If there’s one thing Americans can agree on, it’s confusion about tipping.

While tipping is expected sometimes, it’s unclear in other situations. Do you tip the DoorDasher who picked up your food order and dropped it at your door? Do you tip the plumber on top of the bill they hand you? If so, how much? Is 20% generous or the new normal?

We set out to learn how Americans feel about tipping in 2025, especially given the changing economy. As it turns out, 63% of Americans hold at least one negative view about tipping, which is up from 59% last year.

However, the percentage of Americans who always tip has stabilized compared to recent years of decline. It seems we’re not throwing in the towel on tipping just yet.

Almost 2 in 3 Americans have at least one negative view about tipping >> Among the 63% of Americans who have at least one negative view toward tipping, the most common negative viewpoints are:

• Businesses should pay their employees better rather than relying so much on tips (41%, up from 37% last year)

• Tipping culture has gotten out of control (41%, up from 35% last year)

• Annoyance with pre-entered tip screens (38%, up from 34% last year)

Additionally, 27% say they tip less or not at all when presented with a pre-entered tip screen (up from 25% last year), compared with 11% who say they tip more in these scenarios (down from 14% last year).

“The high cost of living is a headwind, and many people resent all of the tip creep that has occurred in recent years, with us being asked for tips in previously unconventional settings,” explains Ted Rossman, Bankrate senior industry analyst.

Sixteen percent would be willing to pay higher prices if we could do away with tipping, up from 14% last year. Fourteen percent are confused about who and how much to tip, up from 11% last year.

And 10% say they always tip the same amount regardless of the quality of service, the same as last year.

Restaurant-goers are lowering their bills >> Around 2 in 5 Americans (39%) expect to spend less on dining out this year, according to Bankrate’s 2025 Discretionary Spending Survey. Servers who rely on tips may feel that shift.

Thirty-five percent typically tip at least 20% at sit-down restaurants, down slightly from 37% last year.

While 58% say the amount they tip is most influenced by the quality of the service, that’s down from 64% last year, meaning service providers, including restaurant servers, could have a harder time earning a generous tip with excellent service.

Further, 26% say they feel good when they leave a generous tip, down from 29% last year.

Consistent tipping is leveling out after recent years of decline >> Since launching this survey in 2021, we’ve reported a mostly steady decline in the percentage of Americans who say they “always” tip for certain services each year. This year, the number of consistent tippers is balancing out.

In fact, for five of the nine categories of service providers we surveyed, a larger percentage of people say they “always” tip that category of provider. The only categories to see declines this year are hair stylists/barbers (54%, down from 55%), coffee shop baristas (18%, down from 20%), and home services/repair people (9%, down from 10%). The same percentage of people as last year, 15%, say they always tip furniture/appliance delivery workers.

Gen Zers and millennials are less likely to tip >> The likelihood of tipping generally increases with age, with Gen Zers and millennials standing out as the least frequent tippers. For example, among people who use these services:

• Twenty-five percent of Gen Zers and 45% of millennials always tip their hair stylist/barber, versus 67% of Gen Xers and 71% of boomers.

• Forty-three percent of Gen Zers and 61% of millennials always tip at sit-down restaurants, versus 83% of Gen Xers and 84% of boomers.

• Twenty-three percent of Gen Zers and 36% of millennials always tip taxi/rideshare drivers, versus 50% of Gen Xers and 61% of boomers.

This trend might be cultural, economic or both. Notably, the two younger generations were most likely to say not having a stable income is the reason money negatively impacts their mental health, according to Bankrate’s 2025 Money and Mental Health Survey. If a young person’s paycheck is already stretched thin, they may be less inclined to add extra dollars to the bill.

We also know that about 1 in 3 Americans (35%) typically tip at least 20% at sit-down restaurants, down from 37% last year. This includes 16% of Gen Zers and 30% of millennials, versus 40% of Gen Xers and 49% of boomers.

• Women are more likely to tip, especially at hair salons Women tend to tip more often than men.The biggest difference is among those who visit hair salons/barber shops, where 62% of women and 45% of men always tip. In other categories, the gender gap is smaller but almost always shows women tipping more often.

Bankrate’s key insights on tipping in 2025 >> • The majority of Americans have at least one negative view about tipping Sixty-three percent agree with statements like “I feel like businesses should pay their employees better rather than relying so much on tips” or “tipping culture has gotten out of control,” among others.

• Tipping activity, which had slipped after the pandemic, appears to have leveled off this year The survey didn’t find any significant declines in tipping activity among the categories of service providers surveyed, such as hairdressers and restaurant servers.

• The likelihood of tipping generally increases with age Gen Zers and millennials stand out as the least frequent tippers, while Gen Xers and boomers are more likely to tip.

FAQs

• Who will benefit from no tax on tips? Ideally, service providers who rely on tips would benefit from the new tax proposal. It aims to eliminate taxes on tips for people who earn under $150,000. But it may not be that simple.

“President Trump made ‘no taxes on tips’ a part of his campaign pitch,” Rossman says. “While we don’t yet know whether or not that will become law, there are potential unintended consequences for workers. • What is the new rule for tipping? The latest rules of tipping etiquette include 18 to 20% for services that require a fair amount of effort — waiting tables, delivering food, styling hair, babysitting and driving a rideshare or taxi, for example. Tipping for other services may be more ambiguous and recommended as a dollar amount instead, like $10 per hour or $5 per bag carried or shuttle driven. Check out this full list of rules for tipping.