To split a bill fairly, calculate the tip first, add it to the bill, and then divide the final total by the number of people. Keeping those steps separate makes the result easy to check.
The same formula works for any tip percentage and group size. When people ordered very different amounts, calculate each person’s share before applying the tip instead of dividing equally.
The bill-splitting formula
Tip amount equals the bill multiplied by the tip percentage written as a decimal. Add the tip to the bill, then divide by the number of people.
- Tip = bill × (tip percentage ÷ 100)
- Total = bill + tip
- Per person = total ÷ number of people
Tip before or after tax?
Customs vary. Some people tip on the pre-tax subtotal, while others tip on the final amount. If the receipt shows both values, decide which one your group wants to use before calculating.
When an equal split is not fair
An equal split is convenient when orders are similar. When they are not, assign each item and its tax to the person who ordered it, calculate the tip on each subtotal, and add any shared items in agreed proportions.
Common questions
Questions about this topic
How do I calculate a 20% tip quickly?
Multiply the bill by 0.20. Another shortcut is to find 10% by moving the decimal one place left, then double it.
Do I divide before or after adding the tip?
Add the tip first and divide the complete total. That ensures the group covers both the bill and the tip.
What if the result does not divide evenly?
Round to the nearest cent and have one person adjust their share by the few cents needed to match the exact total.