A Blast from the Past

Wealthy Americans adopted the practice of tipping as they traveled about Europe in the mid-19th Century. At the time, trans-Atlantic aristocrats practiced this custom to elevate the perception of their social status among their well-to-do peers. Proto virtue-signaling aside, this custom eventually caught on stateside among the wealthy as well as the middle and lower classes. What was once a hoity-toity custom of the old-world bourgeois was systematically Americanized and introduced across all economic classes. Granted, those of lesser financial means were usually the recipients of gratuity because they were doing the actual services.

Tipping was spotty during the upheaval of the Civil War (1861-1865) and again during the chaos of Prohibition (1920-1933). Yet, the practice gained steam because business owners and operators were either unable or unwilling to pay a livable wage, and it was implied and accepted that workers such as waiters, bartenders, and railroad porters were to be tipped by customers to offset their paltry wages. The public generally complied, and tipping service industry workers eventually became an integral part of America’s economic DNA.

 

The Economic Reality

Today’s service industry business model exists due to the aforementioned dynamic. Bar and restaurant workers make the majority of their money from tips. It’s not that most business owners don’t want to pay their employees more—they simply can’t afford to do so without radically raising their prices and going belly up. If you have never owned or managed a bar or a restaurant, you are probably unaware that the profit margins are incredibly slim, as the operating expenses are exorbitant. This is especially true when it comes to Uncle Sam’s cut of the bottom line in the form of outrageous taxes on every last facet of a service-based business. After forking over sales tax, property tax, payroll tax, and insurance fees, then keeping up with inventory and other operating costs—some owners can barely afford to pay themselves. This is why tipped workers make so little of an hourly wage, because the business model cannot support higher wages —plain and simple. The only way to make this possible is for a business to raise its food and drink prices, in which case you – the end consumer—are still paying for the employees to make a living wage.

 

Time to Grow Up

If you are new to boozing in public places, take heed: Tipping is practiced everywhere, every day, from coast to coast. You will not escape it. This may sound redundant to most of you but, during my time working every side and facet of the service industry, I’ve found that many refuse to grasp hold of the concept. You should expect to tip, just like you should expect to visit the bathroom after five beers rather than just sitting there and peeing in your pants.

It is customary to tip 18% to 20% of the total value of a tab. If you are bar hopping and boozing on the “cash and carry” method, the same ratio applies from one round to the next. However, if you’ve lucked on to $2 drafts, you shouldn’t be tipping 40 cents. A dollar a drink is the minimum. If you plan to stay for a while and are using a credit or debit card, start a tab and close it only once when you are done guzzling for the night. Credit card processing companies are predatory, and they charge for every transaction, so opening and closing your tab every time you get a drink is hurting your beloved boozing hole’s bottom line. Also, and this will be a little controversial, you should calculate tip amounts during Happy Hour by the usual value of the drinks­—not the discounted prices.

And remember: you’re tipping for your own self-respect as well as the respect of the bar staff. You want to think of yourself as a swell and generous person, regardless of what you do other times. (Which might explain why mob bosses were almost always extravagant tippers.)

If you think you can stiff the staff of your neighborhood bar and keep your social reputation squeaky clean, think again. Being a cheap-ass will earn you disfavor with the bartenders and servers, and if you listen closely, you just might be able to hear their collective moans of disgust each time you walk in the door. They might be polite and smile to your face but make no mistake—you are reviled in their back-of-the-house conversations, and you are the butt of many demeaning put-downs and cruel jokes. Plus, when the place really gets jumping, and you suddenly find you can’t get a drink because they are deliberately ignoring you, now you know why.

 

Embrace the Facts

When you go out drinking, whether it is for a couple of happy hour beers on a weekday afternoon or a couple dozen rounds during a weekend bender, your good tipping etiquette should be as natural as always toasting before shots and always finishing the last drop of beer in a pint glass. Tipping is akin to the great American traditions of saying “please and thank you,” of holding the door for elders and ladies, and of expressing gratitude when someone exerts themselves to get you what you need—especially when there are three dozen others vying for that server’s attention. Thus, the term “gratuity,” which means gratitude.

Lastly, leaving a good tip does not entitle you to free drinks or preferential service. While it certainly doesn’t hurt your chances, you should never expect it just because you are doing your part as a good bar patron. You extend gratuity because that is the name of the game—a hard-and-fast rule within a set of drinking dynamics that were ingrained into society long before you discovered booze and will be in place long after you have shuffled off to the Great Lounge in the Sky, where you should tip as well. So, order quickly and clearly, tip generously, and get the hell out of the way so the next person can get a drink.

—Luke Schmaltz

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