Do you have dollar bills on your person at this exact moment?
No? Well, that’s the problem.
Because more and more of us are declining to make cash payments in favor of using a debit or credit card (after all, it’s easier to track our spending this way!), we’re also putting less into tip jars where we make our purchases.
While that’s not necessarily a problem for the person declining to tip, it’s certainly a problem for the people whose wages won’t be supplemented by tips in the way they rely on. ”Workers depend on tips to pay for things like rent, tuition— it’s real money for them,” an attorney who represents workers in tipping cases told Reuters.
Electronic tip services are looking to fix that problem. Reuters reports that products like DipJar and Ziptip are figuring out how to entice customers to tip the way they would have were they holding a handful of change. DipJar, which currently only serves six New York City stores, lets customers dip their cards into an electronic reader to give a pre-determined tip to employees, usually $1.
Ziptip, a startup service available in 20 countries, works through QR codes, and allows customers to deposit a tip directly into a person’s account—and that person can be a barista, a doorman or anyone else deserving of some extra cash.
So what do you think: Would you leave an electronic tip, or are you more likely to leave cash?