People Aren't Cutting Back on Tips Even as Inflation Surges

People Aren't Cutting Back on Tips Even as Inflation Surges

  • Tips for wait staff and cashiers haven’t taken a hit despite inflation, according to new data.
  • Aggregated sales data from Toast showed people tipped an average of 19.6% at full-service eateries and 16.9% at quick-service restaurants during the second quarter.
  • The cost for food away from home rose 7.6% over the 12 months ended in July, according to the Bureau of Labor Statistics.

Even as restaurants and fast-food chains hike menu prices, customers aren’t pulling back on tips for wait staffs and cashiers, according to a new report.

Diners tipped an average of 19.6% at full-service restaurants and 16.9% at quick-service eateries during the second quarter, which was roughly in line with a year ago, according to sales data from software provider Toast. In-person diners typically were more generous, tipping an average of 19.7%, according to the report. Delivery or takeout customers tipped an average of 14.5%.

The average tip amount rose by nearly 10% compared with the year-ago period − slightly more than how much restaurant menu prices have climbed over the last year, Toast said. The cost for food away from home rose 7.6% over the 12 months ended in July, according to the Bureau of Labor Statistics.

“Even though there’s some anecdotal feedback about whether inflation is impacting the rate at which people are tipping, we don’t see that in our data,” Toast co-founder and Chief Operating Officer Aman Narang told CNBC.

Other payment software providers have reported that restaurant tips have fallen after climbing earlier in the Covid pandemic. For example, Toast’s rival Square found that the average tip at quick-service restaurants fell from 17.2% to 15.2% from March 2021 to the end of February, according to a report from The Wall Street Journal.

Both Toast’s and Square’s software can be customized to prompt customers to tip at different levels, like 10%, 15% or 20% for a full-service restaurant or $1, $2 or $3 at a coffee shop.

“Certainly our technology is an enabler,” Narang said.

As inflation pressures household budgets, restaurant chains including McDonald’s and Chipotle Mexican Grill have reported seeing lower-income customers spend less money at their locations and higher-income consumers visit more frequently. Others, like Outback Steakhouse owner Bloomin’ Brands, have said diners haven’t changed their spending habits — or that they’ve even shown a willingness to pay for more expensive options.

Toast compiles its quarterly report on restaurant trends by crunching data gathered from the roughly 68,000 restaurants that use its software. Its customers range from independent eateries to midsize regional chains.

The report also said that full-service restaurant sales bounced back to the pre-pandemic levels for the first time in the second quarter. Sit-down eateries were hit hardest by the crisis as consumers cooked more of their meals at home or ordered through fast-food drive-thru lanes instead.

News Related

OTHER NEWS

Maserati GranTurismo resurrected as brand's first EV

The classic proportions of the brand's cars can be seen here… Read more »

British Airways Sending The Stunning Club Suite To Sydney On Its Boeing 777

British Airways Sending The Stunning Club Suite To Sydney On Its Boeing 777 British Airways IATA/ICAO Code: BA/BAW Airline Type: Full Service Carrier Hub(s): London Heathrow Airport, London Gatwick Airport ... Read more »

Education Secretary Cardona does not mention academics in tweet about wanting to 'raise the bar' in education

Education Secretary Miguel Cardona did not mention academics in a tweet about wanting to “raise the bar” in education on Sunday. “Prioritizing wellness, safety, and community in schools is long ... Read more »

Kawhi Leonard’s return and John Wall’s debut provides enduring moment for Clippers

SEATTLE —  In official statistics, Monday’s exhibition here between the Clippers and Portland will never count. But try telling the Clippers, who watched the return of all-world forward Kawhi Leonard and ... Read more »

Nature Guide Spots Up to 13 Wolverines Chasing Grizzly Bears in the Grand Tetons

There are fewer than 400 wolverines in the Lower 48. Yellowstone naturalist guide Doug MacCartney recently encountered an incredible sight: 13 wolverines that appeared to be chasing a group of ... Read more »

Kurt Suzuki reminisces about his MLB debut with A’s as retirement looms

OAKLAND —  Veteran catcher Kurt Suzuki was back where it all began. The home of the team that drafted him in 2004. “Walking in here for one final time as a ... Read more »

A Rough Year for UC Berkeley Admissions

A Rough Year for UC Berkeley Admissions Seeking to expand enrollment amidst the pandemic and a lawsuit, it has been a rocky year for the University of California Berkeley. With ... Read more »

