Wedding service charge vs. gratuity: what “$100++” costs

The two plus signs are not two fixed fees

In a catering or venue proposal, “$100++” usually means the stated price is followed by a mandatory service or administrative charge and sales tax. The notation is shorthand, not a complete calculation. The percentages and the order in which they apply must come from the proposal or contract.

A service charge may be retained by the venue rather than distributed as a tip. Ask whether gratuity is included, optional or expected in addition to the service charge. That answer can materially change the final food-and-beverage budget.

A 150-guest example

At $100 per guest, 150 guests create a $15,000 food-and-beverage subtotal. If a 24% service charge applies, it adds $3,600. If 8% sales tax is then assessed on the $18,600 combined amount, tax adds $1,488 and the total becomes $20,088—or $133.92 per guest.

That example is illustrative. Some jurisdictions tax service charges differently, and some proposals apply fees to bar, room rental or labor on separate bases. Use the calculator above with the actual percentages shown in your documents.

Questions that close the remaining gap

Ask the venue to provide a sample banquet-event-order total at your estimated guest count. It should show each percentage, taxable subtotal and mandatory line instead of only repeating the package price.

• What exact subtotal receives the service charge?
• Is the service charge taxable at this location?
• Does the service charge include gratuity for servers and bartenders?
• Are bar labor, cake service, rentals or room fees outside the per-person price?
• Will the guaranteed guest count or food-and-beverage minimum control the final bill?

Service charge and gratuity are not interchangeable words

Treat each label as a contract term, not a promise about who receives the money. A mandatory service or administrative charge can cover business overhead, while a gratuity or tip may be distributed to staff. The document should say whether any mandatory percentage is paid to servers and bartenders and whether an additional tip is expected.

If the proposal only says “service charge,” ask the venue to answer in writing. Do not add a second gratuity automatically, and do not assume the service charge already rewards the staff. The correct budget depends on the venue’s policy and the signed agreement.

Rebuild the calculation before comparing venues

Write down the food subtotal, beverage subtotal, mandatory percentage, taxable amount and any separate gratuity. Apply the same guest count to every venue and keep optional upgrades outside the required total. This turns a headline per-person price into an expected out-of-pocket figure.

• Confirm whether the service charge applies to food, beverage, room rental, labor or all of them.
• Confirm whether tax applies before or after the service charge at this location.
• Record food-and-beverage minimums even when the guest-count total is lower.
• Add mandatory bartender, station, cake, corkage and vendor-meal charges.
• Keep gratuity separate until the contract says it is included or required.

A short email that gets a useful answer

“Could you send an itemized estimate for our date and guest count showing the food-and-beverage subtotal, every mandatory service or administrative charge, the taxable subtotal, sales tax, and whether staff gratuity is included or expected separately? Please also show which charges count toward the food-and-beverage minimum.”

Save the response with the proposal. A written calculation is easier to compare and gives both sides a shared reference if the package changes later.