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Service Charges

Service charges are fees added to the cost of a service, usually to cover operating expenses or compensate staff. Common in industries like hospitality, dining, and utilities, these charges can sometimes replace tips or reflect additional service levels. For instance, a restaurant might add a service charge to the bill to ensure fair wages for the staff, rather than relying solely on customer tips. It’s important for consumers to review bills carefully, as service charges can impact overall costs. Always check if they're included in the price or added separately, as policies can vary widely.