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AIBU?

Share your dilemmas and get honest opinions from other Mumsnetters.

Original poster

Not to pay service charge at restaurant

86 replies

ThesecondLEM · 31/12/2023 12:19

So we went out last night, had a lovely meal, great service. Pricey, but we knew this. 12.5% discretionary service charge added to bill, which of course we paid happily.

DP prefers to be given the choice to tip, I think it makes it easier.

It then occurred to me that when handing over a tip for good service I'm reasonably confident the staff receive this (hopefully tax free) to boost their wages. I'm wondering if this happens when the service is automatically added as part of the bill. Especially in larger/chain resturants if it just goes into the profits?

I'm not interested in boosting company profits, I'm wanting to say thank you to staff for their hard work. Saying that, might someone who works in a restaurant where tips are extra?

OP posts:
Brefugee · 31/12/2023 12:22

i always ask for a service charge to be removed. I check with the staff that they get the tips, and usually also ask how they are split.

If there is indication that not paying cash tips ends up with management, i pay my (service free) bill with my card and hand the cash tip to the waiter.

MiIIieee · 31/12/2023 12:23

I dont think it should be on the bill at all. We pay it like, but it shouldn't be on there. It should be a personal choice to tip.

Starzinsky · 31/12/2023 12:52

I think it's mixed bag as to whether it goes to the company or staff currently. There is a new law coming into force in 2024 which means all service charges have to be given to staff. I do absolutely hate added service charges and I don't really understand how it has become more common when we now pay higher meals prices to cover increases in minimum wage, pension etc which further inflates the service charge. I would rather pay sightly higher prices and know that staff are getting a fair basic wage. I hate it being a set % too as often my family buy the most expensive thing on the menu so often the amount charged seems excessive for the actual amount of service received.

BeckyBloomwood3 · 31/12/2023 12:55

Starzinsky · 31/12/2023 12:52

I think it's mixed bag as to whether it goes to the company or staff currently. There is a new law coming into force in 2024 which means all service charges have to be given to staff. I do absolutely hate added service charges and I don't really understand how it has become more common when we now pay higher meals prices to cover increases in minimum wage, pension etc which further inflates the service charge. I would rather pay sightly higher prices and know that staff are getting a fair basic wage. I hate it being a set % too as often my family buy the most expensive thing on the menu so often the amount charged seems excessive for the actual amount of service received.

This.
An expensive bottle of wine (or several) that doesn't require extra 'service' more than a lot of 'cheaper' side dishes.

Kwasi · 31/12/2023 13:07

Why should the staff receive tax-free income? It's not like it's America where servers are paid a dollar an hour.

WhateverMate · 31/12/2023 13:08

I always make sure I've got cash and hand it to the server.

HelpMeGetThrough · 31/12/2023 13:16

I get this in hotels when travelling for work, bill comes out with it added. I get it removed, as the company won't reimburse that on my expenses.

honeyandfizz · 31/12/2023 13:25

WhateverMate · 31/12/2023 13:08

I always make sure I've got cash and hand it to the server.

DS works in a restaurant and is not allowed to keep any cash tips that are given to him they have to go in the tip jar. All of the gratuity is divided between all the workers - bars staff, kitchen staff etc. Can't help think it is a bit of a fiddle though.

ActDottie · 31/12/2023 13:58

My understanding is it is illegal for the tips not to go to staff. Places I’ve worked and where my friends have worked we get tips added to our payslip each month or each quarter.

My friend was a manager in a hotel and got around £500 every quarter in tips.

ActDottie · 31/12/2023 13:58

honeyandfizz · 31/12/2023 13:25

DS works in a restaurant and is not allowed to keep any cash tips that are given to him they have to go in the tip jar. All of the gratuity is divided between all the workers - bars staff, kitchen staff etc. Can't help think it is a bit of a fiddle though.

Show quote history

This. All tips go into one pot and divided between all staff so it’s fair.

LordBummenbachsMagnificentBalls · 31/12/2023 14:02

I really do object to the service charge automatically being added to the bill lately, it means you have to make a point of asking for it to be removed and dictates how much is expected.

the point of the standard 10% charge is based on an American system of food being cheaper because the tips subsidise the cost of labour, but food prices in restaurants aren’t similar costs in the UK. Expecting customers to also pay a percentage to servers is not comparable if we are also paying higher costs for food

BeckyBloomwood3 · 31/12/2023 14:06

Starzinsky · 31/12/2023 12:52

I think it's mixed bag as to whether it goes to the company or staff currently. There is a new law coming into force in 2024 which means all service charges have to be given to staff. I do absolutely hate added service charges and I don't really understand how it has become more common when we now pay higher meals prices to cover increases in minimum wage, pension etc which further inflates the service charge. I would rather pay sightly higher prices and know that staff are getting a fair basic wage. I hate it being a set % too as often my family buy the most expensive thing on the menu so often the amount charged seems excessive for the actual amount of service received.

What a waste of legislative effort. They should've just banned service charges instead. I say that as a former hospitality industry employee.

