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Holidays are a great time to show service providers how much you appreciate them

The pandemic has been rough financially for a lot of the people who make our lives easier and a generous tip this time of year can go a long way.

TOLEDO, Ohio — Holiday tipping is a really nice way to reward those hardworking people who make our lives easier throughout the year, but many people may not be clear on who gets tipped and how much.

Ted Rossman is a Senior Industry Analyst at CreditCards.com. He says, for starters, handing out a holiday tip isn't required, but giving a little bit to those we appreciate would be a welcome addition this holiday season.

"I do think it's a nice way to keep some money in the local community and reward people who make our lives better and easier," said Rossman.

People tend to give tips to service providers based on their relationship to them, Rossman says a recent poll showed 45% of U.S. adults say they typically also give higher-than-usual tips to service providers who normally receive tips throughout the year such as their hair stylist/barber, food delivery person, and favorite bartender or coffee shop barista.

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"All of these service providers have dealt with unique challenges throughout the COVID-19 pandemic, and many have likely lost income," adds Rossman. "If you can afford to do so, giving a little extra around the holidays could make a big difference."

A common guideline for holiday tipping is $25 for teachers, $50 for a childcare provider or housekeeper, and $20 for the mail carrier, however a gift card is preferred due to postal guidelines on accepting gifts.

It's also nice to consider the cost of the service, so if your hairstylist usually charges you $100, match it at the end of the year as a thank you.

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"Maybe the same thing for like a babysitter, a nanny, a housekeeper," said Rossman. "Maybe whatever you pay them per day or if it's a weekly visit, maybe you just double that around the holidays."

Rossman's group also found that Gen Z'ers are more likely to give higher around the holidays (51%), compared with 48% of millennials, 43% of Gen Xers and 42% of baby boomers.

However, it doesn't always have to be cash or a card, you can always leave a spread of prepackaged snacks or drinks outside your door for delivery drivers as a way to say you appreciate them.

In short, a feeling of good will, common sense, and specific circumstances should be your guide as you give a little extra to say thank you for all you do, and happy holidays.

"Sometimes giving to people in your local community is a really nice way to spread some holiday cheer."


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