Automatic, Unannounced Tips on Your Bill

[TCD]

If a restaurant is going to impose an automatic gratuity policy for large parties the diner is entitled to a verbal notification of the policy.  It can be done at the time of reservation, upon being seated or when the check is presented.  It would behoove the restaurant to do so, plus elimanate any of these "mistakes" that may happen.  Just my 2 cents.

"Hi folks, my name is Tommy and I'll be your server this evening.  Since there are 6 or more people at the table tonight we'll be adding that 18% service charge stated on the menu for service, but feel free to tip me more 'cause I'm cute.  Now, can I take your orders.  Split the pasta as an appetizer.  Sure, no problem, but just in case you didn't see it on the menu, there  is an extra charge for splitting plates.   For your entree?  The sea bass.  You do know that costs $26.  I know it says it on the menu but we just like to confirm all the item charges stated on the menu.  We had a problem last Mother's Day."

[TCD]

I do feel bad though, as I am sure many people are probably duped by this scam.  

this "scam" is being perpetrated at just about every restaurant on the globe every single day.  it's probably more of a conspiracy at this point, wouldn't you say?

They killed Kennedy too, you know.  This is a bigger scandal than Enron.

[phaelon56]

Which restaurant did this may be of interest to many but  caveat emptor - it's becoming a common practice. I just read a travel forum trip report for an NY'er who went to South Beach last month - they ran into this almost everywhere they ate. I suspect the software that restaurants use has recently been upgraded to include this "feature" as i have run into in the NYC area on several occasions lately (always with a party of two or four so it's definitely not the large party thing). keep in mind that the receipt is usually printed wiht the added in gratuity ABOVE the total - they are not taxing it but a computerized register can print it wherever it chooses. It IS very deceiving even for those of us who scan the check (which I always do). There is always a separate blank area for tip and the "included" gratuity is NOT adjacent to it on the receipt. Can't wait to see what happens if I ever get such horrible, insulting service that I decide not to tip (has only happened once in my life but it can happen).

[tommy]

(always with a party of two or four so it's definitely not the large party thing). keep in mind that the receipt is usually printed wiht the added in gratuity ABOVE the total - they are not taxing it but a computerized register can print it wherever it chooses. It IS very deceiving even for those of us who scan the check (which I always do). There is always a separate blank area for tip and the "included" gratuity is NOT adjacent to it on the receipt. Can't wait to see what happens if I ever get such horrible, insulting service that I decide not to tip (has only happened once in my life but it can happen).

(always with a party of two or four so it's definitely not the large party thing).

2 or 4, tip included?  i'd be interested in what types of places in the NYC you go to that would include the gratuity on a table of 2.

keep in mind that the receipt is usually printed wiht the added in gratuity ABOVE the total...It IS very deceiving

common practice dictates the the "Total" line is, in fact ,the "total" and would include the included gratuity.  otherwise the credit card slip would come back to the table with a number different than the "total."  i'm pretty sure this wouldn't fly.

There is always a separate blank area for tip and the "included" gratuity is NOT adjacent to it on the receipt.

i'm not sure i can picture what you're saying.  the blank area for the tip is on the credit card slip.  and the credit card slip wouldn't have an amount for the included gratuity, so of course they wouldn't be adjacent.  they are on two completely different pieces of paper.

never in egullet history has a thread attracted so many first time posters.  and it's not even a very interesting thread.  strange.

[phaelon56]

It's completely coincidental that I'm a first time poster but it's understandable that many lurkers would register i order to reply to this. It's a hot topic that gets many of us a bit ticked off because the way in which this is done is a bit deceptive in some places depending on how the ticket is printed. I don't even recall where this happened to me in NYC but I think it was eother Alley's End on W. 1th between 8th and 9th or at Raymond's Cafe on 7th between W 15th and 16th (maybe at both). IIRC here's how the slip format works - keep in mind that this is NOT the credit card slip that you may be accustomed to seeing - it's the itemized bill on which you add gratuity. After doing this they bring back a copy showing only subtotal, tax and total which you then sign off on. You receive a carbon of the signed copy as well as a copy of the itemized bill but BOTH copies are printed by the restaurant's computerized register system - there is not traditional credit card slip that is run through an imprinter.  

