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Operational Characteristics that Support Tipping

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Abstract

Digital tipping has led to an expansion in the numbers and types of workers seeking tips, and legislation to stop taxing tip income may fuel more such efforts. However, my research on occupational differences in tipping suggests that such efforts are likely to meet with limited success. I have found that occupations are more likely to be tipped if they are characterized by one or more of the following six attributes: (1) customized service, (2) worker interactions with customers that are visible to others, (3) service that is relatively easy for customers to evaluate, (4 and 5) customers who are happier and wealthier than workers, and (6) workers that handle customer payment of the bill. These findings suggest that not all occupations can become commonly tipped. Efforts to increase tipping in traditionally non-tipped occupations are likely to be more successful to the degree that they share the six characteristics of traditionally tipped occupations listed here. On the other hand, non-tipped occupations that share few characteristics with traditionally tipped occupations are likely to encounter resistance to requests for tips and may want to abandon those requests. Furthermore, the findings suggest that those workers and managers who do ask for tips in non-traditional settings should also try to (1) draw consumers’ attention to the characteristics that their occupations share with traditionally tipped occupations and (2) appeal to tipper motivations that are consistent with those shared occupational characteristics.

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2025-08-12

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tip creep; tipping; occupational characteristics

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Attribution 4.0 International

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article

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