Another court mulls Biden vaccine mandate for U.S. contractors

NEW ORLEANS —  A federal appeals court in New Orleans on Monday became the latest to hear arguments on whether President Biden overstepped his authority with an order that federal contractors ... Read more »

FBI: We tracked who was printing secret documents to unmask ex-NSA suspect

FBI: We tracked who was printing secret documents to unmask ex-NSA suspect Infosec systems designer alleged to have chatted with undercover agent A 30-year-old former National Security Agency (NSA) employee ... Read more »

NBA Stars Returning in Preseason After Missing All of 2021-22

NBA stars returning in preseason after missing 2021-22 originally appeared on NBC Sports Boston The game was not the same without these stars. As the 2022 NBA preseason commences, some ... Read more »

Nick Saban Announces Monday Update On Quarterback Bryce Young

Bryce Young has shared additional information on Alabama quarterback Bryce Young this Monday afternoon. Young is dealing with “a little bit of a shoulder injury,” per Saban. The good news ... Read more »

Google Japan's absurdly long stick keyboard is actually real

You can get all the DIY info you need to make one for yourself. Read more »

Your Stories: Some Amazon customers aren't receiving their orders

Your Stories: Some Amazon customers aren’t receiving their orders PARISH, N.Y. (WSYR-TV) — Lori Horning does a lot of her shopping online, including orders from Amazon. “More and more since ... Read more »

Rams linebacker Bobby Wagner tackles streaker during Monday' game against 49ers

Rams linebacker Bobby Wagner hit-sticked a streaker that managed to get away from security during an on-field escapade. With under a minute before halftime, the fully-clothed streaker dodged security and ... Read more »

Arizona sees damage from tornado, dust storm on Monday

Wild weather in Arizona caused damage to homes and left nearly 100,000 people without power Monday. In northern Arizona, ten homes were damaged after a tornado ripped through a Coconino ... Read more »

Flooding, outages, confusion: Florida reels as Hurricane Ian death toll rises

Photograph: Ricardo Arduengo/AFP/Getty Images As Florida continues grappling with the devastating aftermath of Hurricane Ian, the state’s death roll mounts and stories of tragedy and delay emerge. Over 81 people ... Read more »

Rapper Accused Of Crashing Into Pregnant Woman And Leaving The Scene

NEWARK, NEW JERSEY – SEPTEMBER 13: Tory Lanez performs on stage at Prudential Center on September 13, 2019 in Newark, New Jersey. (Photo by Manny Carabel/Getty Images) A pregnant woman ... Read more »

Trump Defamation Lawsuit 'Doesn't Have Much Chance': Legal Expert

Audience members put their index finger up to symbolize America First while former President Donald Trump speaks at a Save America Rally on September 17, 2022, in Youngstown, Ohio. A ... Read more »

Chiefs fan turned down $23k payday only to get screwed by Rams

Chiefs fan turned down $23k payday only to get screwed by Rams A Chiefs fan had a chance to cash out a $10 parlay for $23,000 but risked it all ... Read more »

Quick Airport Security Tips

We have some quick airport security tips to help your travel in airports be more enjoyable today. We like to take advantage of some programs to get us through security ... Read more »

Neighbor Backed for Not Inviting 'Screaming' Girl To Bounce House Party

A man is being supported for his decision to not invite the little girl who lives next door to the bounce house party he threw for the kids in the ... Read more »

Nancy Pelosi Spills The Beans On How Democrats Can Keep Control Over House

The party of a new president historically doesn’t fare well during the midterm elections, and President Joe Biden’s low approval rating isn’t helping Democrats. But House Speaker Nancy Pelosi (D-Calif.) ... Read more »

‘We found a planet that shows us what the Earth will be like in five billion years’

Astrophysicist Lisa Kaltenegger. Lisa Kaltenegger is an Austrian astrophysicist who wants to be the first person to find life on a planet beyond our solar system. In 1995, when Michel ... Read more »

Video of 2-Month-Old Puppy Who Was Returned to Oregon Shelter Has Us Shaking Our Heads

Don’t people understand that puppies require patience? TikTok user @therainabaina, a volunteer at the Heartland Humane Society, shared one of the saddest videos we’ve seen in a while. So we’re ... Read more »

Air India Promises A Gourmet Experience With New Domestic Menu

Air India Promises A Gourmet Experience With New Domestic Menu Air India IATA/ICAO Code: AI/AIC Airline Type: Full Service Carrier Hub(s): Delhi Indira Gandhi International Airport Year Founded: 1946 Alliance: ... Read more »

Do You Need To See Rogue One: A Star Wars Story Before Watching Andor?

