If you find yourself experiencing tip fatigue, you’re not alone. Nearly 3 in 5 U.S. adults (59%) have a negative view of tipping, and 35% of Americans believe tipping has "gotten out of control," according to a recent study from Bankrate. The study, which questioned 2,445 U.S. adults from April 29 to May 1, 2024, also found which groups of people tip the most versus who tips the least.
So while people are still leaving tips, who they tip, and how much, depends on several factors, including quality of service, complexity of order and service and wait times. According to Bankrate, 55% of adults always leave a tip or gratuity for hair stylists, compared to only 20% for baristas and 11% when picking up take-out.
There is one apparent certainty, though: "Tipping is a hot-button issue that doesn’t seem to be going away anytime soon.” says Ted Rossman, senior industry analyst at Bankrate.
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Changes in tipping
Since 2023, the percentage of people who always tip in certain categories has fluctuated. Between 2023 and 2024, there's been an increase in the number of people always tipping in the following categories.
- Servers at a sit-down restaurant: 67%; up from 65%
- Hair stylists/barbers: 55%; up from 53%
- Food delivery people: 51%; up from 50%
- Taxi/rideshare drivers: 41%; up from 40%
And a decrease in the number of people always tipping in these categories.
- Hotel housekeepers: 22%; down from 23%
- Coffee shop baristas: 20%; down from 22%
- Furniture/appliance delivery workers: 15%; down from 17%
- When picking up takeout food: 11%; down from 13%
However, despite the increases from 2023 to 2024, if you compare these numbers to data from 2021, you'll notice an overall decrease. For example, while the number of individuals who always tip their server at sit-down restaurants has increased from 2023, going from 65% to 67%, it's still down from 73% in 2022, 75% in 2021 and 77% in 2019.
Negative views on tipping
Overall, Americans view tipping negatively for a number of reasons. Mark Hamrick, Bankrate senior economic analyst told Kiplinger: “In the past couple of years, consumers across all categories have been slammed by high and sustained inflation. In some cases, individuals may be deciding to be more or less generous with their tips as they try to manage through these financial headwinds.”
Here’s a breakdown of why people view tipping in a negative light, according to Bankrate.
- 37% believe businesses should pay their employees better, rather than relying so much on tips.
- 35% believe that tipping culture has gotten out of control.
- 34% are annoyed about the pre-entered tip screens they encounter at coffee shops, food trucks and elsewhere.
- 14% would be willing to pay higher prices in order to do away with tipping.
- 11% are confused about who and how much to tip.
Out of the 35% who feel that “tipping culture” has gotten out of control, this is mostly a view held among older generations, with 46% of baby boomers and 40% of Gen X agreeing with the sentiment, compared to only 23% of Gen Z and 27% of millennials.
Who are the worst tippers?
Last year, Bankrate's 2023 tipping study found that surprisingly, the worst tippers across multiple service categories were Gen Zers (ages 18-26), millennials (ages 27-42) and men.
The 2024 study yielded similar results. When it comes to sit-down restaurants, 71% of women and only 63% of men always tip. 35% of Gen Zers always tip when dining in, compared to 56% of millennials, 78% of Gen Xers and 86% of baby boomers.
“Those who are just starting out with their personal financial journeys, including careers, very often have less resources and flexibility with their money," Hamrick told Kiplinger. "By contrast, very broadly speaking, those who are more senior tend to have more established careers as well as more savings both for emergencies and retirement,”
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