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'Coerced into tipping'? How apps are changing the culture of tipping in SF

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Re: 'Coerced into tipping'? How apps are changing the culture of tipping in SF

#61
So many comments here are talking about "defaulting" to tips or to 20% -- but I've never seen that on a Square or Square-type device.

It always requires a signature and you have to explicitly press "18%", "20%", "25%" (or similar) or "No tip" button.

I would be shocked if I ever saw a tip amount pre-selected for me (unless on a bill for a large party at restaurant, which has been standard for a long time now).

Re: 'Coerced into tipping'? How apps are changing the culture of tipping in SF

#62

The tip calculator on these is surprisingly broken in obvious ways. For example, if you order a cup of coffee and merchandise or a bag of beans, it calculates 15% on the entire order. Wtf!

I think in many situations tip calculators focus on the wrong thing. They are answering the question "How much do I pay given the tip percent?"

Often the actual question I want answered is "What tip will I be giving if I pay various whole dollar amounts?"

For example, let's say I order a pizza for delivery, and the mandatory charges come to $20.60, and let's also say I consider 15% a reasonable tip.

A normal tip calculator will tell me that I should give the pizza guy $23.69.

Screw that, I'm not futzing around with trying to find $0.69 in coins, and I'm certainly not going to give him $24 or $25 and ask for $0.31 or $1.31 in change.

Nope. I'm going to pay an integral number of dollars and say "keep the change".

What I want a tip calculator to do is give me a table:

  Pay  Effective Tip
  $21   1.9%
  $22   6.8%
  $23  11.7%
  $24  16.5%
  $25  21.4%
I can then look at that, and see that my best choices are $23, $24, or $25. $23 comes out far enough below 15% that I'll cross that off. $24 is a little over 15%, so is perfect, but if I don't have 4 $1 bills in my wallet, $25 would not be extravagant. Result: $24 or $25, depending on exactly what bills are in my wallet.

I made an Apple Dashboard widget to do just that, and it worked out quite well. If I had ever gotten around to learning mobile development, that was going to be my first app for learning.

Re: 'Coerced into tipping'? How apps are changing the culture of tipping in SF

#63
post #31

Earlier quoted context omitted.

In this scenario, especially in SF as a tech worker, you should feel guilty if you can afford to spare a dollar for someone on minimum wage for a tip but are reaching for the zero button. Having the iPad highlight your stingyness is not a problem with the technology.

I dunno I am in the exact category you describe but don’t feel obligated to. It is messed up to even have the new tipping system where you have to shamefully press “no tip”. I just paid $10 to get a sandwich in a paper box from a food truck, and you want a 20% tip for handing it out the window?

> where you have to shamefully press “no tip”

You don't have to.

I think if you can really easily spare a few dollars for someone who earns much less than you but choose not to there should be a little shame involved. Your feelings about not doing that are on you, not the iPad.

Re: 'Coerced into tipping'? How apps are changing the culture of tipping in SF

#64

I hate the tipping system ("tipping") in the US. It's so forced and only benefits the business owner. You should not have to rely on uncertain tips to make up a minimum wage that is just stupid. Both parties keep the system alive, someone has to break the cycle.

It's a mess but hard to fix. Customers can't unilaterally "break the cycle." They'd effectively just be underpaying for service.

Some restaurant owners have added automatic service charges or marked up prices to include service, but that's a mess too. If they mark up prices and customers don't realize service is included, they'll think the prices are too high and go elsewhere. If they add a mandatory service charge, customers might feel ripped off and will worry the fee doesn't really go to the servers or that they should still leave a tip.

Restaurant owners basically need to conspicuously state on the menu that service is included and the money will go to servers (and bussers, bartenders, etc.). But if you're a restaurant owner, do you want your menu dominated by a statement about your labor policies? There's a reason it's only really been tried by big name celebrity chefs, not your corner diner or Thai place.

Re: 'Coerced into tipping'? How apps are changing the culture of tipping in SF

#65
I’m more annoyed about sit down restaurants that automatically add “living wage fees” or “aca coverage costs” to bills before tip.

How is this acceptable? What other industry quotes prices that don’t include wage costs, then bill for a higher amount.

It’s particularly bad because pulling the percentage out of the tip lowers the percentage of the amount I pay that would go to the server (vs baking the price into the menu cost), so it’s dishonest pricing and also convoluted tip theft.

