- Personal Finance Expert Suze Orman Weighs In
on Care.com’s 2015 Holiday Tipping Survey -
‘Tis the season to be tipping! Care.com (NYSE: CRCM), the
world’s largest online destination for finding and managing family
care, today revealed findings from its 2015 Holiday Tipping Survey,
noting that 70% of families will tip this holiday season, and 18%
plan to tip more than in the previous year. With 41% of families
budgeting for holiday tips this year, and one in five families
estimating to spend more than $250 in holiday tips, Care.com asked
personal finance expert, Suze Orman, to weigh-in on savings trends
and how families can navigate the holiday season without sinking
into debt.
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View the full release here:
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New Care.com Survey Reveals Families Are
More Generous and Savvy about Holiday Tipping in 2015 (Photo:
Business Wire).
“My two favorite findings from the Holiday Tipping Survey are
that 41% of people surveyed are budgeting ahead for tips, and that
almost all of the respondents are prioritizing people with whom
they have long-term, meaningful relationships, ” said personal
finance expert Suze Orman. “By planning, families can get through
the holiday season without putting themselves in a risky financial
situation, and by prioritizing whom they tip, they’re not only
sticking with their budgets but also sticking to the true spirit of
the season.”
Continues Orman, “The goal is not to bust your budget in the
last weeks of the year and start 2016 in debt. I was pleased to see
families getting creative and resourceful with a limited budget by
using gift cards, especially those with rewards programs, and
through the personal touch of homemade gifts.”
Key findings from the Care.com 2015 Holiday Tipping Survey and a
“Holiday Tipping Dos and Don’ts Guide” are below.
Care.com 2015 Holiday Tipping Survey
Highlights
Who is Tipping in 2015
- People who plan to holiday tip:
70%
- Who budgets: 41% of parents
budget for holiday tips
- How much people spend: 1 in 5
families spend more than $250 in holiday tips; 34% budget between
$101-$250; 8% spend more than $400
- Those in the giving spirit: 60%
plan to tip the same amount as last year; 18% will tip more
generously than in 2014
- How people tip: 30% tip in cash
only; 60% prefer a mix of cash and physical gifts
- Gift Cards on the Rise: 77% use
gift cards/certificates as holiday tips (up from 45% in 2014!)
Why People Tip (And Don’t)
- Why people tip: 85% tip to say
thank you for a job well done; 21% tip because it is expected
- Tipping out of fear: 11% tip out
of fear they won’t get good service the following year
- Those not tipping this year:
30%
- Why skip the tip?: 41% cannot
afford holiday tips; 29% forget to tip; 34% believe holiday tips
are not necessary
Who Takes Priority
- How many people they tip: 42%
tip up to 3 people during the holiday season
- Prioritizing caregivers: 60%
prioritize tips for babysitters, nannies, daycare workers,
etc.
- Focusing on their children: 42%
tip those who regularly interact with their children such as
coaches, tutors, teachers, etc.
- Personal relationships: 47% tip
personal care contacts such as hairstylists, manicurists, personal
trainers, etc.
- Home care: 39% will tip those
who handle home care needs
2015 Holiday Tipping Trends
- Tips for pet care: 14% are
tipping dog walkers, cat sitters and other pet care providers
- Rewards programs: of those
skipping cash, 77% use gift cards/certificates as tips and often
receive rewards and incentives for doing so
- Get cooking: 45% will gift
homemade food – no fruitcake please
- Smart or taboo: 34% admit they
have re-gifted for holiday tips
DOS AND DON’TS OF HOLIDAY TIPPING
DOS
Do Have a Tipping Action Plan: Be like the 41% of parents
surveyed and budget for holiday tips. Decide how much money you can
use for tips in total. Then make a list of the number of people
you’d like to tip this year and simply divvy it up. Be honest with
yourself and don’t exceed your budget.
Do Make Things Personal: Include a hand-written, sincere
thank you. Share something specific they did this year for you or
your family that made a difference in your life.
