Tip Creep?

A new way for customers to easily increase their tip!!!

http://www.lasvegassun.com/news/2015/feb/05/digital-payment-options-spread-so-does-tip-creep/

Somehow, I fear this may not sit well with the tip vigilantes...

 

Nor should it sit well. Nothing gets me back down to 15 percent like a default that goes to 20 or more.

 

People pay with plastic for a coffee?

 

I don't know about people but I put everything I can on plastic. If they let us put the mortgage on plastic we'd put it on plastic.

When you pay it off totally on cycle it is cash, but cash doesn't give you airline miles or what not.

P.S. I do have the Starbucks pay app on my phone, but that is recharged with a CC.

 

I always use plastic, or a store gift card, or a phone app. I hate getting a ton of coins, so using plastic is a great solution.

 

Offcourse! Im from Sweden and in some stores and coffee shops you dont have a choice since they dont accept cash any longer. Paying by card or phone apps is the future and paying with cash will soon be gone.

 

Seeing this reminded me of something:

When we were in Canada in the fall, everything was chip-card, which I've had for several years though Luddite American merchants are slow on the uptake. Anyway, you could either hit one of several specified tip amounts or enter a percentage on your own. I liked that.

 

I think I'm normally a generous tipper, but that is out of line!

At our local Ameristar buffet when you pay with a card, they have the suggested tip amounts there with the option to decline and tip at the table.

Yes, it annoys me when tips are added in automatically!

 

+1. I rarely have cash on me since I use my CC for everything. You know you can purchase a car with AMEX Platinum and Centurion cards at certain dealerships now?

 

That would be nice. I just tried to pay for my brother's new car with my platinum last month but they said they couldn't do it, they only took small down-payments on credit card.

The taxis here in NY only started doing the 20%, 25%, or 30% option a couple years ago. It used to be 15%, 20%, 25% and also had dollar options. Nonetheless if you wanted to it is still easy to just input your own amount to tip (whether by % or $ amount).

The article only gives passing reference to the fact that Uber has gone the opposite way with regards to tips and its growing at ridiculous speeds. I probably use Uber now more often than yellow cabs, though I don't use either all that much compared to other people. I'm more of a subway dweller or walker by nature.

I don't use Uber because of the no tipping, and I don't think most people use it for that reason, its not something I even think about. Its benefit is that it is fast, efficient, inexpensive, and easy. Adding an extra step into a transaction versus simplifying it, like these things mentioned in that article do, is just going in the other direction. I'd rather bet that innovators who come up with more seamless processes like Uber's will succeed. Not just those that simply copy something into a digital form.

 

If people are going to get suggestions for tips as high as 75% for functions where a tip is debatable to begin with, yeah, there will be some angst over this. I think people are going to start asking more and more why the employers are suggesting we tip more instead of them paying higher wages to begin with, a la the Marriott tip envelope controversy.

 

Could not do it here in WI, I tried. Best they would do was let me put $500 down as cash down payment.

 

Only at certain dealerships, primarily Audi/Acura/MB dealerships:
https://amexnetwork.truecar.com/main.html

 

Otherwise known as "high-margin" operations that can eat the 2-3% discount fee for a Visa/MC and higher for an AmEx

 

Yeah that $$ in fees has to come from somewhere, if they let you put the full amount on you didn't get the best price for sure.. On my wife's car the max charge (volvo) was $2k, the porsche dealer let me put $2500 max.. It also has something to do with it being a titled asset for potential chargebacks as you can easily spend over $2k in the service department and they will take a credit card no problem

 

Definitely but for those who want a MB, this can be a rather lucrative deal.

Let's say the total charge to your AMEX Plat is $60,000 and you have the AMEX MB Plat card, you can earn 300,000 AMEX points from this purchase alone. The points are enough for 3 round-trip Business Class tickets to Europe and one domestic Economy ticket. Not sure about you but I think it's a fantastic deal for those who want a MB. The fun part is paying off that $60K balance at the end of the billing statement

 

“We recommend 20 percent absolutely,” said Peter Post, managing director of the Emily Post Institute, which offers guidelines in etiquette.

Although I don't agree with 20%, I like that someone actually put their name to it. I never understood when "people" or "sources" or "industry guidelines" say what is appropriate. Who are these people? I think that 15% tip on a dinner today actually covers the cost of living increase of the same meal two years ago. So, Peter Post, I think your Institute should focus on the guidelines to giving good service and accepting the consequence (a low tip) when good service is not provided.

I haven't quite come to terms with splitting tips with the kitchen. The last time I was in Vegas I ordered steak & eggs for breakfast, over easy, medium. The eggs came back with clear liquid on top. I sent it back. It was the second time I have EVER sent something back to the kitchen. The eggs came back over hard and the steak was well. I wanted to send it back again for a new plate, but I was hungry. (Who goes to a restaurant when they're not hungry?) I wanted to ask if they split tips with the kitchen. I wanted to give the waiter a tip that would reflect his poor service of not bringing the meal I asked for. But I followed the perverse social rule that I would be considered a dick if I did. So I tipped the guy 15%.

 

Interesting report on this on the CBS news a few minutes ago, even cited the Emily Post Institute.

My guess is that this will be in rotation on their various news shows for the next day or so.

 

Another article on tip creep with some good advice at the end.

http://www.msn.com/en-us/money/spendingandborrowing/tip-creep-why-we-are-tipping-ever-more-nowadays-and-how-to-stop-doing-it/ar-AA90Ymc

 

On the subject of splitting tips for the kitchen, I always thought that the workers in the kitchen were paid wages higher than the wait help, so tipping for these workers were unnecessary.

Splitting tips with the bus help makes sense, I was told they are in the same boat as the wait help as far as wages.