Earlier this year, Milwaukee e-mailers expressed outrage over an alleged scam operation by a popular local Mexican restaurant that was purportedly charging gratuity on their bills as a "service charge." This practice, it was said, confounded diners who didn't read their bills and potentially double-tipped their servers.
Granted, the distinct possibly lies that the servers were not pointing out this line item to every diner, but in reality, the concept of "gratuity included" is hardly new in Milwaukee or any other hospitality marketplace.
Many Milwaukee restaurants include gratuity on tables of six or more, but, understandably, tables of two with this service charge were likely surprised to find a similar charge on their bills.
Before we get into how much tips should be and the social practices surrounding tipping in restaurants, let's take a step back and investigate further why we tip in the first place.
A little help from Wikipedia and some old school etymology books provide us with the background and history of tipping. The word tip originates from the 16th century verb tip, which meant "to give unexpectedly." In other words, tipping is something that is given as an above and beyond form of compensation for a service job done well.
In the United States, and specifically in Milwaukee, this form of compensation has become increasingly complex over the years.
A tip is supposed to be calculated from the cost of goods and services, minus sales tax. As a general rule, it is figured at an average of 15 percent. Some people determine their tip based on food service without drinks, which is generally acceptable, especially in the case where a nominally priced dinner is accompanied by a very expensive bottle of wine.
Some diners will tip 15 percent on food items and then 5-10 percent on beverages. Others determine their tip based on their entire bill including tax, and still others on the number of diners and/or drinks consumed. And likely there are hundreds of thousands of other people who each determine their tips using other methodologies, some which may be more acceptable to servers than others.
The dollar amount which goes to the server initially then may be distributed by the restaurants in different manners. Some servers keep all their tips. Others pool their tips with all the other servers on the "floor." Some restaurants require a "tip out" to the kitchen, bar staff, and dishwasher of varying percentages, others mandate a minimum IRS tip declaration of 20 percent of sales.
In Milwaukee, servers typically start out at $2.33/hour, bartenders somewhere in the $5 to $6.50/hour range, and then tips ring on top of that.
In Milwaukee, most places do not follow what is common practice in Brazil and other countries of the aforementioned included service charge, although we do commonly follow the practice for larger tables.
Robert Weiss, proprietor of Shaker's, a 25-year Milwaukee mainstay, notes, "We practice special gratuity of 18% for dinner tables for six or more; we charge 20% for specialty dinners which have an unusual theme or exotic products and foodstuffs.
These types of dinner parties attract more sophisticated diners who have the types of backgrounds where they expect to see gratuity as a service charge line item."
But, Weiss notes, the included gratuities seem not to be as needed in the more recent past here in Milwaukee. "The tipping environment has improved tremendously in the last several years-the entire restaurant and hospitality landscape has improved," he said. "Once upon a time it was only those places that had a niche market where the servers did well in tips, now no more."
Sarah Jonas, co-owner of the popular Bay View Lulu Café and Cocktails, uses the policy of included 18 percent gratuity for parties of six or more.
"The server is required to tell the person that the gratuity is included," Jonas says. "I find it very unethical and consider it stealing if the server doesn't tell the patrons and [the patrons] double tip. I think, more often than not, the guest will add more on if they get good service. I know I always try to take care of servers, who work hard and may have to work harder for a large party."
Thus, in restaurants where servers may work harder for lower tips or may have to work harder for larger or specialty parties, it seems just that a service charge be included. But, emphatically, all parties agree that the server must inform the patrons of said charge.
What about non-included gratuities?
Weiss bases his non-included tipping percentages on a combination of technical skill, product knowledge and expertise, and interpersonal experience. If there is a glitch in technical ability, Weiss says, "attitude and personality are worth far more. The server who spends time at your table and shows the desire to do a job well done far outweighs a server who is technically perfect but shows no personal interest in the diner."
This sentiment is echoed by Izumi's bartender and server Andora Ayala, who starts her own personal tipping at a generous 20-25 percents and says her best tips are from her regulars, who often leave her as much as 30-40 percent gratuity.
"Every server's goal should be to make people feel welcome coming in the door, so they want to come back," Ayala says. "If you make people feel comfortable, they form a friendship and affinity with you and with your establishment. They feel special every time they visit, and that's the most important thing."
Weiss adds, "With so many places to choose from these days, servers need to remind their customers on an every time basis how important they are to the restaurant. People dine out because they want to feel special. A good server will make you feel special and make you want to come back."
"Then, when the time comes to add in the tip at the end, they are giving out of happiness and out of their hearts. It is wonderful to make people happy and be rewarded for it. It is a gift for those who truly excel in the hospitality industry."
Amy L. Schubert is a 15-year veteran of the hospitality industry and has worked in every aspect of bar and restaurant operations. A graduate of Marquette University (B.A.-Writing Intensive English, 1997) and UW-Milwaukee (M.A.-Rhetoric, Composition, and Professional Writing, 2001), Amy still occasionally moonlights as a guest bartender and she mixes a mean martini.
The restaurant business seems to be in Amy’s blood, and she prides herself in researching and experimenting with culinary combinations and cooking techniques in her own kitchen as well as in friends’ restaurants. Both she and her husband, Scott, are avid cooks and “wine heads,” and love to entertain friends, family and neighbors as frequently as possible.
Amy and Scott live with their boys, Alex and Nick, in Bay View, where they are all very active in the community. Amy finds great pleasure in sharing her knowledge and passions for food and writing in her contributions to OnMilwaukee.com.
