Tipping when 20% tip is already (and openly) added to the bill.

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When you run a small business you are caught between the devil and the deep blue. You almost have to accept the major cards for your customers. Especially now, it is probably more important than when I had mine.
 
Added to the bill tips are becoming more and more accepted. I went to a restaurant the other day. The waiter was so great, when bill came and I saw 18% tip added, I felt it was insufficient for the service she provided. I paid with a card and then gave her I think like $5 or 6 bucks cash. She was so grateful. I really think it all depends on the situation.
 
got to wondering about "minimum wage" and checked for PA.
it's currently still the Federal $7.xx/hr
the PA legislature is 'working on' increasing the min. wage to $15/hr - but it's still being 'worked out' in the smoky back room . . . I'm not looking forward to what gets 'porked in' to get it 'worked out'

the myth that one should tip 50% because waitstaff only get paid $2.83/hr (Federal tip credit) is total bunk. if tips + $2.83/hr don't add up to minimum wage, then the employer must pay more than the $2.83/hr to make up for the difference.

so, in PA I tip more generously. in California, where the minimum wage is now $15.50, going to $16/hr 1 Jan . . . , I tip less.
the point is, the tipping thing is a total mess now in USA. restos should be applauded for "price includes service and gratuity"

famously to note... a couple big names tried the 'no tipping' approach and backtracked.
seems the best waitstaff were not happy with being paid a "living wage & benefits" and quit for jobs where they got tips.
for those sobbing at the plight of the waitstaff, that's all you need to know . . .
 
...the myth that one should tip 50% because waitstaff only get paid $2.83/hr (Federal tip credit) is total bunk. if tips + $2.83/hr don't add up to minimum wage, then the employer must pay more than the $2.83/hr to make up for the difference.
....
That's been the law since I remember back in the 1970's (probably before that).
If and when that happens, that someone doesn't make at least minimum wage, it's because there isn't enough business to support the number of servers, poor management. It just didn't happen.
 
You must be from the US, where a lot of places don't have a minimum wage floor for servers, or if they do, it's in the range of 2, 3 dollars per hour, which isn't enough for people to live on.

If I were you, I would petition the local government to raise the minimum wage for waitstaff. It doesn't sound right to force restaurant patrons to pay more to subsidize servers' livelihood.
 
When i was doing some research on credit card fees for a small business around 18 months ago, they were quoting high 2% up to high 3% depending on volume of business. A lot also had per transaction fees as well.
I have accepted credit cards for business since the early 1990s. They used to be a simple 1-2%. Amex was always on the high end, followed by DIscover, then MC and VIsa. Once the DIscover model of 'cashback' became popular, fees wnet up to fund it. In the 90s, I had to make sure that all of my retail prices included an extra 2-3% to allow for the credit card fees.

Then came the advent of miles, travel points, higer cashbacks, etc. If your credit card is giving you 1-2-3 points back toward anything, they are charging the vendor for that imbedded in the credit card processing fees. They have created elaborate charts for the vendors dictating the fee for eacch card offered. It's a nightmare for the vendor, so they just have to accept them all, and build an average into their overall overhead and costs to the customer.

At this poiint, you can pretty much figure that most establishments have 3-5% built into their procing.
 
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I have accepted credit cards for business since the early 1990s. They used to be a simple 1-2%. Amex was always on the high end, followed by DIscover, then MC and VIsa. Once the DIscover model of 'cashback' became popular, fees wnet up to fund it. In the 90s, I had to make sure that all of my retail prices included an extra 2-3% to allow for the credit card fees.

Then came the advent of miles, travel points, higer cashbacks, etc. If your credit card is giving you 1-2-3 points back toward anything, they are charging the vendor for that imbedded in the credit card processing fees. They have created elaborate charts for the vendors dictating the fee for eacch card offered. It's a nightmare for the vendor, so they just have to accept them all, and build an average into their overall overhead and costs to the customer.

At this poiint, you can pretty much figure that most establishments have 3-5% built into their procing.
I see it as a penalty for people that pay cash. 😉
 
Funny thing is Aunt Bea, a lot of places don't want to accept cash! I mean, they will, but I've seen them mighty unhappy about it. What is weird is that with their padding built in, that cash is just extra in their pocket.
 
I see it as a penalty for people that pay cash. 😉
Years ago, it was written in the merchant contract with the credit card company that they could not charge a fee for using credit cards. Vendors were forced to average it into all of their pricing, effectively making cash customers bear part of the cost. Eventually that got thrown out in court, and now you frequently see merchants charging different prices for cash and credit.
 
We use credit cards for home improvement stores and amazon. We order dry goods from azure standard, so a credit card. We have our food budget in cash. We haven't eaten out in a few years.
 
Years ago, it was written in the merchant contract with the credit card company that they could not charge a fee for using credit cards. Vendors were forced to average it into all of their pricing, effectively making cash customers bear part of the cost. Eventually that got thrown out in court, and now you frequently see merchants charging different prices for cash and credit.
That used to be true in this area but not anymore

It used to be a bargaining chip when paying for big ticket purchases, auto repairs, etc…

Since the pandemic I’ve converted to credit but I prefer to use cash and still maintain an emergency cash hoard.

Maybe it’s because I didn’t have any cash when I was young. 🤔
 
I still keep some cash in my wallet but rarely use it. I always saved pocket change at the end of the day and dumped it into a jar to be cashed in when full. I haven't been able to fill a jar for years. It's too easy to whip out my CC along with the added benefit of 1% to 4% cash back after the end of the year.
 
Funny thing is Aunt Bea, a lot of places don't want to accept cash! I mean, they will, but I've seen them mighty unhappy about it. What is weird is that with their padding built in, that cash is just extra in their pocket.
Funny thing is Aunt Bea, a lot of places don't want to accept cash! I mean, they will, but I've seen them mighty unhappy about it. What is weird is that with their padding built in, that cash is just extra in their pocket.
I understand.

Credit is much easier, safer and, less expensive for a business to handle than cash.

Even my local launderette accepts credit cards and apple pay to wash and dry clothes.

It’s just one of the many changes that old people have grumbled about since the beginning of time.
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I for one use my credit card for almost everything. Yes, I get miles with it, with those miles I can fly in my daughters for a visit every once in a while - so for me it is like having an extra little savings account.
I do have a hoard of cash in a sock under the old mattress out in the chicken coop - but rarely use.
 
I still keep some cash in my wallet but rarely use it. I always saved pocket change at the end of the day and dumped it into a jar to be cashed in when full. I haven't been able to fill a jar for years. It's too easy to whip out my CC along with the added benefit of 1% to 4% cash back after the end of the year.
We've had a spare change jar going for literally decades. Haven't made much progress in the past decade.
 
A number of our favorite shops will discount for cash. I take advantage of that. And, I ask places when we are buying something "big ticket"...like the dentist(!)...and if they say no discount, I charge it for the cash back. But our credit cards are paid in full, each month, I don't want to pay interest! That said, a lot of our contractors give a significant discount for cash or check. I figure that's a win-win!
 
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