Is There a Limit to How Much a Person Should Tip?

I was cleaning up my desk when I came across the picture at the bottom of this blog entry.  The picture is of a professional sports team’s bar tab after they won the league’s championship.  The service fee was 20% of their bar tab.   Twenty percent doesn’t seem like something worth blogging about, but this team ended up paying $25,000 service fee for 2 hours of just drinking and not eating a single bite of food.   Professional sports teams do crazy things after winning championships so having a giant bar tab is not unusual.  What was unusual was the team in addition to drinking lots of beer and whiskey, drank one bottle of very rare champagne that cost $100,000.  The waitress didn’t  open the bottle or serve it, that was done by the players themselves.  However, by having one single bottle of champagne the players’ tip jumped from a $5,000 service fee to a $25,000 service fee.  The huge increase led me to wonder, “Is there a limit to how much a person or group should tip?”

Another giant tip occurred in January.  Shane Smith, chief executive of the Vice Media group, spent $300,000 for a dinner at the Bellagio’s Prime Steakhouse in Las Vegas during the International CES trade show in January.  All restaurants in the Bellagio Hotel have a uniform tipping policy, where “All parties of twelve (12) or more and/or private dining events are subject to a 20% service fee, 8.1% sales tax and group booking fee (based on group size).”  The 20% service fee means a tip of over $50,000 for the lucky waiter/waitress who served Mr. Smith and his party their meal.

Tipping is not a universal phenomena.  Tips are expected in the USA and Canada in bars, restaurants and from taxi cab drivers.  However, in many countries, like Japan and England, tipping is often not expected.  In these and many other countries waiters, waitresses and other service workers are paid higher wages and businesses simply include these wages when figuring out the price of a meal, drink or ride.   In North America a person often has a lot of discretion when trying to figure out the right amount to tip.   Usually people tip between 15% and 20% of the bill.  The interesting question is should there be an upper limit?

The word TIPS is an acronym for To Insure Prompt Service.  Giving a tip was designed to speed up waiters.  Money is clearly an incentive to work faster.  However, is there some maximum amount of money where waiters and waitresses will not or cannot work any faster or act any friendlier? If I was a waiter I would like the largest tip possible, but is there some point at which more money is ineffective?

The bar tab was rung up by  the Boston Bruins hockey team after they won the Stanley Cup Championship in 2011.  The Stanley Cup is the ultimate prize in North American hockey so the team was very excited.  After winning the Cup they went to celebrate at a night club in Connecticut. The team was very happy and so was Danielle their waitress who hit the tip jackpot (you can see her name on the top of the bill). What did they drink that cost so much?  They ordered a 30 liter bottle of Armand de Brignac, also called the Midas.

The team got a good deal on the wine.  They “only” paid $100,000.  That same year two people in Las Vegas paid $120,000 (plus a tip) for the same size and type of Champagne.  If you want to save money, the bottle can be ordered over the Internet for “only” $60,000.  Using the Internet means you do not have to pay a penny in tips (click here for the current price).  Be careful pouring though since the bottle weighs about 100 pounds when full.

The ultimate question though is very simple.  Is it fair that Danielle earned an extra $20,000 just because she brought out one very expensive bottle of champagne?  In a similar vein should we place limits on CEO salaries?  Both Danielle and many CEOs got/get ample compensation before large amounts are tacked on as an extra bonus.  What do you think, is there a limit at which CEO pay and tips should be capped?

Boston Bruins Bar Tab With a $25,000 Tip

Boston Bruins Bar Tab With a $25,000 Tip

1,682 thoughts on “Is There a Limit to How Much a Person Should Tip?”

  5. AHLIBET88 menyediakan permainan SLOT dan Togel Online terlengkap dengan bonus kemenangan jutaan rupiah setiap hari daftar dan main sekarang juga

  6. jpcash merupakan agen resmi sbobet,live game dan slot online yang terbaik dan terpercaya yang sudah berdiri kurang lebih lima tahun lamanya, menyediakan game terbaik dengan fitur yang sangat menarik

  9. hello!,I like your writing so so much! percentage we keep in touch extra about your post on AOL? I require an expert on this area to solve my problem. May be that is you! Having a look ahead to look you. scientific writing

  13. Flavorful oral jelly Filagra 100mg Oral Jelly 1 Week Pack 7 Delicious Flavors is known for working wonders by boosting up penile abilities in impotent men. Super effective medication might work simply as natural aphrodisiacs in boosting sensual abilities by enhancing the performance of the penile. One week pack of this medicine has seven delicious fruity flavors in all including orange, strawberry, pineapple, cherry, blackcurrant, butterscotch, and banana. Such sensational fruity flavored oral gel-shots are known for working sensationally by enhancing penile performance and relieving arterial strains from the core.
    https://usrushed.co/filagra-100mg-oral-jelly-1-week-pack-7-delicious-flavours

  45. Your writing so cool! I suppose I haven’t read anything similar to this before. So inspiring to get somebody by incorporating originality applying to grant this topic. Really appreciating to start this up, great blog is one thing needed on the web, if we do originality, valuable project will bringing new stuff on the internet! Slot bonus new member 100 di awal

  46. Grab the Magellan Roadmate 1440 Update for free*. GPS Contact Number is one of the leading name in the GPS industry. Just garb the latest updates from the experts of GPS Contact Number or dial our toll-free number to get the latest update right now!

  47. Cenforce 120 dissolves in the body, slowly draining stiff muscles and leaving the blood vessels with enough space for a relaxed posture. When the blood vessels relax, blood flow increases and blood pressure returns to normal. The same thing happens in the area of the p*nis which provides blood flow for an erection.

  48. Fildena 100mg is very effective in men with erectile dysfunction thanks to the active ingredient sildenafil citrate. Fildena 100 mg tablets should be taken 30 to 60 minutes before s*xual activity. Always read all the necessary information and consult a healthcare professional before taking Fildena 100.
    Fildena 150
    Fildena 120

  49. Vidalista 40 is a generic variant of C*ialis. Vidalista 40 mg ensures a long-lasting erection that can last up to 36 hours! This is why Vidalista is often called the weekend p*ill. During s*xual stimulation, the p*nis easily hardens. It works in a similar way to C*ialis. It has a vessel dilator component that opens constricted blood vessels.
    Vidalista 60mg
    Vidalista 20

  50. Vilitra 20 mg is the strongest and most effective erectile dysfunction drug and it works for almost all men. It has a rapid onset of action and lasts up to 50% longer than sildenafil. Vilitra 20 mg and (generic vardenafil) help increase blood flow to the p*nis and may help men with erectile dysfunction get and maintain an erection to complete s*xual intercourse.
    Vilitra 60
    Vilitra 40

Comments are closed.