Looks like this:

soup          2.50

salad          4.00

entree        12.00

dessert         6.00

18% gratuity  4.41

subtotal       24.50

Tip            

Total          

You'll note that they do NOT tax the tip but it is posiitioned as though it were a line item. I strongly suspect that this is  "feature" of some software package that is being sold to restaurants and you'll begin seeing it in more and more places. I ahve seen it in other cities (Philly) recently as well. I agree that it's deceptive but it's probably legal because they clearly state that it is a gratuity.  Then again maybe not because in none of these places was there any notification on the menu or elsewhere that they were doing this.  A system I've seen in use in only one place that makes much more sense works like this:

                       soup          2.50

                       salad          4.00

                       entree        12.00

                       dessert         6.00

                       subtotal       24.50

                       Tax               2.45

Tips  

18% = 4.41         Tip                                    

20% = 4.90            

22% = 5.39         Total          

When I first saw this format I realized that the software let's them print the darn receipt in any old format they choose - how come more places aren't doing this? It's totally ethical and I appreciated because so many peopleI dine with stop and start doing all sorts of mental gyrations to figure the tip. It's nice to see it printed as a precalculate amount that you can choose... IF you choose to . I agree that it sucks when it's already hidden in the check but this appears to be on its way to becoming a common practice.

[tommy]

Tips  

18% = 4.41         Tip                                    

20% = 4.90            

22% = 5.39         Total          

i can hear people complaining already..."how dare they suggest that i tip so much blah blah blah blah blah"

[Basildog]

OK here's what we do at our little place in Cornwall..Hand written bills (scrawled when i do them )..No service charge... We have space on the credit card slip for a gratuity if the guest wishes to add something.We then complete the transaction and give the guest  the 2nd slip. It is amazing the amount of people who are surprised to be given the completion slip.It shows what the total transaction has been.Insist on it ! You are open to  being ripped off if you don,t get the 2nd slip.Maybe its a British thing, Americans are more on the ball when it comes to credit cards IMHO

[phaelon56]

You're right about the complainers but they're proabably the same ones who would want the bill to show tip amounts for10% and 12% also in addition to 15%!

I forgot to mention that once you add the tip (on the initial bill where gratuity has been included above the subtotal)... the slip they bring back for you to sign ONLY shows subtotal, tax and empty line for tip. Keep in mind that they are stoll NOT taxing the tip and they are also giving you a separate itemized copy that actually shows the tip they included.  I'm guessing that it's not intentional sleazy behavior but I'd also guess that not one single proprietor or server has called a patron afterwards or mentioend to them at the time that they might be mistakenly double tipping. I routinely tip 18% to 20% for adequate service and more for exceptional but I NEVER ever tip 36% to 40% unless it's a small check in a greasy spoon where the server is running their as* off and deserves it because the darn check is so small (I'm originally from Syracuse where you can still get a breakfast with two eggs, toast, homefries and coffee for $2.50-$2.95 in some joints).

[Wilfrid]

This thread is increasingly mysterious.  By far the majority of restaurants, in my experience in the States, do not add service, except for large parties.  Therefore, they need to have space for a tip on the credit card slip.  Many posts above, I thought there was a consensus that a restaurant shouldn't be expected to provide differently designed credit card slips for different tables.  So what do you want them to do?  Scratch a line through the space for the tip if it's already included?  Fine.  I manage to do that myself, without any great difficulty.  But sure, let's lobby for restaurants to do that.  If it really matters.

[phaelon56]

Wilfrid -  I agree that the majority of restaurants do not include gratuity but it appears to be happening with more frequency in major cities and is sure to spread out to other areas as well. I don't see the mystery in it - people are justifiably concerned that they may inadvertantly double the tip. The restaurants that do this do not offer different credit card slip formats to different tables - if service was of the 18% caliber I just draw a line through the extra tip space - if it was deserving of more I add in an appropriate extra amount. As you point out - very simple to do. Regardless... the way the "included tip" is positioned on the slips I've seen is deceptive - it actually apppears as though it were a line item on the bill.

[TheBoatMan]

never in egullet history has a thread attracted so many first time posters.  and it's not even a very interesting thread.  strange.

Tommy,

Now that's a subjective statement.  Who made you the reigning deity on what is an interesting thread and what is not?

[tommy]

Now that's a subjective statement.  

of course it is.  it's my opinion for christ's sake.  and it was in no way meant as an insult to you, but rather as an opinion of how the thread has progressed.  however, if your rather harsh words were meant to offend me or put me in a bad light, i would certainly not hesitate to say "fuck off."

[Lreda]

O.K. now this thread is progressing. At my place we add 18% of parties of 10 or more. When the tip is included it is added  based on food & liquor and NOT TAX. I will let go of a server if they do not follow this rule. As for Boat man getting the shaft on Mother's Day the responsibility falls square on the restaurant. At the end of the day when doing the talley whether it's done by comuter terminals or the old hand wriiten style. ( Of which I prefer) The owner or manager would have noticed the over charging. Then could have called the customer to let them know there was a mistake. After all we all take phone numbers with reservations.