ComfortableAtLastTookLongEnough · 31/12/2023 14:06

The waiting staff couldn’t do their part of the job without the chef’s, commis’s, KP’s, the meeters and greeters, so I think the one pot system works well, so long as it is not including management, who are generally well paid.

OnTheRoll · 31/12/2023 14:11

ComfortableAtLastTookLongEnough · 31/12/2023 14:06

The waiting staff couldn’t do their part of the job without the chef’s, commis’s, KP’s, the meeters and greeters, so I think the one pot system works well, so long as it is not including management, who are generally well paid.

They all already receive their wages, no?

Britpopbaby · 31/12/2023 14:27

I thought you had to be notified before hand that a service charge was to be added and that is what has guided me in terms of tipping. I had a meal ruined because I made a point of this and the subsequent discussion around this situation between the waitresses and the manager right next to me spoilt the meal that I had ordered.

Original poster
ThesecondLEM · 31/12/2023 14:27

I agree that all members should get tip,I think, I couldbe wrong, that waiting staff get less money?

OP posts:
WellThisIsFun1 · 31/12/2023 14:30

Service charges must get distributed to the team via their wages, which of course is taxed.

Companies can't just keep it for themselves

Ladybughello · 31/12/2023 14:37

Just ask the waiter/waitress whether the £ goes to them or not. In my experience they always appreciate the question. And definitely don’t use it as an excuse not to tip if the service was good!

TeacherPlease · 31/12/2023 14:42

LordBummenbachsMagnificentBalls · 31/12/2023 14:02

I really do object to the service charge automatically being added to the bill lately, it means you have to make a point of asking for it to be removed and dictates how much is expected.

the point of the standard 10% charge is based on an American system of food being cheaper because the tips subsidise the cost of labour, but food prices in restaurants aren’t similar costs in the UK. Expecting customers to also pay a percentage to servers is not comparable if we are also paying higher costs for food

When did you last go to America? Last time I went, restaurant prices were definitely comparable and often higher than ours, before you even factor in a tip.

jackstini · 31/12/2023 14:42

I do tend to ask the server what happens to tips and am pleased the law is changing to make sure any tips given do go to the staff, not just kept by the restaurant

Dd works in an independent restaurant and all tips (cash or credit card on bill) go into one pot and get divided up between staff each week pro-rata depending on hours worked
They get it in cash in the same envelope as their weekly pay slip

HappiestSleeping · 31/12/2023 14:49

Kwasi · 31/12/2023 13:07

Why should the staff receive tax-free income? It's not like it's America where servers are paid a dollar an hour.

They don't. It doesn't matter whether the tip is payed by card or cash, the recipient still should pay tax on it (at least, that is the situation in the UK. Whether they declare it is a different question). I think the OP was more asking about whether the establishment keep it, or some of it vs it going entirely to the serving staff (less whatever tax they have to pay on it, per above).

Agapornis · 31/12/2023 14:50

Ask the person serving you, it's the only way of knowing for sure. I've been doing this for years because it varies greatly. In some places they got to keep cash tips but not card ('add gratuity' Hmm). Just because the law changes doesn't mean restaurants will adhere to it. I've worked in a shop with a cash tip jar that was never shared with staff.

NorthernGirlie · 31/12/2023 14:53

I always ask the staff. Some places they only get it if it's separate.

A student of mine works at a semi chain place in the North East (as in there's a few restaurants of the same name - cheap Italian food if any8ne from up here reads this) and he said they're not allowed to keep any tips. The manager takes them - so I don't tip if we go there.

ScottishDora · 31/12/2023 15:11

I work at resort that adds a service charge and its dividend between all staff in the resort, including back of house staff, like finance and maintenance but the food and beverage staff get a bigger share.

LaughingCat · 31/12/2023 15:16

I’ve worked in lots of places and they’re all different. Cash tips are always preferred because you keep the tips for the tables you run minus a small proportion to kitchen or drinks dispense - there’s nothing worse than being good both at your job and with people, but getting an equal share of the card tips with Anna, who’s forgetful, slow and rude, and brought feck all tips in herself. Obviously (to anyone working at HMRC), I have always declared my cash tips throughout my working life in order to pay my tax on them, as automatically happens with my card tips. Pinkie promise.

I hate auto-service charges. I’m a generous tipper if the service was good. Let me choose how much I want to give. My DH is of the mind that you give a tip every time as his nan always told him that you’ve no clue what is going on in that wait staff’s life, so not to judge them on their behaviour that day. But equally doesn’t like to be told how much he should give on the assumption that you will tip.

Sone places I’ve worked have included the card tips in my weekly payslip, some have included them ‘after tills have been balanced’ to make up any shortfalls, some places have only allowed me to keep cash tips and not card, one place said I was not allowed to keep cash or card tips, and insisted on a full body search before and after my shift to make sure. I, obviously, never went back after that shift (which was at a cafe for a freaking science museum).

The only way to know your server’s going to get the tips for sure is to leave cash on the table or check with them, personally.