Budgeting: How much to tip: a calm way to budget for it

How much should you tip?

It depends on where you are and the service. In some countries, tipping is expected and makes up a large part of service workers' pay. In others, a small tip or rounding up is usual, and in some, tipping is rare or unexpected. There's no single amount that works everywhere, which is why it helps to check the local norm. Getting it right matters to the people who rely on tips, and it saves you the awkward moment of guessing at the till.

How do you find out the local custom?

Before you travel, look up tipping guidance for the country from a reliable travel source or official tourism site. Note what's usual for restaurants, cafés, taxis, hotels and tour guides, since they often differ. Once you're there, watch what locals do, or ask someone at your hotel.

At home, you'll know the custom already. It's worth checking how it applies to newer services, like food delivery or ride-hailing apps. Apps often prompt for a tip before the service is done, so you can wait and add it afterwards if the app allows it.

What should you check on the bill?

Whether a service charge has already been added. Some restaurants include one, especially for larger groups. If it's there, an extra tip usually isn't expected, unless the service was exceptional. Check whether a tip suggested on a card machine is on top of a service charge, so you don't pay twice.

How do tips fit into your budget?

Count them as part of the cost. If a meal is 60, in round numbers that work in any currency, and a tip is usual where you are, the real cost is more than 60. Budgeting for eating out with tips included avoids the gap between what you planned and what you spent.

The same applies to taxis, deliveries, haircuts and hotel stays where tipping is customary. If your eating-out budget is 200 a month, decide whether that includes tips. Most people find it easier if it does. A quick way is to add your usual tip to the price when you're deciding whether a meal fits the budget.

What about tipping when money's tight?

If tipping is expected where you are, it's part of the price, so the fairer way to save is to choose cheaper options, like eating out less or picking a less expensive place, rather than skipping the tip. Where tipping is optional, a smaller amount or rounding up is fine.

How to save money on eating out has ways to bring down the overall cost.

How do you handle tips when travelling?

Carry some small notes or coins in the local currency, since some tips are easier in cash. Check whether card tips reach the staff, if that matters to you. Add a line for tips to your daily travel budget, especially in countries where they're expected. How to budget for a trip abroad has a daily budget method.

What about group meals?

Agree how the tip will be handled before the bill arrives. Splitting the total including the tip is simplest. If someone's paying for themselves, remind them to include their share of the tip, so the person who settles up isn't left short.

What about tipping for services at home?

Hairdressers, cleaners, delivery drivers and tradespeople are tipped in some places and not others. Where it's customary, a small amount or a gift at the end of the year is common for regular services, like a cleaner. Where it isn't, a thank-you and a good review are welcome and cost nothing.

If you use a service every week or month, decide on an approach once and stick to it, so you're not deciding each time. Put the yearly total in your budget, since a small tip every week adds up over a year. A cleaner tipped 5 a week, for example, comes to 260 a year. Seasonal gifts for regular service providers can go in your holiday budget, alongside other gifts. The budget tracker can hold it as part of the monthly limit.

How do you track tips in Wealtie?

Log tips together with the meal or service, in the same category, so your expense categories show what eating out and services cost. If you tip in cash on holiday, log it from your cash wallet account.