Australians continue to resist tipping culture and believe it is not suited to the country, according to new research by Money.com.au.
A nationwide survey examined the reactions of over 1,000 Australians to tipping prompts at cafés, restaurants, or bars via QR code checkouts, card payment terminals, or when receiving the bill.
Almost half (43 per cent) decline to tip at hospitality venues even if asked, citing that it is not part of the culture. A further 18 per cent feel uncomfortable about tipping requests but admit to doing so under social pressure.
In contrast, 29 per cent are open to tipping depending on the situation, seven percent view it as a means to reward good service, and four percent consistently tip to support hospitality staff.
Sean Callery, Money.com.au’s Finance Expert, notes that Australians are pushing back against US-style tipping, especially when it is perceived as mandatory instead of a voluntary gesture to reward good service.
“Tipping might be the norm in places like the U.S., but Aussies aren’t buying into it — even though more venues are adding tip prompts of 15–20% at checkout. It feels automated and forced. Most Australians expect hospitality staff to be paid fairly by their employer for providing a service, not subsidised by the customer.”
The survey shows that Baby Boomers are the most against tipping (50 per cent), followed by Gen X (40 per cent), who are most likely to tip when pressured (22 per cent). One-third of Gen Z respondents (33 per cent) are willing to tip for good service, which is more than any other generation.
Millennials emerged as the most tip-friendly group, with 15 per cent always tipping to reward good service or support hospitality workers.