A Tipping Point on Tipping

Episode Transcript

Speaker 1 (00:00):
It seems we Americans have reached a tipping point on tipping.
Gone are the days when Morty Seinfeld used his birthday
gadget to figure a fair tip at a restaurant.

Speaker 2 (00:12):
Cyprus was slow, and God forbid they should refill the water.
How does a twelve point four percent sound?

Speaker 1 (00:20):
Well, your tip is four dollars and thirty six points
sixty six six six cents. You round down. Today we
may be thinking more like George Costanza.

Speaker 2 (00:30):
So let me ask you a question about the tip
cup because I had a little thing with the cal
Zone guy there this week. I go to drop a
buck in the tip jaw and just as I'm about
to drop it in, he looks the other way. So
then as I'm leaving, he gives me a look like
thanks for nothing, you got no credit Exactly, It's like
I'm throwing a buck away. I mean, if they don't

(00:51):
notice it, what's the point?

Speaker 1 (00:53):
So you don't make a habit of giving to the
blind not bills. Seems now none of us are too
willing to put anything in the tip jar. Wallet Hub,
the online financial polltaker did one on tipping, and the
results have tipped to one side against giving them nine

(01:14):
in ten surveyed believe the tipping culture is out of control.
Eight and a half out of ten say automatic service
chargers need to go away now. Six in ten think
that businesses are behind all of this is a way
to cut down on salaries. Where are you? I am
one of the nine and ten. The very idea you
get a gratuity simply because you're standing there, or you

(01:37):
shove the fileo fish into the bag then out of
drive through window seems a bit divorced from the original intent,
which once was you did such a good job doing
your job, I'm going to reward you for it. But
they've gone too far and we're way past traditional establishments
for tips. Now it's everywhere. Everybody has an opinion on tipping.

(01:59):
Whether you add a standard twenty percent across the border,
hate the tipping screen on principle, you might have noticed
those opportunities popping up more frequently these days. The idea
has been around a long time. It really took off
after the Civil War, when former slaves could only find
jobs in the food service industry. Employers not wanting or
willing to pay decent wages suggested the customers leave a

(02:22):
tip to make up for low wages, Tipping comes with
a lot of pressure, especially if you're aiming to impress
new friends or you're on a first date. More than
half of us say we tip out of social obligation
rather than rewarding excellent service. The tipping culture overall is
rapidly changing, especially as Americans feel the squeeze from inflation

(02:43):
at skyrocketing grocery prices, property taxes, healthcare costs. Most servers
are at the top of the economic food chain. Each
state is different. Nebraska has a combined wage plus tip
minimum of twelve dollars an hour, little less than hay.
Half of us agreed that tipping should be replaced altogether
by an employee rating system, and we don't like Donald

(03:05):
Trump's promise to not tax tips. This was pure politics
designed to curry votes in the swing state of Nevada,
which is overrun with service workers. This could very well
open up floodgates for corruption or shady business. Lots of
questions about what is taxable income, What will keep other
industries from classifying employee activities as service oriented and just

(03:30):
pay us with tips. Don't know if it's going to
go that far, but if they're not going to tax tips.
Where do I sign