Tipping in Mexico

 

Tipping in pesos or USD?

(Written by an American friend who’s lived in the Riviera Maya for 17 years)

This question must be asked a dozen times every day on the various “Traveling to Mexico” forums and Facebook groups and it’s a valid question. I’m going to address this here and then you can feel free to share the info (or ignore it) as you will.

Why should you pay/tip in pesos rather than USD?

1. Not everyone in Mexico (actually very, very few people) have a USD account to deposit money into. In fact, many people have no bank account at all. Banks do not exchange currency for anyone who does not have an account there. My bank will not exchange USD for me and I have an (peso) account.

2. Many people here do not hold a passport or the identification required to exchange currency in a “casa de cambio”.

3. The best place to use USD and get a favorable rate is in a large chain store like Chedraui, Walmart or Home Depot. Many people will have to travel some distance to reach one of these stores costing them time and money.

4. Many if not most of the local mom & pop local shops, tienditas, taco stands etc. would rather not accept USD (see reasons above) putting them at an even further disadvantage to the large grocery chains that they already must compete against. If you want to support local small business owners, spreading pesos into the community is a big help.

5.If you absolutely MUST pay or tip with USD please make sure you do not use coins and that the bills you distribute are absolutely pristine. In the US, we can draw all over our bills (think turning Abraham Lincoln into Mr Spock) and still use them as legal currency. For any currency to be legal in Mexico the bill must not be torn, marked or marred in any manner. I have a pile of USD that I cannot pass along here that I will use on a future trip to the US.

As you well know, the Mexican people are kind and courteous and polite to a fault. Any tip, no matter what currency it is in, will be gladly received and it would be culturally unacceptable to even indicate a preference. I hope this information is useful and makes sense. Please feel free to pass it along.