Part of the Living Costs suite · 40 calculators

Tip Calculator

The tip on a bill at any percentage, the total to pay, and each person's share when the bill is split.

Tip = bill × percentage.

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Total to pay
$110.00
Tip—
Bill—
Each person pays—
Tip per person—
Reviewed July 2026. Household arithmetic: the same formulas in every market, in your own currency. Hospitality staff are paid an award wage; a tip is a gift, never an obligation. Maintained by Adam Formosa.
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About tip

How the tip calculator works

Tip = bill × percentage. The total is the bill plus the tip; rounding up takes the total to the next whole dollar and puts the difference into the tip. Splitting divides the total (and the tip) evenly by the number of people.

Formula: Tip = Bill × % · Total = Bill + Tip · Each = Total ÷ People

How the tip and the split are worked out

Three lines of arithmetic

There's no trick to it. The tip is the bill multiplied by the percentage: tip = bill × %. The total is what you actually hand over: total = bill + tip. And each person's share is the total divided by the number of people: share = total ÷ people. The order matters — work the tip out on the whole bill and divide at the end, rather than splitting first and tipping separately, because rounding at each step makes the shares drift apart by a few cents.

Worked example

A $100 bill with a 10% tip: the tip is 100 × 0.10 = $10, so the total is 100 + 10 = $110. Split that four ways and each person pays 110 ÷ 4 = $27.50 — of which $2.50 is their share of the tip. Tick round up at the Detailed level and the calculator lifts the total to the next whole dollar, which is how most tipping in Australia actually happens: a $107.30 bill becomes $108 and nobody counts the percentage.

The number this tool won't give you is the "right" tip — because in Australia there isn't one. Hospitality staff are paid an award wage with penalty rates, so a tip is an extra, not a top-up. Leave 10% if the service was good, round up if it was fine, leave nothing if you'd rather. All three are normal.

Tipping in Australia

Why tipping isn't expected here

Visitors from the United States are often surprised by this, so it's worth being blunt: tipping is not expected in Australia. You can pay a restaurant bill exactly as printed, leave, and nothing awkward has happened.

The reason is the wage system, not national temperament. Australian hospitality workers are covered by modern awards — chiefly the Hospitality Industry (General) Award and the Restaurant Industry Award — which set a legally enforceable minimum rate of pay. Those rates are reviewed every year by the Fair Work Commission in its Annual Wage Review and take effect from 1 July. On top of the base rate sit penalty rates: higher pay for evenings, weekends and public holidays, plus casual loading for casual staff. There is no separate lower "tipped minimum wage" of the kind that makes tipping compulsory in America. Waiting tables in Australia is a paid job, and the wage arrives whether or not you leave a coin.

So what do Australians actually do?

  • Nothing, most of the time. At a cafe, a pub, a food court or an ordinary weeknight dinner, no tip is the default and it raises no eyebrows.
  • Rounding up. The most common form of tipping here isn't a percentage at all — it's leaving the change, or rounding a $47.20 bill to $50. Same in a taxi.
  • Around 10% for good service. At a restaurant where someone genuinely looked after you, 10% is the figure people reach for. It's the ceiling of normal, not the floor.
  • A bit more in fine dining. At the top end, 10% or a little above is common — still nowhere near the American 18–20%.

One modern wrinkle: EFTPOS terminals now prompt for a tip at the moment you tap, often suggesting 10%, 15% or 20% before you can pay. Those percentages are a payment-app default — frequently one designed for the American market — not an Australian custom. Choosing "no tip" on that screen is an entirely ordinary thing to do, and the staff member holding the terminal knows it.

Surcharges, service charges & splitting