Whether or not to tip and, if so, how much to tip, is a deeply personal decision. Different cultures view the practice in different ways, from our American perspective of tipping as a reward/incentive for performance to the Japanese, who do not tip at all.
On the message boards travelers argue vehemently about the "rightness" of adapting to the local culture vs. the "niceness" of handing out money, regardless of what is expected.
There is no right answer, but there are lots of opinions. Here are three different perspectives:
Rick Steves on tipping in Europe
Fodors Travel on tipping in Italy
Lonley Planet on tipping
I particularly like this Italian article, written for Italians traveling to other countries. They note that some (Italians) may think that they should tip 10%, "but in the memory of human kind no Italian has ever done so": Mediaset article on tipping (in Italian)
As you read through the documents the agency (Jet Vacations) has sent to each of you, you will note that tips are already paid for the hotels and all included meals.
Again, everyone should do what makes them comfortable. For what it's worth I'll share my thoughts on what the agency has suggested on the following points because the document they use is generic and not specific to Italy:
- Drivers and local guides - I personally feel that €3 per person, per day for the bus driver and each local guide is excessive
- €4 per day, per person for the Tour Director is on the high end, but not unreasonable
- If a service fee is included at a restaurant there is no need to tip anything additional; if there is no service fee the maximum I would tip is 10%
- In a cafe or bar a 15% tip, as suggested by the agency, is way over the top
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