re: Tip etiquette question: Do you base your tip amount on included taxes?

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Seems like a waste of money

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To each their own. There are a lot of things people buy for themselves that I find a waste of money. Giving someone working hard a few extra dollars to pad their daily total is not something I personally consider to be a waste of money.

It is a small gesture that has little effect on me and can brighten someone's day. If the difference between a good tip and lackluster tip had an impact on my financial situation, I wouldn't be dining out, which is a luxury in the first place.