Tipping in the USA: survival guide for J1s

Tipping can feel a bit awkward back home. In the US? It’s a whole different level, especially when you’re new to it.

Don’t worry. Here’s your no-stress guide to tipping (and tax) in America, so you can avoid awkward moments and keep your coffee exactly how you ordered it.

How much should you tip in the USA?

Everything in America is bigger, right? The cars, the portions...and yes, tips. Different places come with different tipping expectations but as a rule, 20% tip for good service will keep you off the naughty list.

Here’s a quick cheat sheet to keep things simple:

• Restaurant: at least 18%.
• Table-service coffee shop: a few dollars or round up the order.
• Bar: at least $1 for every drink you order.
• Counter-service coffee shop: tipping is optional.
• In a takeaway: tipping is optional.
• Taxi drivers: at least 10% of fare or a few dollars for short journeys.

You’ll often see a suggested tip on your bill, which is very handy if maths isn’t your strong point (no judgement).

Why is tipping so expensive in the USA?

It's true, it can feel odd handing over ‘extra’ dollars voluntarily, but American service is an art form. Staff work hard and many don’t get paid above minimum wage – with tips helping to top up their pay. So, try not to think of it as an expensive extra. Think of it as a charge for the sunny-side-up service you’ve just received, which, to save us all the pain of doing quick maths, should have been included in the bill in the first place.

What happens if you don’t tip in the USA?

We don’t know. We always tip. It’s the right thing to do. Maybe you go onto a ‘No Dine List’ which prohibits your entry into all diners. Or, the next time you dine, you get 18% less of the food. Either way, for a few extra bucks, we’re not willing to find out.

Is service charge the same as a tip?

Oh no young grasshopper, it is not. Some restaurants might stick a service charge of between 10% and 20% on the bill, often for larger groups, to cover operational costs. Weirdly, this may not go directly to the servers.

What is service tax in the USA?

We know what you’re thinking, shouldn’t this section come with a content warning? Things are about to get sexy. Service tax, also known as sales tax, is money added to the sale of goods and services. It varies between states. It will likely be between 2.9% and 7.25%. But most states will include a sales tax onto the subtotal of your bill.

Right, that’s enough tips about tips. Tipping in America can be confusing but there’s no need to fear it. Accept it. Embrace it. Become the tip. When you’re waiting tables on your J1 USA, those extra dollars might be the difference between an evening in slippers and a night out in your dancing shoes. Both sound good, to be fair.