Disney/YouTube The newest offering within the “Star Wars” universe on Disney+, “Andor,” was announced back in 2018 with the return of actor Diego Luna as the titular character, Cassian Andor. ... Read more »

Bella Hadid bares her back and hangs off a balcony in new BTS snaps from Paris Fashion Week

On Monday, Bella Hadid shared another behind-the-scenes slideshow of her activities between runway shows during the hustle bustle of Paris Fashion Week. In one snap, the 25-year-old IMG Model flashed ... Read more »

Rams left reeling as regular-season slide against 49ers continues in loss

SANTA CLARA, Calif. —  From Super Bowl champions to super average. Mediocre. And trending perhaps toward … super bad? That’s where the Rams find themselves after a 24-9 loss to the ... Read more »

Chic Cottages to escape to this winter

(Ola O Smit) Bracing countryside walks, big woolly jumpers, fireside frivolities and hearty roasts — the season’s turning doesn’t mean an end to holidays. We’ve rounded up a selection of ... Read more »

Lawyer claims LAPD officer was targeted for being a potential whistleblower

The attorney representing Los Angeles police officer Houston Tipping’s mother claims that the 32-year-old was targeted by other officers for being a potential whistleblower. Even though a coroner’s report ruled ... Read more »

The airasia Super App now lets users book tickets for buses, trains and ferries

airasia Super App today announced an expansion to its booking capability as the platform now allows users to book tickets for buses, trains and ferries seamlessly via its latest offering, ... Read more »

All-new 2022 Maserati GranTurismo: same-same, but also completely different

The Maserati GranTurismo has returned for a second-generation, and although it might look a little familiar, the rest of the car is anything but. Underneath the sleek-looking GT bodywork is ... Read more »

In Ian's wake, Florida residents brave a slow wait for power

In Ian's wake, Florida residents brave a slow wait for power Nearly a week after Hurricane Ian smashed into Florida and left carved a path of destruction that reached into ... Read more »

Mysterious recruiter behind Martha’s Vineyard migrant flights reportedly identified

Mysterious recruiter behind Martha’s Vineyard migrant flights reportedly identified ASSOCIATED PRESS SAN ANTONIO — The mysterious woman who allegedly lured dozens of migrants on Florida Gov. Ron DeSantis’ flights to Martha’s ... Read more »

Column: Sean McVay’s once-formidable offense has transformed into a predictable mess

SANTA CLARA, Calif. —  The second-quarter play call was about as telling as any statistic, a quarterback keeper on second and three. Matthew Stafford moves about as swiftly as Bay Area ... Read more »

UK ‘no better prepared for the next pandemic’ with ‘dangerous gaps’ in its health security

A Covid-19 patient at the Royal Brompton Hospital AICU (Adult Intensive Care Unit) is carefully moved through the corridors to have a CT scan to check lung function – Simon ... Read more »

Antonio Pappano: ‘I happily embrace diversity – just don’t blame us for having been bad people’

Conductor, pianist and music director of the Royal Opera House Antonio Pappano pictured at Metropolis Studios – Rii Schroer Antonio Pappano, the Royal Opera’s music director for the past 20 ... Read more »

Talanoa Hufanga provides nightmare fuel for Rams with game-changing pick-six

SANTA CLARA, Calif. —  Yet another Hollywood remake — the San Francisco 49ers won again — but this time it was a different leading man who took down the Rams. Second-year ... Read more »

Darvin Ham and Lakers taking a more serious approach to preseason

No butterflies. No pregame photos on the court. No extra moments of reflection on the drive to the arena. Just work. “It’s game day,” Darvin Ham said before his first ... Read more »

Big Giveaways for Big Tex's Birthday at the State Fair of Texas

Link video: http://nbclim-download.edgesuite.net/Prod/NBCU_LM_VMS_-_KXAS/302/131/KXAS_Big_Tex_History_100322__148754.mp4 NBCUniversal, Inc. Big Tex is celebrating his 70th year at Fair Park this year and the State Fair of Texas is throwing him a birthday bash. They’re ... Read more »
Breaking thailand news, thai news, thailand news Verified News Story Network