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Percentages in Real Life

Calculating tips

If you've eaten at a restaurant, you've probably left a tip for your server. A tip is a small amount of money that you add to your bill when someone gives you service. The amount of a tip is usually a percentage of the total cost. For example, you might leave a fifteen percent tip at a restaurant for average service. 

Let's say you eat at a restaurant with some friends. The bill comes to $12.04, and you'd like to leave a 15% tip. This means you'd like to leave 15% of $12.04. How much money should you leave total?

Click through the slideshow to learn how to calculate tips.

  • Let's say you went out to eat, and your bill is $12.04. You want to leave a 15% percent tip.

  • A tip is a percentage of the total. In this case, it means the tip is fifteen percent of $12.04.

  • Whenever you see the phrase "of something" in a math sentence, it's usually a hint that you'll need to multiply.

  • So we'll multiply 12.04 by 15%.

  • Before we can do that, we'll need to convert 15% into a decimal.

  • We'll move the decimal point two places to the left...

  • We'll move the decimal point two places to the left...so 15% becomes 0.15.

  • Now we can multiply. 0.15 times 12.04 equals 1.80. 

  • So the tip is $1.80.

  • We could also say that 15% of $12.04 is $1.80.

  • Remember, a tip is extra money added to the total. So we'll add the tip to the bill.

  • 1.80 plus 12.04 equals 13.84. 

  • So the final price of the meal is $13.84, after including tip.

  • Let's try another example. Let's say you had excellent service and would like to leave a 20% tip for a meal that cost $68.80.

  • This means the tip will be 20% of $68.80.

  • We'll multiply 20% by 68.80.

  • First, we'll need to convert 20% into a decimal, so we'll move the decimal point two places to the left.

  • 20% is the same as 0.20.

  • Now we'll multiply. 68.80 times 0.20 equals 13.76.

  • So the tip is $13.76.

  • Another way to say this is that 20% of $68.80 is $13.76.

  • Finally, we'll add the tip to the bill.

  • 68.80 plus 13.76 equals 82.56.

  • The final price, after tip, is $82.56.

Now it's your turn! Find the final price for each item, including the tip.



You have a pizza delivered to your house. It costs $19. You want to leave the delivery driver a 15% tip. What's the total?




You eat out at a restaurant with some friends. The bill comes to $47.50. What should you leave total for a 20% tip?




Your cab fare from home to the airport is $35. You'd like to give your driver an 18% tip. What's the total?


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