How to calculate a tip
Tip = bill × tip % ÷ 100 · Each person pays (bill + tip) ÷ people
Worked example: a $86.40 dinner bill with a 20% tip: $86.40 × 0.20 = $17.28 tip, $103.68 in total, or $25.92 each for four people.
Quick mental method for 20%: move the decimal point one place left to get 10% ($8.64), then double it ($17.28). For 15%, add half of the 10% figure ($8.64 + $4.32 = $12.96).
Tipping customs by country
| Country | Restaurants | Notes |
|---|---|---|
| United States | 15–20% is customary; 18–20% is common in cities | Servers are often paid a lower base wage, so tips are a large part of their income |
| Canada | 15–20% | Similar to the US. Card machines often suggest 15%, 18% and 20% |
| United Kingdom | 10–12.5% if no service charge is added | Check the bill: many restaurants add a discretionary 12.5% service charge |
| Netherlands | Optional; rounding up or about 5–10% for good service | Service is included in menu prices |
Pre-tax or after-tax? Etiquette guides in the US usually suggest tipping on the pre-tax amount. Enter the subtotal before sales tax if you want to follow that convention.
Frequently asked questions
How much should I tip in the US?
At sit-down restaurants, 15–20% of the pre-tax bill is customary, with 18–20% common in large cities. For counter service, tipping is optional.
How do I calculate a 20% tip quickly?
Move the decimal point one place to the left to get 10%, then double it. On $86.40, 10% is $8.64, so 20% is $17.28.
Should I tip on the total before or after tax?
Most US etiquette guides suggest tipping on the amount before sales tax, although many people tip on the total for simplicity.
Do you tip in the UK and the Netherlands?
In the UK, 10–12.5% is usual if no service charge has been added. In the Netherlands service is included, so rounding up or leaving 5–10% for good service is enough.