How much should I tip at a restaurant?

Standard tipping in the United States is 15–20% for table service. 15% is generally considered the minimum for adequate service, 18–20% for good service, and 25% or more for exceptional service. In many other countries, tipping customs differ significantly — in Japan tipping can be considered rude; in Europe 10% is typical.

Should I tip on the pre-tax or post-tax amount?

Conventionally, you tip on the pre-tax subtotal. In practice, the difference is small — on a $100 bill with 8% tax, tipping 20% on the pre-tax amount is $20 while tipping on the post-tax total is $21.60.

What is a quick way to calculate a 20% tip in my head?

Move the decimal point one place to the left to get 10%, then double that number to get 20%. For a $86 bill: 10% = $8.60, 20% = $17.20. For 15%, calculate 10% and add half: $8.60 + $4.30 = $12.90.

Do I tip before or after a discount or coupon?

Tip on the pre-discount amount. The service you received was based on the full menu price, not the discounted price. Using a $20 coupon on a $100 bill and tipping 20% on $80 effectively means the server paid for part of your discount.

Formula Guide

How to Calculate a Tip

Calculating a tip is straightforward: multiply the pre-tax bill by the tip percentage, then divide the total by the number of people splitting it. The only decision is choosing the right percentage — and knowing whether to tip on the pre-tax or post-tax amount (tipping on pre-tax is standard in most countries).

Last updated: March 31, 2026

The Formula

Tip Amount = Bill × (Tip% ÷ 100)
Total = Bill + Tip Amount
Per Person = Total ÷ Number of People

Variable Definitions

Symbol	Name	Description
Bill	Bill Amount	The pre-tax subtotal shown on the check
Tip%	Tip Percentage	The percentage you want to tip — typically 15%, 18%, or 20% for table service
People	Number of People	The number of diners splitting the bill equally

Step-by-Step Example

A restaurant bill is $112.50 for 4 people. You want to leave an 18% tip. How much does each person owe?

Given

Bill amount:$112.50Tip percentage:18%Number of people:4

Solution

1
Calculate the tip amount: $112.50 × 0.18 = $20.25
2
Calculate the total (bill + tip): $112.50 + $20.25 = $132.75
3
Divide by number of people: $132.75 ÷ 4 = $33.19 per person

Each person owes $33.19. The total tip of $20.25 leaves an 18% gratuity for the server.

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Common Mistakes to Avoid

Tipping on the post-tax total — the tip percentage is traditionally applied to the pre-tax bill amount.

Calculating each person's share of the food and tipping individually — it is simpler and more accurate to calculate the total tip on the combined bill first.

Confusing tip amount with tip percentage — the tip amount in dollars is what the server receives; the percentage is just how you decide on that amount.

Frequently Asked Questions

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