Here’s Where the Best and Worst Tippers in the United States Reside, State by State

Upgraded Points – a hospitality/travel company that focuses on points and rewards – published new data that reveals where people are tipping the highest at bars and restaurants and for goods and services in the United States.

Whether Americans are visiting restaurants or bars, using delivery and driving services or frequenting other businesses that provide one-on-one service, the study found that tips can vary wildly depending on the state. And the best tipping percentages are not always found in the states most workers would assume.

“The income of service employees depends on tipping in America,” said Alex Miller, founder of Upgraded Points, a hospitality/travel company that provides insider strategies on maximizing travel points and rewards. “This is especially true in restaurants, but also in delivery services and other service industries... Our study revealed some surprising facts about this practice in the U.S. – for instance, it is not always those living in the wealthiest states who tip the most.”

State by State – Some Tipping/Wage Facts

In general, according to Upgraded Points, the standard tipper is expected to leave between 15 to 20 percent as a tip – an average that service employees have come to rely on, especially since many states are not required to pay these workers a minimum wage.

The gap between the minimum wage and what people tip in their respective states is often surprising. Federal Labor Law allows workers to be paid a lower wage as long as their total earnings, including tips, add up to at least the minimum wage. Thus, if the federal minimum of $2.13 per hour plus the employer's tips do not add up to the federal minimum hourly wage, the employer must make up the difference. This is the law in theory – but it does not always reflect practice, according to Upgraded Points.

State by State – Tipping Averages

By far, the “stingiest” tipping state in the United States, according to Upgraded Points data, is California, with 74.5 percent of residents tipping their servers 15 percent or below – followed by Oregon in second place. Similarly, Idaho, Maryland and Wisconsin report that 52 percent of people tip 15 percent or less.

On the surface, it would seem that these states may not be the best place to work as a tipped employee, but federal minimum wage for tipped employees can be amended by state law. And in California and Oregon, the state minimum for tipped employees is far above the national average – $14/hour and $12.75/hour.

The most generous tippers by state include Alabama, Ohio, Iowa and New Hampshire.

Best and Worst Restaurant Tippers
(Image: Courtesy of Upgraded Points)

Which Generation Tips the Most and Why?

The new study also looked into why people were tipping and the ages/generations of those who tipped. A total of 87.8 percent reported that they always tip no matter what, while a whopping 71.1 percent report that they never tip on takeout if they have to pick it up themselves.

And good news for delivery and rideshare drivers: Over 90 percent of those surveyed reported they tip on deliveries, while over 70 percent tip rideshare drivers.

Who are the best tippers? Probably Gen Zers – who use delivery services more often and are more likely to tip in cash – per the report.

To see the complete results, along with state-by-state tipping practice and detailed percentage breakdowns, visit the full study here.

Best and Worst Tippers in the U.S. 2022
(Image: Courtesy of Upgraded Points)

About the Research / Methodology

Upgraded Points surveyed 3,500 people across the United States for a week. The study asked participants questions about their tipping habits and emotional responses towards tipping to determine which states tip the most and the least. It also asked how the COVID-19 pandemic and lockdowns affected tipping. Some states and respondents were far more forthcoming about their tipping habits than others, so due to a lack of responses in some states, Alaska, Hawaii, Montana, North Dakota, South Dakota, Vermont and Wyoming were not included in the study.

Plan to Attend or Participate in
Bar & Restaurant Expo, March 27-29, 2023

To learn about the latest trends, issues and hot topics, and to experience and taste the best products within the bar, restaurant and hospitality industry, plan to attend Bar & Restaurant Expo, March 27-29, 2023 in Las Vegas. Visit BarandRestaurantExpo.com.

To book your sponsorship or exhibit space at Bar & Restaurant Expo, contact:

Veronica Gonnello​
(for companies A to G)
​e: [email protected]
​p: 212-895-8244

​Tim Schultz
​(for companies H to Q)
​e: [email protected]
​p: (917) 258-8589

Fadi Alsayegh​
(for companies R to Z)
​e: [email protected]
p: 917-258-5174​

Also, be sure to follow Bar & Restaurant on Facebook and Instagram for all the latest industry news and trends.