Why do we tip people?

[MarcusF]

@Balthisar

Well, yes, but it’s not an in-the-face-your-government-is-evil-maneuver. In most cases, it’s the government that mandates it under force of law.

No one is ever surprised by this; unless you’re some sort of foreigner, it’s expected. Everyone knows that a $3.95 item isn’t going to ring up at exactly $3.95 after sales taxes are applied. There’s also the added factor that in some states, every county and/or city has a different taxation level. It’s really nice to compare apples with apples. On that note, how do you do that in VAT countries? How much am I paying in taxes? Is the price difference due to market gouging, or VAT, or short supply here, or some other consideration?

And for convenience, well, either carry change, write a check, or use a credit/debit card.

As a foreigner I have to say I did find it weird - at least to start with. Not saying its bad, it’s just different. Given that different locations have different rates, don’t visitors find it annoying not being sure how much they are actually going to have to pay?

Wrt comparing prices in VAT counties, in the UK at least local authorities can’t impose sales taxes and the rate of VAT is standard across the country. Of course it varies from country to country across the EU but there are lot of other factors affecting prices as you travel around Europe.

[Acsenray]

@MarcusF

As a foreigner I have to say I did find it weird - at least to start with. Not saying its bad, it’s just different. Given that different locations have different rates, don’t visitors find it annoying not being sure how much they are actually going to have to pay?

We know the sale price is going to be approximately 2 to 10 percent more than the listed price (at a restaurant, 15 to 25 percent more). Beyond that, what’s the need for precise prior knowledge?

[Sapo]

@CookingWithGas

I do not know the true history of tipping in industrialized nations, but in third world countries (at least in Egypt, where I have visited) you tip just about anybody who does anything at all for you.

Same in Venezuela. You tip just about everybody. At first I always felt terrible here in PR because nobody was tipping anyone for anything.

Also, there are many jobs with no salary. All they make is tips. Gas station attendants (even uniformed ones), delivery people and supermarket baggers are rarely salaried. Waiters only have nominal salaries. Tips are their income.

The thing is that in these cases, you know the tip is going straight into that person’s pocket. You tip to reward service and to improve your chances of good service the next time around (oh yes, they remember).

The problem is when that money goes into a pool where everybody gets the same tip disregarding quality of service.

[Balthisar]

@MarcusF

As a foreigner I have to say I did find it weird - at least to start with. Not saying its bad, it’s just different. Given that different locations have different rates, don’t visitors find it annoying not being sure how much they are actually going to have to pay?

I don’t know… every country I’ve been to has been a VAT country. The only real surprises are the hotel taxes and fees. As I travel about the USA where sales taxes vary, I don’t find it annoying. Of course I already know beforehand that the rate can be all over the place, so I know that there’s going to be something extra to pay. How much isn’t really relevant, because if I don’t have enough money to travel (i.e., if I were to have to count every penny), then I just don’t travel; there’s no fun in that kind of trip.