The $2.13 problem you need to understand
In most countries, the price on the menu is the price you pay. In the United States, it is not. The listed price excludes tax and an expected 18-22% gratuity. That $25 entree actually costs you $33.
Here is why. The US federal tipped minimum wage has been frozen at $2.13 per hour since 1991. In 43 states, restaurants legally pay servers below standard minimum wage, with the expectation that tips make up the difference. Your tip is not a bonus for great service. It is a server’s primary income.
Professor Michael Lynn at Cornell University has studied tipping across 30 countries and identified the core reason American tipping expectations are so high: the US is one of the only developed nations where servers legally earn sub-minimum wages. His 1993 cross-national study with Zinkhan and Harris found that countries with individualist cultures and low base wages for service workers develop the strongest tipping norms.
Sources: Lynn, Zinkhan & Harris, Journal of Consumer Marketing, 1993; US Department of Labor, Minimum Wages for Tipped Employees, 2026