Restaurant Surcharges Explained: Service Charges, Tips, and Fees

Restaurant surcharges have become increasingly common on customer bills over the past few years. Despite consumer backlash, 15% of restaurants have added surcharges to mitigate inflation and rising costs, according to the National Restaurant Association. These fees can range from corkage charges to health insurance or wellness payments.

While some restaurateurs view surcharges as essential for staying afloat, many consumers are experiencing pricing fatigue and turning away from establishments that impose them. 

But perhaps the biggest frustration for customers? Receiving their bill with this unexpected surprise.

Whether you decide to implement surcharges or not, the key to keeping customers happy—and staying compliant with local laws—is transparency. Because when you know the why behind these fees, you can determine if they’re right for your business.