Does one tip the owner of a service business? The woman who has cut my hair for the past 40 years just retired, and if I continue at this hair place, the next up would be the owner. I’ve always given her a big tip, but this wouldn’t seem right.
Why wouldn’t it be right? I guess I equate this to going to my local bar where the owner often bartends, and we leave a tip on the tab for him.
It is the same question with people who work out of a place like Salon Lofts. They have their own room and no boss. How much do you tip when they already are not cheap(eta - and set their own price)?
Good for you. The answer is yes. The person who cuts your hair always gets a big tip. Probably moreso if they pay all the bills.
Let’s say a haircut costs $40. When Jill cut my hair, she got perhaps $30 (I actually have no idea how much of a cut the owner gets, but I’m sure he got a cut), and I might tip her $15. So she netted $45. When the owner cuts my hair in the future, he gets the whole $40.
My massage guy is one of the owners. I tip him.
You could look at it as tipping the person who provided the service.
Regardless of whether that person is the owner or an employee.
The owner of a hair salon typically rents out the “stations” and doesn’t get a cut of each haircut.
The 1’st hair cut might be good, I’d worry about the 2’nd one if you don’t tip.
You don’t need a parachute to skydive. You do need a parachute to skydive twice.
Tip for the service rendered and don’t try to disentangle the underlying financial arrangements.
But, if you do look into it, imagine (hypothetically) that the cost of the space (rent, utilities, advertising, etc.) comes to $10/customer. It makes no difference whether the stylist is the owner (and pays the $10 themself) or is a contractor (who pays $10 to the owner). They are both netting $30+tip. The actual economics are more complex, but that’s a further reason not to try to factor them in. Tip based on what service you received. Let them sort out stuff like rent.
Basically this.
But my rule of thumb if it is just a single person operation, like the other example if there is only one employee in the “business” and that same person is the owner..ie a single proprietorship of massage or haircut services, and the owner is the only employee, I don’t tip. Just tell me how much the cost is and I pay that.
However if the owner has a number of people providing like services and the owner just fills in at times an/or does double duty on providing services also, I do tip them like i would any other person doing the job.
