gratuity
C2Pronunciation
UK
- /ɡrætjˈuːɪti/
US
- /ɡrəˈtuɪti/
Description
- tip
- reward for service
- extra payment
Imagine you've enjoyed a fantastic meal at a restaurant. The server was attentive, and the food was delicious. That little something extra you leave on the table to show your appreciation? That's a gratuity. It is usually a tip: an extra payment given for a service. It is often based on a percentage of the bill. In restaurants, hotels, taxis, and similar places, people may give it by choice, and sometimes an extra charge is added to the bill for service.
You may also hear the word in a different setting: in some countries, it can mean a payment given to a worker at retirement or after long service. In both cases, the idea is the same: money given as a sign of thanks or as a reward for service.
Gratuity refers to a sum of money given in return for service, most commonly as a tip. In everyday use, it usually means the extra amount a customer gives to thank someone for good service in places such as restaurants, hotels, taxis, or salons. The word often sounds more formal than "tip," so it is common on bills, in policies, or in business writing.
The idea is simple: someone provides a service, and another person gives money beyond the basic charge as a sign of appreciation or according to custom. In many places, this amount is a percentage of the bill. It may be left in cash, added during card payment, or shown on the bill as an added charge for service. Strictly speaking, an automatic service charge is not always exactly the same as a voluntary tip, but in everyday language people often group these together when talking about gratuities.
The word also has a broader use in employment and legal contexts. In some countries, a gratuity is a lump-sum payment given to an employee when they retire, resign after many years, or finish a contract. That meaning is less common in everyday conversation, but it is important because it shows that the word is not limited to restaurants and hospitality. At its core, "gratuity" is money given because of service, whether as a small thank-you after a meal or as a larger payment after a period of work.
Examples
- 1
Restaurant tip
We left a gratuity on the table after dinner.
- 2
Automatic charge
For large groups, the restaurant adds a gratuity to the bill automatically.
- 3
Tour guide
The tour price includes gratuities, so you do not need extra cash for the guide.
- 4
Tip pooling
Cash gratuities are pooled and shared among the staff.
- 5
Retirement payment
When she retired, the company paid her a small gratuity in addition to her final salary.
Usage
In formal use, a gratuity can also mean a one-time payment given as a reward or thank-you.
Forms and spellings
2 forms open this card.
Main spelling
- gratuitynoun
Forms
- gratuitiespluralnoun