Story at a glance
- A new survey from Bankrate.com found that more U.S. adults planned to tip around the holidays this year.
- But those tips will most likely be smaller than in years past.
- Tippers might be less generous this holiday season due to inflation pushing up the price of gas, food and rent.
More nannies, housekeepers, tutors and gardeners are likely to get annual tips this holiday season, but the end-of-year bonuses might be smaller than expected thanks to inflation.
A new survey of 2,425 people from Bankrate.com found that 54 percent of U.S. adults said they would likely give higher-than-normal tips around the December holidays this year to workers who are typically tipped throughout the year like waiters, bartenders, baristas, and food delivery workers.
Another 21 percent said they are “very likely” to tip more than in years past on top of 33 percent who said they are “somewhat likely” to tip service workers extra this year.
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Last year, only 47 percent of survey respondents said they would tip their housekeeper and another 41 percent said they would tip a childcare provider.
This year though, 56 percent of survey respondents said they planned to tip a housekeeper this holiday season and 49 percent said they would tip a babysitter, nanny or other child care providers.
In a similar Bankrate.com survey conducted last year, 41 percent of respondents said they would tip a teacher around the holidays and another 36 and 27 percent said they would give an annual tip to a landscaper or mail carrier, respectively.
Even fewer said they would tip a garbage collector, with only 19 percent of U.S. adults who took part in the survey committing to giving a holiday tip to someone who collects their trash.
This year though, all of those numbers have jumped, with the number of adults pledging to tip a teacher, landscaper, mail carrier or garbage collector shooting up to 51, 41, 31 and 22 percent, respectively, according to the survey.
But the median tip for service providers who customarily receive once-a-year tips around Christmas, Channukah or New Year’s will likely be lower than in years past, according to the survey.
Tippers will be more careful with their money this holiday season in part due to inflation pushing up the price of gas, rent and food this year. U.S. inflation reached a 40-year high in June after the price of consumer goods spiked 9.1 percent compared to the same time last year.
In 2021, the median end-of-year tip for housekeepers and child care providers was $50. Meanwhile, the median tip for landscapers and teachers last year was $30 and $25 respectively.
But this holiday season, the median tip for housekeepers and child care workers will hover at $40 and $25, respectively, according to the survey. And the median amount of money tippers will give to landscapers and teachers this year is $25 and $20.
The median tip for mail carriers and garbage collectors will remain at $20 this year, the same as in 2021, the survey found.
“I know that money is tight for a lot of households right now due to high inflation and rising interest rates, but if you can afford it, I think it’s nice to tip generously around the holidays,” said Ted Rossman, senior industry analyst for Bankrate.com.
“Consider that sometimes it’s more tactful to give a gift card rather than cash. Some companies, such as FedEx and UPS, frown upon their employees accepting tips but acknowledge that gift baskets of snacks and soft drinks are welcome tokens of appreciation.”
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