I was always told Americans tip to make up for very low wages. Is that true?
I think that's mostly waiters and waitresses.
Tipping culture is a nightmare. Thankfully it's not really a thing here.
The only people that get tipped for Xmas is a paper boy and maybe the cleaner.
Yes, for certain classes of Food Service workers (eg - waiters, waitresses, bartenders, and few others), they have lower minimum wages, and are expected to make a certain number in tips. This chart is a little bit of a pain, but if you're curious -
https://www.dol.gov/agencies/whd/state/minimum-wage/tipped .
Fast food workers get a different set wage, and the tips are a bonus.
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Mailmen, UPS workers, etc..... all get a decent to great wage. Building supers, door men, etc.... are paid decent to great depending on area. In major cities they do well.
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As for me, I've gone back to a "by the job" tipping style for most things. Our UPS, Mail, Food delivery, etc.... people are always changing, so I just give them when they're helpful for a certain thing, and stopped worrying about Christmas.