What is the reason (historical or other)for why we tip based on cost rather than effort?

Question

I was originally thinking about delivery (isn’t it basically the same effort to deliver 1 or 2 pizzas?). Shouldn’t delivery tipping be based on distance/effort rather than cost of food?

The same goes for restaurants, of course. If I go with a friend and we have the same meal but I have three glasses of wine, and she has three cokes, I am expected to tip more, but the server’s effort is the same for each of us.

Was it always like this or did it change with time?

Note: I’m only trying to understand this aspect of Us tipping culture. I know that tipping isn’t the norm everywhere.

In: 141

Answer 1

Tipping based on price does seem a bit unreflective of the actual reason for the tip – thanking someone for their hard work.

However, if you go the opposite route, you run into some awkward areas too. Let’s say, tipping culture decides that absolutely perfect service from a waiter is valued at $25. Now, you go out to a meal and it only costs $15, but your waiter still gives you perfect service. You’d be expected, culturally, to pay $25 extra and now your bill is $40. That’s likely to discourage a lot of people from ever eating out as it really increases the bill.

And, let’s say a big party goes to a restaurant and generates a $500 bill. Their server is perfect, potentially a little above perfect given the huge order they’ve catered for. The party feels like the service was worth just a bit above the usual $25, call it $35. Culturally, the party are going above the expected rate, but the server has still worked really hard, but earnt barely more than they would on an easier table. Less than they would on a 10% or 20% system too. That’s not very rewarding for the server.

The thing about a percentage based tip, whether your tipping culture is 10%, 20% or w/e, is that the server gets a ‘fair’ rate no matter the size of the bill, and it doesn’t unfairly inflate the bill for lower-budget customers. You also aren’t obliged to give the standard, and you can give a higher percentage if you really want to thank someone for their work.

Overall, percentage based is fairer on everyone. Although what would be truly best is fair living wages for waiters and other workers who rely on tips, but that’s another argument altogether.