
- Hotel housekeepers: 27% always tip, 21% tip most of the time, 27% tip sometimes and 26% never tip.
- Coffee shop baristas: 22% always tip, 22% tip most of the time, 33% tip sometimes and 22% never tip.
- Furniture/appliance delivery workers: 17% always tip,19% tip most of the time, 23% tip sometimes and 41% never tip.
- When picking up takeout food: 13% always tip, 17% tip most of the time, 30% tip sometimes and 39% never tip.
The survey showed how tipping has changed over time, particularly during the COVID-19 pandemic. Data for 2020 was not provided.
| 2019 | 2021 | 2022 | |
|---|---|---|---|
| Servers at a sit-down restaurant | 77% | 75% | 73% |
| Hairstylists/barbers | 63% | 63% | 66% |
| Food delivery people | 63% | 59% | 57% |
| Taxi/rideshare drivers | 49% | 48% | 43% |
| Hotel housekeepers | 27% | 28% | 27% |
| Coffee shop baristas | 24% | 23% | 22% |
| When picking up takeout food | N/A | 17% | 13% |
| Furniture/appliance delivery workers | N/A | N/A | 17% |
| Home services/repair people | N/A | N/A | 12% |