Honestly, in SF, I'm confused that tips aren't like 50%-200%. I pay $3600/month in rent for a studio. So you need like $120/day post-tax in order to just make

Honestly, in SF, I'm confused that tips aren't like 50%-200%. I pay $3600/month in rent for a studio. So you need like $120/day post-tax in order to just make rent (and 2-3x that to qualify for the lease in the first place). So let's say you need $300/day in tips to live here. (That works out to about 109.5k/year -- a respectable entry-level tech salary, but that would be just above the poverty line in SF if you were trying to support a family of four on it.) Suppose that you have a ramen restaurant that's only open for dinner, seats 29, always has a line out the door, has a cycle time of half an hour, is open for 6 hours a night, and has three servers. Assuming 100% of seats are full (let's say you're the best ramen place in town), that means that each server will get tips from 116 customers a night on a $14 bowl of ramen. To make $300/day, you need an average $2.59 tip on the $14 bowl of ramen for the server alone (never mind any haircut for back staff/tip sharing/the owner takes some to cover fixed costs of the restaurant). $2.59/$14 works out to 18.5%. In a world where entire apartments in the Mission cost $500/month, sure, you can tip 10% on a meal. But given market rate rents in SF now, the math of a 10% tip just doesn't add up.