The biggest inflation in four decades is weakening the Christmas tradition of tipping housekeepers, daycare workers, teachers, and gardeners.
According to a new Bankrate.com poll, consumers are reducing their year-end gratuities for the majority of service employees. The survey indicated that Americans intend to provide $25 per childcare provider, down from $50 per childcare provider in 2021. The greatest impact would likely be seen by daycare workers, with Americans expecting to give $25 per childcare provider.
Nonetheless, more shoppers said they want to provide Christmas tips this year compared to 2021, which might help offset the lesser gratuities, according to Ted Rossman, Bankrate’s senior industry analyst. Approximately 56% of respondents indicated they will tip their housekeepers this year, up from 44% in 2013.
“People have less disposable income, but they recognize that this is a shared burden: ‘I must do something, even if I can’t give as much as I would want or as I did last year,’” Rossman explained.
Tipping may be the standard when it comes to restaurants, but tipping over the holidays is not as prevalent. Bankrate discovered that barely half of Americans want to tip their children’s teacher this year, while around one-third expect to reward their postal carrier.
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Rossman said that one explanation may be nervousness about how much to tip and if such gratuities are acceptable. “Tipping is infamously complicated. Bringing a group present to a teacher’s classroom is the best way to avoid unpleasant situations.”
Additionally, Americans may feel tapped out as a result of “tipflation,” or when consumers are asked for tips in strange locations, such as drive-through windows. This escalated during the epidemic due to the proliferation of digital kiosks, which also offer predetermined tip amounts.
Rossman observed that 26% of respondents tip more when given predetermined tip levels. Some individuals dislike tip creep.
Compared to 2021, here’s how much Americans intend to tip this Christmas season:
Housekeeper:
2022: $40
2021: $50
Childcare supplier:
2022: $25
2021: $50
Landscaper:
2022: $25
2021: $30
Teacher:
2022: $20
2021: $25
Mail carrier:
2022: $20
2021: $20
Garbage and recycling collector:
2022: $20
2021: $20
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