With the holiday season upon us, the majority of Americans claim they won’t be resembling Ebenezer Scrooge this year when it comes to tipping. A new survey conducted by The Harris Poll, commissioned by DailyPay, reveals 59% of Americans say they tend to give bigger tips during the holiday season compared to the rest of the year. 

Younger generations are seemingly more generous when it comes to tipping than they were in 2022. Nearly half of Gen Z ages 18-26 (49%) say, in general, they tip more often than they did last year (compared to 36% of Millennials ages 27-42, 19% of Gen Xers ages 43-58 and 21% of Boomers ages 59-77). Overall, nearly 3 in 10 Americans (29%) doled out gratuities more often than in the previous year.

Unfortunately for workers who rely on cash tips, the poll results highlight a definite challenge. More than a third (37%) of Americans say they often find themselves unable to tip because they don’t have cash on hand. That percentage goes up when it comes to the younger demographics, including Gen Z (45%) and Millennials (49%). 

For those who do receive tips, the timing of when they receive them can be a serious impediment because of their company’s payroll schedule. For some tipped employees, it could be weeks before the tips make it into their pockets. According to the survey, most Americans (88%) believe that employees should receive the tips they’ve earned immediately/the same day.

To combat these problems and support those impacted employees, DailyPay has created a new ‘DailyPay Tips’ capability where employees can access their tips in real time as they earn them and track their tips and hourly pay in one place.

Just like with their hourly pay, they can see how much is available now with the ability to access their earnings and send them to any account. This visibility enables them to make educated, real-time decisions and helps them feel in control of their finances. 

“As more and more Americans are tipping digitally, it is critical to ensure that those tips make it into the hands of those employees who worked hard for it, in a timely and efficient manner–that’s where DailyPay fits in,” said Stacy Greiner, Chief Operating Officer, DailyPay. “DailyPay Tips exemplifies our continued commitment to our clients and their employees to find innovative solutions to help their businesses thrive.”

Methodology:

This survey was conducted online within the United States by The Harris Poll on behalf of DailyPay from November 2-6, 2023, among 2,050 adults ages 18 and older. The sampling precision of Harris online polls is measured by using a Bayesian credible interval.  For this study, the sample data is accurate to within +/- 2.7 percentage points using a 95% confidence level. This credible interval will be wider among subsets of the surveyed population of interest. For complete survey methodology, including weighting variables and subgroup sample sizes, please contact David Schwarz, Head of Communications, DailyPay ([email protected]). 

About DailyPay

DailyPay, Inc., powered by its industry-leading technology platform, is on a mission to build a new financial system for everyone. DailyPay delivers the industry’s leading on-demand pay solution with modern, insight-driven pay strategies that help America’s leading employers to activate their workforce and build stronger relationships with their employees, so they feel more engaged, work harder, and stay longer. For more information, visit www.dailypay.com/press.

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