Tipping in Australia — What You Need to Know
Australia operates differently from the United States when it comes to tipping. Australian workers in hospitality and service roles are covered by minimum wage laws and award rates set by the Fair Work Commission. This means tipping is genuinely optional — not a social expectation underpinning someone's base income.
That said, tipping culture has grown significantly in Australia over the past decade, driven partly by the adoption of point-of-sale systems that prompt for a tip at checkout. Many Australians now routinely tip at sit-down restaurants, cafes, and for personal services they value.
Standard Tipping Rates in Australia
| Service | Common Tip Amount | Notes |
|---|---|---|
| Restaurant (sit-down) | 10–15% | For good to excellent service |
| Cafe | Round up or leave change | Tipping jars are common |
| Bar | Round up or $1–$2 | Optional |
| Taxi / Rideshare | Round up or 10% | Optional; increasingly prompted in-app |
| Hairdresser / Barber | $5–$10 or 10% | Appreciated, especially for regular visits |
| Food delivery | $2–$5 | Optional but appreciated |
| Hotel concierge | $5–$20 | For exceptional or personalised service |
How to Calculate a Tip Without a Calculator
Mental maths shortcuts make tip calculation easy:
- 10%: Move the decimal one place left. $75.00 → $7.50
- 15%: Calculate 10%, then add half of that. $7.50 + $3.75 = $11.25
- 20%: Double the 10% amount. $7.50 × 2 = $15.00
- Round up: For bills under $30, simply round up to the nearest $5 or $10.
Bill Splitting — The Fair Way
When splitting a bill evenly, always include the tip in the total before dividing. A common (but impolite) mistake is for one person to pay less by forgetting the tip, leaving others to cover it.
Formula: Per person = (Bill + Tip) ÷ Number of people
Example: $240 dinner for 6 people with a 15% tip. Tip = $240 × 0.15 = $36. Total = $276. Per person = $276 ÷ 6 = $46 each.
If people ordered very different amounts, consider splitting based on what each person ordered rather than dividing equally. Use our calculator as a starting point and adjust as needed.
Tipping on Delivery Apps
Delivery platforms like Uber Eats and DoorDash now prompt for tips at checkout. Unlike restaurants where tips typically go to the serving staff, delivery tips go directly to the driver. Many drivers rely on tips to cover fuel and vehicle costs, making tipping on delivery orders more meaningful than in a sit-down restaurant context.
A $2–$5 tip on a standard delivery order (or 10% for larger orders) is a reasonable and appreciated amount.