Majority of Canadians are fed up and want to 'abolish' tipping culture
The debate surrounding tipping culture in Canada has been reignited after a new survey shared strong data about how Canadians feel.
A survey commissioned by tax preparation company H&R Block found that two-thirds of Canadians (67 per cent) say Canada should abolish tipping culture.
The study, which was released on Tuesday, found that Canadians are fed up, despite nearly one in three (31 per cent) of them having worked in a gratuity-based job before.
Opinions are even stronger when it comes to the specifics of tipping in Canada.
According to the survey, a whopping 93 per cent say they feel annoyed when a card payment machine prompts for a tip or gratuity for services or purchases where tipping hasn’t previously been expected. This leads to 89 per cent of Canadians saying they feel resentment towards businesses with these kinds of tip prompts.
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“More than four in 10 (41 per cent) have avoided going to places that they know have tip prompts at cash out, such as coffee shops, convenience stores, fast food, or self-serve counters,” reads the report.
In 2025, over half (57 per cent) of Canadians said they “felt awkward” skipping tip prompts and tended to leave a tip anyway. This year, the survey found that shoppers are setting stricter boundaries and a more emboldened stance against tipping.
Nearly two-thirds (65 per cent) of Canadians say that they feel less awkward opting out of a tip over the last year, with 67 per cent increasingly opting for the ‘no tip’ option.
“Overall, 89 per cent think the tipping percentage amounts have become too high, with 79 per cent saying they tend to enter their own choice of tip amount versus using the prompted percentage amounts where possible,” reads the survey.
Tipping debate sparked online
The report received thousands of comments when it was shared online.
“I stopped tipping when my local beer store started prompting me for tips when I went, grabbed it off the shelf, walked to the register, and then placed it on the counter,” reads one comment on Reddit. “Why in the ever-living f**k would I give a tip when there was zero service involved?”
Others say they’re “pissed” at the minimum tip amounts on machines being 20 per cent and up.
“I was prompted to tip 20, 22, 25 per cent at a local airport for buying a drink at the convenience store… it is out of control,” reads another comment.
One person says the solution is simple: “We can abolish it ourselves by not tipping.”
Are tips actually getting to employees?
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Many Canadians don’t blame employees for the demand for tips. H&R Block’s survey from 2025 found that 88 per cent of Canadians felt that tipping culture has become a means for employers to underpay their staff.
Furthermore, 91 per cent said that Canada should have less of a gratuity culture, as employers should pay their employees full wages.
H&R Block notes that there are actually tax implications with tips that are paid through business owners and employers rather than directly to employees.
When businesses or employers use card machines to add a tip, the amount is paid to the employer. This means tips can be treated like income on a paycheque, with deductions, including tax, employment insurance, or Canada Pension Plan amounts being deducted before it hits the worker’s pay stub and included in T4s.
“In years past, it may be that you left some cash on the table for your server at the end of your meal, and that server had to claim their tips voluntarily on their tax returns,” said Yannick Lemay, tax expert at H&R Block Canada.
“Whereas today, when you pay for your meal, or various other services, electronically and add a tip, there are instances where tips are treated as income by the employer and taxed as such ā meaning, income tax on tips might be deducted by the employer before employees receive it as part of their paycheque.”
Check out the full report from the tax preparation company. And if you’re still unsure about when and how much to tip, read Daily Hive’s guide to gratuity.
How do you feel about Canada’s tipping culture? Have you encountered any frustrating experiences? Share your thoughts with us at trending@dailyhive.com.