New Hampshire Restaurants Can Charge a Mandatory ‘Service Charge’

New Hampshire Law

We have been talking about how tipping has just gotten out of control.  Sometimes, it seems that there is nothing we can do about it.  Well, sometimes, that's absolutely true.  We can't do anything about it.

New Hampshire Restaurants Can Charge a Mandatory "Service Charge."

According to webstaurantstore.com, the law from the IRS says that automatic gratuity is a 'service charge.'  These are different from traditional tips.  They are usually automatically added to the bill, sometimes for large parties or special events.

You don't have the option to negotiate or not pay this "service charge."  Technically, the service could be really bad, but you would still have to pay.

The service charge also must be clearly stated on the menu.

RELATED:  Did You Get a 'Kitchen Appreciation Fee' on Your New Hampshire Restaurant Bill?

Don't make the mistake that I have done in the past, (blame it on the wine) and tip on TOP of the service charge.

Pro Service Charge

Even though it may seem like this isn't a great idea, there are some good things about automatic gratuity.  For instance, there's no math at the end of the night.  Also, the mandatory service fee spreads the wealth, (usually) to the entire restaurant staff, not just the server.

Con Service Charge

A con about automatic gratuity, it discourages people from generously tipping a fabulous server more than what the 'service fee' states.

I know that tipping has gone a little nutso, but I would much rather decide what I would like to tip rather than leave it up to the owner.  It could be my distrusting New England sense.  In other words, "will the owner actually share this with the dishwasher in the back?"

What do you think?