Webster's Dictionary defines the word "TIP" as a money gift as an
acknowledgement for a service rendered.
Tips vary differently depending on the service rendered. In the restaurant industry a waiter or waitress is typically given a 15 percent to 20 percent tip. This tip should be calculated on the service total and not on the total bill, which can include a sales tax. The tip can be calculated by several methods.
1. The calculator
The customer enters the bills total (excluding the sales tax) into the calculator and then pushes the times (X) button. He/she then enters the number 15 (for 15%) and then pushed the percent (%) button to display the 15% tip amount on the bill.
Example on a 50 dollar bill: 50 × 15 % (display shows) 7.5
2. Mental math (1)
The customer looks at the bills total (excluding the sales tax) and mentally takes 10% of that number and stores this number in his/her head. He/she then takes this 10% figure and divides this number in half. Then mentally he/she adds this figure to the first number to arrive at a 15% tip amount on the bill.
Example on a 50 dollar bill: 50 × 10 % = 5 M+, 5 ÷ 2 = 2.5 M+ RM (display shows) 7.5
3. Mental math (2)
The customer looks at the bills total (excluding the sales tax) and mentally multiplies this number by three (3). He/she then takes this figure and divides this number in half to arrive at a 15% tip amount on the bill. Note: Remember to move the decimal point over one place for the percent calculation.
Example on a 50 dollar bill: 50 × 3 = 150 ÷ 2 = (display shows) 75 (move decimal point over one place to the left)
4. State sales tax (where applicable)
If the states sales tax on the restaurants bill is 5% of the total service, multiplying this amount by three (3) will result in a 15 percent tip. If the states sales tax on the bill is 7% multiplying this amount by three (3) will leave a 21 percent tip.
5. Tipping Guide - chart (Tipping Guide)
A tipping guide typically has three columns with one marked "Bill$", one marked "15%" and another marked "20%". The first column marked "Bill$" are numbered 1.00 to 100 dollars for the bills total charge. The columns marked "15%" and "20%" respectively are the amount on that particular line for the bills total charge. The customer looks at the "Tipping Guide" chart and finds the amount of the bill under the "Bill$" column. He/she then reads horizontally across that line to fine the appreciate 15% or 20% tip amount on the bill.
In tipping a food delivery person many factors should be considered in determining a proper tip
All of the above items should be considered in determining your tip. Ask yourself, if I were making this delivery would I be happy/pleased/satisfied with the tip the person gave me?
Of the 52 states in the United States, five (5) states have no sales tax (Alaska, Delaware, Montana, New Hampshire and Oregon). Colorado has the lowest state sales tax at 2.9 percent with Mississippi, Rhode Island and Tennessee having the highest at 7 percent. The sales tax of all the other states falls between no sales tax and the 7 percent rate.
This state sales tax information was compiled from information taken from the Sales Tax Clearing House (www.thestc.com) and other sites.