Once you have decided that you are in a ‘tipping situation’ you face the additional dilemma of how to leave the tip.

Should you add it to your credit card bill, or hand cash to the person who has served you?

Do you leave something under a saucer on the table or in the communal pot at the counter?

Will your own waiter, porter or hairdresser receive the money you leave, or will it be shared equally amongst all the staff?

Individual establishments have their own ways of dealing with tips, but the right of staff to be paid the national minimum wage (NMW) is at the heart of the issue, says the Institute of Chartered Accountants in England and Wales.

As tourism in Yorkshire and Humber gears up for an early start with the Easter holiday, the Institute has come up some pointers on tipping for staff, employers and customers.

“Workers have the legal right to be paid at least the national minimum wage,” says Keith Daniels, President of Sheffield & District Society of Chartered Accountants.

“However, service charges, tips, gratuities and cover charges count towards NMW if they are paid to the worker through the payroll and are shown on payslips.

“Tips given directly to the worker by a customer do not count towards NMW.

“Money from a communal pot – or tronc - paid directly to a worker does not count towards NMW. However, if the money from the tronc is passed to the employer and is paid to the worker through the employer’s payroll and shown on payslips then it will count towards NMW.

“It will also count towards NMW pay if the person administering the tronc operates PAYE on distributions and uses the employer to pass the net payments to each worker if this is done through the employer’s payroll and is shown on the payslips.”

“However, as ever, national insurance contributions (NIC) are different, as payments that count for NMW purposes can be payments in respect of gratuities and not be liable to NIC.

“It’s easier in Japan,” adds Keith. “Tipping is never, ever done.”