[TheBoatMan]

if your rather harsh words were meant to offend me or put me in a bad light, i would certainly not hesitate to say "fuck off."

How do I respond to such brilliance?  You must have received an 'A' in debate.  I bow to your intellectual superiority.  Should I be scared now?  

FYI, my words were not harsh, merely a question.  It is you that have resorted to profanity.

[tommy]

How do I respond to such brilliance?  You must have received an 'A' in debate.  I bow to your intellectual superiority.  

i'm picking up your sarcasm.  :wow:

[TheBoatMan]

How do I respond to such brilliance?  You must have received an 'A' in debate.  I bow to your intellectual superiority.  

i'm picking up your sarcasm.  :wow:

Tommy, that is impossible but I thank you for the compliment.  My halfhearted attempts at sarcasm are inspired by some of yours and TCD’s magnificent posts.  I am attempting to follow in the footsteps of greatness.

[Wilfrid]

Lighten up guys.  Boatman, any question beginning "Who made you the reigning deity..." can hardly be described as "merely a question."  Tommy thinks the thread is uninteresting.  On this occasion I agree.  If you read other threads, you'll find I don't always agree with Tommy.  Sometimes I call him a bowl of porridge.  

Incidentally, I think the States should forget the whole tipping thing.  Other countries do without it.  But that's a whole other thread, probably for the General board.

[thereuare]

As i'm in the process of planning a rehersal dinner, i will add that one restaurant we considered has a policy of adding a 21% gratuity to the bill.

I thought that was a little "double dipping."

[phaelon56]

I'd guess that some portion fo the 21% will NOT ever reach the waitstaff. I worked part-time as a bartender for a lrage caterer in Syracuse NY for several years. Customers were charge a 15% "service charge" which they assumed was a gratuity of sorts. Hardly.  It was used to fray or cover the cost of hourly wages for barstaff and waitstaff. granted, we made far more than restaurant minimum and we were never led to believe that we would receive tips but IMHO it was a sleazy practice and one that I'm sure is in effect in any number of places that do banquets or catering.  If I got a 15% cut of the bar tab at most of those functions I would have earned far more per hour than I did but the reality was that I needed the money and they were good people ot work for in all respects (hey... they never lied to me about the service charge but I still think it's wrong to let customers assume things that aren't true).

[ngatti]

Many years ago I worked at a large hotel where the grat added to a catered affair was a derigeur 18.5%.  By union rule, 13.5 went to the various waitstaff (including busboys, bartenders and barbacks).  The Executive Chef got a half pt.  The Captains got a larger percentage to split.  The Maitre'd got his pts. and the remaining grat went to the catering director and his assistant.  There was a small piece leftover that  went to a general slush fund, which financed various staff social events during the year.  

Just a point of general info.

   

    I can also assure you that what you have just mentioned goes on in many places.  that is to say, management keeps the entire grat and pays the waitstaff  an hourly wage.

Nick

[ngatti]

Being in the business, I like to think that I tip well (20% or so).

Even for less than perfect service  (many things aren't the fault of the waitstaff).  damn, I usually leave 2 bucks on my 5 dollar breakfast special at the local diner.  

    That said, I find the automatic adding of gratuity irksome.  I have no problem with the grat being added to parties of 5 (6,7,8) or more.  But when 14 or 15 or 18% is added to every check.  Well then I get annoyed.  I then let the grat stand and usually let the waitron know that since the establishment they work for was presumptuous enough to add the grat to the bill then that is the amount that the grat shall be.  No more , no less and no matter the level of service.   If that seems unfair than maybe they'll complain loudly to their owners and get the practice changed or else quit and move on to classier establishment.  The practice is rude and not worthy of a first class establishment.

Nick

[TCD]

I am attempting to follow in the footsteps of greatness.

Doomed to failure you will be.

[dodge621]

[Tommy thinks the thread is uninteresting]

So. And what is your point

[tommy]

yawn.

[Wilfrid]

If you want my point, I think the issues about the tipping culture in general, the size of tips expected, and how the tips get distributed, are all interesting questions.

What I thought we had beaten to death was the issue of the tip being left open on a credit card slip even though it was already included - a practice so widespread that it really shouldn't mislead anyone - and the related issue of where items are printed on the bill.  Yawn, indeed.

Since this really isn't a New Jersey issue, why doesn't someone open up the topic on the General board?  It maybe because I was raised in Europe, where tipping culture was different, but I am pretty unhappy being expected to tip a fifth or more of my bill, especially when a large proportion of that simply reflects the price of the wine.  You all seem to be happy with that - including Tommy.  What would make you unhappy: 30%? 40%?