ECONOMY & WORK
MONEY 101
NEWS
PERSONAL FINANCE
NET WORTH
About Us Contact Us Privacy Policy Terms of Use DMCA Opt-out of personalized ads
© Copyright 2023 Market Realist. Market Realist is a registered trademark. All Rights Reserved. People may receive compensation for some links to products and services on this website. Offers may be subject to change without notice.
MARKETREALIST.COM / ECONOMY & WORK

Woman Questions Benefit Surcharges on Her Restaurant Bill | 'It's Gotten Out of Hand'

The clip shows her food bill as she says, "The total for our food would be $64 but they charged a 3.50% benefit surcharge for their employees."
PUBLISHED MAY 15, 2024
Cover Image Source: Woman questions benefit surcharges on restaurant bills | TikTok|@lizleatrice
Cover Image Source: Woman questions benefit surcharges on restaurant bills | TikTok|@lizleatrice

In recent years, dining out in the United States has undergone a significant transformation, leading many to argue that it has "gotten out of hand." Prices are touching the skies, hence this change isn't just about food but it affects how we socialize and how money is spent. Restaurants are trying to be fancier but this luxury comes with a price—and not just the bill you get at the end of the meal. A TikTok user (@lizleatrice) posted a video with the caption, "Question – Has anyone seen benefit surcharges outside the US? And did this start because of/during the pandemic?" She started the video with an overlay text "Dining out in the United States." The clip shows her food bill as she says, "The total for our food would be $64 but they charged a 3.50% benefit surcharge for their employees. Then we have an additional 10% for tax because that's not included in the food prices."

Snapshots from the video. Image Source: TikTok|@lizleatrice
Snapshots from the video. Image Source: TikTok|@lizleatrice

The TikToker further in her video pointed out how after all this hoarding, restaurants expect an extra 15-20% tips from the customer. She then reveals that they tipped $13 which is around 18% and due to this, their bill totaled $87, which is a 32.2% increase compared with the actual one. In the later clips, she argued how she had never seen a healthcare surcharge in any other country outside the US. Most countries do maybe 5-10% tips and some don't do it at all. Like her, many people on TikTok have expressed their disappointment against the taxes being added to the bill.

Snapshots from the video. Image Source: TikTok|@lizleatrice
Snapshots from the video. Image Source: TikTok|@lizleatrice

@M. commented, "Agreed except for the tipping culture. I grew up in Spain where some waiters needed tips to survive." @natedogggggggggg commented, "Why do they not include tax in the price in America? I literally cannot understand that." @NoniMcd commented, "This is why I love it here in Australia! The price of the food is what you pay (except sometimes on public holidays there is a surcharge, it’s expected)." Some suggested that she cross-check the total and the percentage to ensure no extra dollars are wasted.

Screenshot of a comment under the video. Image Source: TikTok|@lizleatrice
Screenshot of a comment under the video. Image Source: TikTok|@lizleatrice

@Lou commented, "It is insane how America has normalized passing an employer's responsibility onto the customer. But then nothing in America makes sense." @Bob commented, "Two drinks, some mushrooms, and a green salad for $87. Hope it was worth it." @Jack commented, "Don’t tip for the tax and staff benefits; just tip for your food that is for $64!" @Shaka commented, "You can ask the management to remove the staff benefits fees. So ridiculous! I don’t eat out anymore because I get so upset when I get the bill."

Screenshot of a comment under the video. Image Source: TikTok|@lizleatrice
Screenshot of a comment under the video. Image Source: TikTok|@lizleatrice

@Erika Pearce commented, "I'm from New Zealand and it's so frustrating adding all the taxes and tips. We don't tip and tax is included." @LoRain427 commented, "It sounds like you tipped on the $73 total. Why wouldn’t you calculate the tip pre-tax? You actually tipped 30%."


@lizleatrice question: has anyone seen benefit surcharges outside the US? And did this start because of/during the p*ndemic? #diningout #unitedstates #americans #tippingculture #culturaldifferences #greenscreen ♬ Sunshine - WIRA

 

You can follow (@lizleatrice) for more such content. 

MORE ON MARKET REALIST
While the hefty tax refunds can boost consumer spending, the demand may also drive up inflation.
21 minutes ago
The government site further stated that the recall concerns MK04 air purifiers, with serial numbers beginning with "BN."
1 hour ago
Goldman Sachs CEO David Solomon also spoke about how the IPO activity in the US is now gaining momentum.
20 hours ago
Last year, Hyatt Hotels Corporation decided to pause the complimentary breakfast at about 40 locations.
21 hours ago
Many companies in the U.S. are now using enterprise AI systems that learn how an employee works.
22 hours ago
Some Americans may see smaller refunds this year compared to the past few years.
22 hours ago
The retailer might end up paying thousands in damages in the near future.
2 days ago
The products were recalled in 2025 from 40 states after blue pieces of plastic were found in a filter during production.
2 days ago
The contestant started the game poorly but made an impressive comeback.
2 days ago
The brand has employed a different method of growing sales compared to its competitors
2 days ago
This will be fantastic news for the Trump administration, which has been criticized for months.
3 days ago
"Cyndi, so far $110,461. With that trip to the Daytona 500 added in there," host Ryan Seacrest congratulated.
3 days ago
"Tiffany's inclusion of "O" in the vowel letter combo worked well," a fan praised the player's incredible letter selection.
3 days ago
He believes that it will help the country deal with its national debt problem.
3 days ago
The DHS asked for this data to figure out who all were in the country illegally, despite their unethical approach.
3 days ago
She seemed quite nervous, but that did not stop her from taking risks with lady luck on her side.
3 days ago
Some restaurants are charging extra fees, and this has sparked a debate over transparency.
3 days ago
Residents have been struggling with high prices and this was an opportunity they couldn't miss.
3 days ago
The proposal comes after the volatile ICE crackdown in the state came to an end.
3 days ago
In an effort to lessen the bank's impact on the market and cut borrowing costs, Trump has been pushing the Fed to decrease interest rates.
4 days ago