Re: 'Coerced into tipping'? How apps are changing the culture of tipping in SF

#66

So many comments here are talking about "defaulting" to tips or to 20% -- but I've never seen that on a Square or Square-type device. It always requires a signature and you have to explicitly press "18%", "20%", "25%" (or similar) or "No tip" button. I would be shocked if I ever saw a tip amount pre-selected for me (unless on a bill for a large party at restaurant, which has been standard for a long time now).

But those four are the defaults. And for someone just taking your order, the range from 18-25% doesn't match expectations. In those situations, $0.50, $1, or 10% all seem closer to what I'd tip. The point of the article is many people are now choosing 18%, since it's easier, and there's subtle pressure for them to do so.

Re: 'Coerced into tipping'? How apps are changing the culture of tipping in SF

#67

I am confused as to why it's standard to tip some low-paid workers but not others: * Fast-food workers do just as much work as coffee shop employees, why not tip them? * Workers at clothing stores take the time to fold your clothes nicely and box/bag them for you - why not tip them? * Grocery store checkout clerks in the city carefully bag up your goods so you can carry them with just two hands - why not tip them? *…

FWIW, tipped workers typically work for an hourly wage lower than the minimum wage, and are expected to earn the rest from tips. Most of the jobs you're talking about are not in the tipping wage category, and management just has to monitor carefully. Fast food has tons of computers to do exactly that, and even department stores have secret shoppers and cameras to observe staff. Grocery stores have crazy levels of cam…

Thanks for the well-written and thoughtful response, you make lots of good points here about how store management provides incentive to non-tipped workers.

> FWIW, tipped workers typically work for an hourly wage lower than the minimum wage, and are expected to earn the rest from tips.

That's true, and tipping those workers is something one ought to do. My post was primarily in reaction to tipping expanding to new frontiers of employees who are paid a "regular" wage such as most coffee shop workers or waiters in states where there is no special tipped minimum wage.

In these cases, it seems strange that one job (food-related service) deserves tips while other jobs do not. I've seen many posts recently such as "Tip the bill challenge proves humanity has a heart" or "20% minimum tip or else", but have seen no such calls to help employees in other fields.

It does seem like the obvious ideal is that people who work full-time hours are able to support themselves in a non-extravagant but livable way. I don't claim to know the correct economic solution to get there though!

Re: 'Coerced into tipping'? How apps are changing the culture of tipping in SF

#68
post #24

Earlier quoted context omitted.

Or you could just have a living minimum wage, lol.

yes, if the government could manage to pass a good law there :) but in the event that the government won't, tipping helps correct the situation.

Or it can be argued that tipping offers those who control the means to change the law (the elected lawmakers) the excuse they need not to.

Re: 'Coerced into tipping'? How apps are changing the culture of tipping in SF

#69

Earlier quoted context omitted.

I'm in CA so don't encounter this issue. Is it common in other states for workers in an establishment where you order at a counter and pick up your food from a counter to be paid a tipped minimum wage? I thought employers had to gross up employee pay if their hourly + tips didn't hit the non-tipped minimum wage?

> I thought employers had to gross up employee pay if their hourly + tips didn't hit the non-tipped minimum wage? Employers are required to do that. However, as is most often the case at the low end of the job ladder, enforcing your employment rights against your employer is a very efficient way to find yourself unemployed and--in smaller communities where "people are gonna talk"--blackballed from ever holding a job…

I totally understand that. I'm just wondering if anyone is aware of employers paying a tipped minimum wage to the sorts of businesses described (where employees interact with employees in the same way as in fast food establishments, roughly).

Re: 'Coerced into tipping'? How apps are changing the culture of tipping in SF

#70

Earlier quoted context omitted.

I used to feel the same, but then I started to appreciate just how fortunate I am to not have to work in retail. This isn’t because I’m better. It’s just because I was born into the right situation. I always tip now and use the experience as a reminder not to take my fortune for granted. It’s also a reminder that everything I have might be taken away at any time.

I don't think retail is a bad job. I would hate to be stuck at a computer all day writing code and dealing with non-technical managers and clients. Someone who works a job where they receive consistent tips can make a lot of money, and if it's in cash it's tax free. Plus the tips never go to the kitchen who do all the actual work.

Just because you don't personally pay tax on that income doesn't mean it's "tax free". You may be getting away with it (for now), but income is taxable, regardless of whether it's paid in cash.
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