Do I Need to Tip in Iceland? Understanding Local Customs
Tipping practices vary around the world, and knowing what’s expected in a new country can help you avoid awkward moments. In Iceland, the short answer is: tipping is not required or expected—but it’s appreciated for exceptional service. Icelanders are not culturally conditioned to expect tips, but no one will be offended if you leave one.
Why tipping isn’t expected in Iceland
- Wages include service costs: Iceland has strong labor laws and fair wages. Workers in hospitality, retail, and transport earn decent salaries, and prices already reflect that.
- No tipping culture: Icelanders typically don’t tip each other. A local wouldn’t tip a barista or a taxi driver—neither are you expected to.
- Service charges are included: At restaurants, all taxes and service costs are built into the menu prices. There are no surprise add-ons.
When tipping is appropriate or appreciated
- Tour guides: Tipping is welcome when someone provides a great experience—especially for multi-hour or private tours.
- Exceptional service: If someone truly goes above and beyond—helping with lost luggage, giving personalized travel help, or just being amazing—leaving a tip is a nice gesture.
- Spa or salon services: Some visitors tip for massages or treatments, but it’s not the norm.
You don’t have to tip, but you won’t offend anyone if you do.
How much to tip (if you choose to)
- Tour guide (day tour): 1,000–2,000 ISK ($7–$15) per person is common.
- Private guide or driver: 10% of the cost is generous but not necessary.
- Small gestures: Rounding up the bill, leaving loose change, or giving snacks or a thank-you note are all lovely ways to show appreciation.
Where you definitely don’t need to tip
- Restaurants and cafés
- Taxi drivers
- Hotel staff (unless helping with bags or special requests)
- Supermarkets, convenience stores, and any retail shops
- Gas stations or public service workers
4 Key Takeaways
- Tipping in Iceland is not required or expected.
- Locals rarely tip—even in restaurants or taxis.
- Tips are appreciated when someone truly goes the extra mile.
- If in doubt: round up, say thank you, or leave a smile.
Coming up next:
▶️ What should I know before visiting a swimming pool in Iceland?