Tipping Etiquette: Pre-Tax vs. Post-Tax
One of the most common questions diners face when the check arrives is whether they should calculate their tip based on the subtotal (the actual cost of the food and drinks) or the grand total (which includes government taxes like VAT, GST, or Sales Tax).
The Standard Rule
According to general hospitality etiquette, you should calculate your tip on the pre-tax amount. A tip is a gratuity provided directly to the service staff based on the quality of their service and the value of the food they brought to you. There is no logical reason to pay a percentage to your waiter based on the tax rate mandated by the government.
The POS Machine Trap
Many modern Point of Sale (POS) machines and digital payment tablets are pre-programmed to calculate their "Suggested Tip" percentages (e.g., 15%, 18%, 20%) based on the final post-tax total. This quietly inflates the tip amount. Our calculator gives you the power to toggle this off, ensuring you are only tipping on the actual services rendered.