Do Keep a Tipping Diary: Each year, keep a list of those
you tipped and how much. You don’t have to do the same thing every
year, but it helps to have a gauge. Keeping a diary will also help
you avoid missing anyone important!
Do Have a Tipping Timeline: According to our Care.com
survey, close to half of families (46%) share their holiday tips in
early December. If you know your budget is going to be especially
tight in December, start setting aside money earlier in the season.
Some families (5%) save holiday tipping for the New Year, but try
and remember that some professionals rely on holiday tips for their
own holiday budgets.
Do Remember it’s Not One Size Fits All: Different
families, different priorities, different budgets. Prioritize the
people most important in your life and see how far your budget
takes you. Be comfortable making small adjustments to make the
budget work.
Do Get Creative and Mix Things Up: Cash may be preferred,
but it is not the only way to say thank you. 57% of parents
surveyed said they have felt guilty about not giving someone a
holiday tip. Avoid the guilt, think about each person, and get
creative with your budget. Consider gift cards – many offer reward
programs for buyers—and handmade gifts. And get the kids involved
with cards, holiday arts and crafts, and baked goods!
DON’TS
Don’t Exceed What You Can Afford: Tipping is important,
but it’s not something that should put you in debt. Give what you
can and no more. Remember that running up your credit card bill to
account for tips means that you’ll be paying more over a longer
period of time.
Don’t Feel Like a Grinch: Can’t afford to exceed what you
gave your doorman last year? You’re not a holiday scrooge. Add a
thoughtful hand-written thank you in your card this year (and every
year for that matter!) and add a box of from scratch cookies to
show how much you appreciate his hard work.
Don’t Re-gift, Unless…: Re-gifting is generally taboo,
but there are exceptions. Not a coffee drinker and find yourself
with a $20 Starbucks gift card? There is no crime in giving it to
your latte-loving babysitter as a special holiday thank you.
Don’t Forget What Holiday Tipping is all About: Holiday
tipping is part of the holiday spirit and is meant to show
appreciation for a job well done. While cash is definitely the most
popular tip to receive, those important people in your life will be
grateful for the recognition for their hard work.
Visit Care.com/happyholidays for more information on the
Care.com Holiday Tipping Survey.
Suze Orman is America’s most recognized expert on personal
finance. She is a two-time Emmy Award-winning television host, New
York Times bestselling author, and one of the top motivational
speakers in the world today.
Suze Orman is an early investor in Care.com. She was not
compensated for providing the commentary on the Care.com Holiday
Tipping Survey. For more money tips from Suze, visit
SuzeOrman.com.
About Care.comSince
launching in 2007, Care.com (NYSE: CRCM) has been
committed to solving the complex care challenges that impact
families, caregivers, employers, and care service companies.
Today,Care.com is the world’s largest online destination for
finding and managing family care, with 17.8 million member
consumers* across 16 countries, including the
US, UK, Canada and parts of Western Europe, and
approximately half a million employees of corporate clients having
access to our services. Spanning child care to senior care, pet
care, housekeeping and more, Care.com provides a sweeping
array of services for families and caregivers to find, manage and
pay for care or find employment. These include: a comprehensive
suite of safety tools and resources members may use to help make
more informed hiring decisions – such as third-party background
check services, monitored messaging, and tips on hiring best
practices; easy ways for caregivers to be paid online or via mobile
app; and household payroll and tax services provided by Care.com
HomePay. Care.com builds employers customized benefits
packages covering child care, back up care and senior care
consulting services through its Global Workplace Solutions, and
serves care businesses with marketing and recruiting support. To
further connect families, Care.com has expanded its
consumer service with its 2013 acquisition of Big Tent, a community
platform. Headquartered in Waltham,
Massachusetts, Care.com has offices
in Berlin, Austin, New York
City and Silicon Valley.
*As of September 2015
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version on businesswire.com: http://www.businesswire.com/news/home/20151201005598/en/
Care.comLaurie Coghlan, 609-238-6388Public
Relationslaurie.coghlan@care.com
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