Which U.S. states tip most? A new study breaks down gratuity rates across the country.

People often voice their frustrations over the ubiquity of tipping, however that hasn’t stopped them from giving generously to reward good service.

Shoppers spent an estimated $77.6 billion on ideas for meals bought at eating places, bars and different eateries in 2023, in accordance with a brand new study by LendingTree. The evaluation, which attracts on the newest authorities knowledge obtainable, offers readers a snapshot of how a lot People tip and during which states they tip essentially the most. 

Maybe not surprisingly, LendingTree discovered that tipping charges are usually greater in states the place folks eat out extra. LendingTree additionally checked out which People across the nation drop the largest ideas.

The place do folks tip essentially the most?

New Hampshire residents are the No. 1 tippers within the nation, in accordance with the LendingTree examine. On common, they depart a gratuity of 16.07% of spending on meals away from house — falling inside the usual vary of 15% to twenty% ideas at eating places. New Hampshire’s common tipping price is 4 instances that of the nation’s lowest tipping state, which is Utah at 4.09%. 

However that is to not say Utah residents are stingy. As LendingTree factors out, common tipping charges hinge on how a lot folks in every state spend on meals exterior the house — that features full-service eating places in addition to fast-food place and even merchandising machines. In different phrases, not all meals that is consumed exterior the house is bought at institutions the place tipping is widespread. 

“If folks in a single state are inclined to dine at full-service eating places much more typically than these in one other state, it stands to cause their general share spent on ideas could be greater,” LendingTree Chief Shopper Monetary Analyst Matt Schulz wrote within the examine.

After New Hampshire, residents of Washington, D.C., are the nation’s greatest tippers. Folks within the U.S. capital on common tip 12.65% when consuming out. 

LendingTree’s knowledge signifies that the very best tippers are usually situated on the East Coast, whereas the bottom are concentrated within the South and western states. See the complete rankings under.

1. New Hampshire: 16.07%
2. District of Columbia: 12.65%
3. South Carolina: 11.17%
4. Minnesota: 10.11%
5. North Carolina: 9.75%
6. Washington: 9.51%
7. Vermont: 9.31%
8. Nebraska: 9.12%
9. Rhode Island: 8.54%
10. Maine: 8.18%
11. Indiana: 7.96%
12. Delaware: 7.77%
13. New York: 7.27%
14. Massachusetts: 7.26%
15. Florida: 7.23%
16. New Jersey: 7.02%
17. Connecticut: 6.83%
18. Montana: 6.81%
19. Illinois: 6.70%
20. Colorado: 6.52
21. Pennsylvania: 6.44%
22. Hawaii: 6.39%
23. Michigan: 6.39%
24. Oregon: 6.38%
25. North Dakota: 6.30%
26. Oklahoma: 6.25%
27. Alaska: 6.25%
28. Tennessee: 6.22%
29. Nevada: 6.19%
30. Louisiana: 6.16%
31. California: 6.15%
32. Virginia: 6.13%
33. Missouri: 6.02%
34. Texas: 6.00%
35. Wyoming: 5.96%
36. Georgia: 5.92%
37. Ohio: 5.88%
38. Kansas: 5.76%
39. Maryland: 5.73%
40. Wisconsin: 5.67%
41. West Virginia: 5.66%
42. Iowa: 5.60%
43. Arizona: 5.57%
44. South Dakota: 5.50%
45. Kentucky: 5.45%
46. New Mexico: 5.43%
47. Arkansas: 5.26%
48. Alabama: 5.21%
49. Idaho: 5.10%
50. Mississippi: 4.91%
51. Utah: 4.09%

Which states spend essentially the most on eating out?

Spending at eating places and bars has climbed in recent times as People swap house cooking for eating out. In 2023, spending on eating out represented roughly 56% of People’ meals budgets, a 13% enhance from 2000. 

“Because the share of spending on meals consumed away from house plunged in 2020 because of the pandemic, there have been three consecutive years of great progress,” LendingTree’s Schulz wrote. 

In accordance with LendingTree’s evaluation, folks eat out essentially the most within the nation’s capital. D.C. residents spent a median of $10,291 on eating out in 2023, about $3,500 greater than residents in Nevada, the runner up. Illinois, however, noticed the largest enhance in cash spent on consuming out, with eating expenditures climbing 13.5% from 2000 to 2023. 

Beneath are the highest 10 states in per-capita spending on eating out.

1. District of Columbia: $10,291
2. Nevada: $6,752
3. Hawaii: $6,628
4. California: $5,072
5. Massachusetts: $4,626
6. Colorado: $4,579
7. New York: $4,424
8. Rhode Island: $4,412
9. New Hampshire: $4,224
10. Washington: $4,182

With the federal minimal wage for tipped staff set at $2.13 an hour, many staff in service jobs resembling waiters, hairdressers and bartenders lean closely on tricks to subsidize their revenue. Even with ideas, they nonetheless might not attain the usual minimal wage of $7.25, during which case employers are required to step in and make up the distinction, accoriding to the Fair Labor Standards Act.

Tipping within the service trade has lately come into focus with the “No Tax on Ideas” — a provision baked into the GOP spending invoice that will remove federal taxes from tips for staff who earn lower than $160,000. 

If handed, “No Tax on Ideas” might supply aid to the 4 million folks within the U.S. who work in tipped occupations, about 2.5% of all U.S. staff, according to the Yale Finances Lab.