finance

How to Calculate Tips and Split Bills

Calculate restaurant gratuity, add applicable taxes and split the bill fairly with easy per-person examples.

Published October 18, 2026

How to Calculate Tips and Split Bills

Calculate restaurant gratuity, add applicable taxes and split the bill fairly with easy per-person examples. Use the free RapidCalc calculator to check your own numbers and explore different inputs.

Calculate tip from the bill

Tip = bill base × tip rate ÷ 100. For a $100 pre-tax bill and 18% tip, gratuity is $18. Confirm whether local custom uses a pre-tax or post-tax base.

Include tax separately

If a $100 bill has an 8% tax and an 18% pre-tax tip, tax is $8 and tip is $18. The combined total is $126.

Split among diners

For two people sharing the $126 total equally, each pays $63. If a group had three people, each would pay $42 before any rounding.

Round carefully

When the total cannot divide evenly to cents, round individual shares deliberately and make sure the combined shares still cover the bill. An upward rounding rule may create a small surplus.

Avoid double charging

Look for automatic gratuity or service charges on the receipt. Tax, included gratuity and optional extra tip are different items.

Try your own example

Open the interactive calculator and change one number at a time to see the effect. Read the assumptions attached to the result before applying it to a real transaction.

Educational information only; product rules, tax rates and financial terms vary.

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