FILE-A waiter conducts a credit card payment for a customer at a restaurant. (Photo by: Jeffrey Greenberg/Universal Images Group via Getty Images)
null - The restaurant industry can be demanding and challenging for employees when it comes to the nature of the work and even the pay.
And depending on the state a restaurant worker is employed in, there is a chance a higher percentage of their income could come from tips.
Square released a fall quarterly restaurant report which in part evaluated how much tips account for a restaurant worker's income.
RELATED: Has tipping gone too far? 1 in 3 Americans think so
The business technology platform determined that the average restaurant worker earns almost 23% of their income in tips in 2024 compared to 22% last year (nationally).
According to the report, states where tips make up the highest percentage of overall wages are Wyoming (33%), South Dakota (31%), Alaska (31%), and Kansas (30%).
Moreover, restaurant workers in Oklahoma, Mississippi, Arkansas, and Nebraska see their tips make up the smallest percentage of their income compared to other states.
In 2024, the average tip on a restaurant transaction nationally was 15.4% compared to 15.5% last year.
Square noted that the states with the highest average tip are Virginia (17.16%), Iowa (17%), and Delaware (16.77%), but California (14%), Hawaii (14.17%), and Connecticut (14.75%) have the lowest average tip, as of September 2024.
Some Americans think tipping has gone too far?
With tipping surging nationwide, some people believe that it has become a bit much.
In a Bankrate survey on tipping culture released in June 2024, 59% of Americans viewed tipping negatively. And this included individuals who believe companies should give their workers better pay, while others said they are annoyed about pre-entered tip screens or would be willing to pay higher prices to be done with tipping completely.