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What is a tip? No, it’s not a hint or a clue about something, at least not in the monetary consumer world. A tip is a monetary percentage given or paid in addition to the base price for a service provided. It is also often referred to as a “gratuity.”

There are many professions where giving the provider a tip is important. In fact, the bulk of their income is dependent upon tips. If no one tipped them their employers would have to pay them more. This, in turns, means the employer would have to charge the public more to make up for the higher wages. So some professions pay their employees a low wage and those employees then rely upon your tips for the bulk of their income. Generally, professions that provide a personalized service to you are given a tip.

Some professions that provide you with personalized service and which you should tip are waiters and waitresses, cab drivers, tour guides, hotel bell hops (yes they do still exist in many places), hotel maids, valet attendants (they park your car for you), movers and barbers and hair dressers. So, the next question is, how much do you give as a tip?

Often, tips are based on percentages. This will, therefore, help you to practice and hone your skills on calculating with percentages. Below is a list of the generally accepted amounts of tip that should be given per profession.

1.

John, his wife Beth, and their four children stayed at a moderately priced hotel outside of Disneyland for 4 days. How much should John tip the maid before he checks-out?

$24.00

$12.00

$8.00

$6.00

2.

Margaret went to the hairdressers to get her hair washed, cut, dyed and styled. She was very pleased with the results! Her bill came to $85.00. How much should Margaret tip her hairdresser?

$17.75

$18.00

$19.50

$21.25

Answer (d) is the correct answer

3.

Mark and Andrew both drove to a new arena and both went to the valet parking section. Mark drove a Ford Focus and Andrew drove a Porsche 911. What would be the total tip the valet attendant should get from the both of them?

$10.00

$7.00

$5.00

$4.00

Answer (b) is the correct answer

4.

Five college friends went on a tour of haunted houses in Savannah, Georgia. The tour lasted for nearly 4 hours. At the end of the tour each of the friends gave the tour guide a tip. How much tip did the tour guide get in total from the college friends?

$10.00

$15.50

$25.00

$30.00

Answer (c) is the correct answer

5.

Mr. & Mrs. Summer hired movers to move their furniture to their new home. It took 3 movers a total of 8 hours to move all of the furniture. How much in total should the movers receive for a tip?

$100.00

$120.00

$30.00

$60.00

Answer (d) is the correct answer

6.

Fred traveled to New York City to meet with new clients. He took a cab from the airport to downtown New York. It took nearly an hour to get to his destination. His cab fare came to $67.00. How much should Fred tip the cab driver?

$13.40

$13.20

$12.90

$12.70

Answer (a) is the correct answer

7.

James took his date to a really fancy restaurant. He was shocked when he got his bill for $133.47, especially since the service wasn’t even all that good. The tax on the bill was for $12.02. James decided to only leave a 15% tip. How much of a tip did James leave?

$20.02

$18.22

$18.02

$17.92

Answer (b) is the correct answer

8.

Nine friends took a trip together to Las Vegas. Each friend had two bags. How much should the friends tip the Bell Hop?

$9.00

$36.00

$18.00

$16.00

Answer (c) is the correct answer

9.

A group of 12 foreign officials rented a suite at the Grand Hyatt Hotel in San Francisco for $525.00 per night. They stayed for 6 nights. How much of a tip should the group leave the maid before they depart and what amount should each person pay in order to leave that tip?

$180.00 and $15.00

$72.00 and $6.00

$360.00 and $30.00

$240.00 and $20.00

Answer (a) is the correct answer

10.

Nine ladies from the sewing circle went out to a restaurant to celebrate completing a quilt. The total bill came to $166.11 of which $15.00 was tax. They decided to leave an 18% tip. How much of a tip should they leave the waitress? In addition, each of the ladies will contribute the same amount towards the tip so how much will each lady have to contribute to the tip?

$24.20 and $2.92

$25.20 and $3.00

$26.20 and $3.04

$27.20 and $3.02

Answer (d) is the correct answer

Working the problem: John plus Beth makes 2 people and then they have 4 children so there are a total of 6 people. The rule is to pay a maid at a moderately priced hotel $2.00 per day for every 2 people. As there are a total of 6 people we need to divide 6 ÷ 2 = 3. Next, we multiply $2.00 x 3 = $6.00 per day. The family stayed for 4 days so we now multiply $6.00 x 4 = $24.00.Solution: John should leave the maid a tip of $24.00.Answer (a) is the correct answer