18% service charge on UDP

[dng6325]

Hi,

 

Can any of you remember when NCL started charging 18% service charge on the UDP that passengers get as a free perk?

 

Thanks!

[nissach]

Hi,

 

Can any of you remember when NCL started charging 18% service charge on the UDP that passengers get as a free perk?

 

Thanks!

 

I don't know when it started...but I am confused on how you can pay 18% on something that is free. I know it is 18% of what you would pay if it was not part of the 'free at sea' offer...still sounds wrong, IMO.

[Jetlagged787]

I'll be watching this closely as I was under the impression that the cost included the 18% gratuity. If that is not the case then this is hardly a 'free' perk and they are welcome to remove it from my booking.

 

Meanwhile I have contacted my TA for confirmation.

[TonyFred]

Yes, you pay 18% gratuities on the Beverage and dining pkgs. It is in plain print and has been discussed many many times on here.

[ColinIllinois]

I'll be watching this closely as I was under the impression that the cost included the 18% gratuity. If that is not the case then this is hardly a 'free' perk and they are welcome to remove it from my booking.

 

Meanwhile I have contacted my TA for confirmation.

 

 

The terms are different for Europe than the USA/Canada.

[luddite]

Hi,

 

Can any of you remember when NCL started charging 18% service charge on the UDP that passengers get as a free perk?

 

Thanks!

 

I cannot remember when this happened.

[Moby0215]

I'll be watching this closely as I was under the impression that the cost included the 18% gratuity. If that is not the case then this is hardly a 'free' perk and they are welcome to remove it from my booking.

 

Meanwhile I have contacted my TA for confirmation.

 

You have to realize that tips/service charges are mostly an American thing. Looks like you are in Portugal so your booking may have different terms. it is easy to see just by looking at your booking receipt. It will clearly indicate if you were charged for the 18% service charge.

 

For us americans (who are used to tipping) this is absolutely a free perk. But also realize that for non-americans who do not have to pay the 18%, it is possible that your cruise cost may have been more/exchange rates etc or something that even it out in the end. One way or another NCL is getting their money.

[nissach]

I think I just read in another post that it first started in early to mid 2015.

[Jetlagged787]

You have to realize that tips/service charges are mostly an American thing. Looks like you are in Portugal so your booking may have different terms. it is easy to see just by looking at your booking receipt. It will clearly indicate if you were charged for the 18% service charge.

 

For us americans (who are used to tipping) this is absolutely a free perk. But also realize that for non-americans who do not have to pay the 18%, it is possible that your cruise cost may have been more/exchange rates etc or something that even it out in the end. One way or another NCL is getting their money.

 

Yes I am in Portugal Moby but the booking was made through an agent in the UK with NCL UK. I never realised that the T & Cs varied from country to country, let alone the cost of the cruise. Reading through other threads on here in similar topics, I'm getting a better understanding now.

 

Thanks for your input. :)

[hawkeyetlse]

The 18% specialty dining service charge was introduced in March 2015, for people who paid the cover charge on board or purchased the UDP.

 

The promotional UDP perk continued to be totally free through April 2015. The terms made no mention of service charge or gratuity, because it wasn't an issue until then.

 

In May 2015 the promo changed from UDP to a small specialty dining credit, and the terms said "Includes applicable gratuities", which meant that you could use the credit to pay for both your meal and the new 18% specialty dining charge.

 

In June 2015 the UDP perk came back, but now they added this statement to the terms: "Guest is responsible for 18% gratuities & service charges on the retail value of the Ultimate Dining Package prior to cruise."

 

Starting in August 2015, the UDP perk was replaced by the SDP, and the service charge has always been extra on the free SDP for bookings through NCL US.

 

So the answer to the OP's question is June and July 2015. If you booked with the UDP perk before that, it was completely free. If you booked after that, you didn't get the UDP.

[Moby0215]

The 18% specialty dining service charge was introduced in March 2015, for people who paid the cover charge on board or purchased the UDP.

 

The promotional UDP perk continued to be totally free through April 2015. The terms made no mention of service charge or gratuity, because it wasn't an issue until then.

 

In May 2015 the promo changed from UDP to a small specialty dining credit, and the terms said "Includes applicable gratuities", which meant that you could use the credit to pay for both your meal and the new 18% specialty dining charge.

 

In June 2015 the UDP perk came back, but now they added this statement to the terms: "Guest is responsible for 18% gratuities & service charges on the retail value of the Ultimate Dining Package prior to cruise."

 

Starting in August 2015, the UDP perk was replaced by the SDP, and the service charge has always been extra on the free SDP for bookings through NCL US.

 

So the answer to the OP's question is June and July 2015. If you booked with the UDP perk before that, it was completely free. If you booked after that, you didn't get the UDP.

 

It will be nice once the use of the acronym UDP goes away. It certainly adds a level of confusion. Sometimes people accidentally say UDP when they mean UBP. Or sometimes people just use UDP generically when they should be using SDP. :D

[hawkeyetlse]

You can't blame them, since NCL still uses UDP, too. For example if you have a 3-meal SDP, your keycard says "3UDP" on it. :(

[Moby0215]

You can't blame them, since NCL still uses UDP, too. For example if you have a 3-meal SDP, your keycard says "3UDP" on it. :(

 

True. Just makes it difficult to know 100% what someone is talking about on here. :eek:

[newmexicoNita]

I don't know when it started...but I am confused on how you can pay 18% on something that is free. I know it is 18% of what you would pay if it was not part of the 'free at sea' offer...still sounds wrong, IMO.

 

tell me; if you go to a land restaurant and have a 2 for 1 coupon, do you only tip on the meal you are paying for? I certainly hope not. what is the difference? I will add I understand how this can be a challenge for passengers from countries that do not subscribe to tipping but most we have visited, if they have no tipping do add a service charge. erglprbe you

Edited November 28, 2016 by newmexicoNita

[newmexicoNita]

You have to realize that tips/service charges are mostly an American thing. Looks like you are in Portugal so your booking may have different terms. it is easy to see just by looking at your booking receipt. It will clearly indicate if you were charged for the 18% service charge.

 

For us americans (who are used to tipping) this is absolutely a free perk. But also realize that for non-americans who do not have to pay the 18%, it is possible that your cruise cost may have been more/exchange rates etc or something that even it out in the end. One way or another NCL is getting their money.

 

Many countries we have visited do have a service charge: UK does in many places, the Bahamas has had a service charge for years and when we were in Spain it was expected. I can think of other countries as well, almost all the Caribbean expect tips and so does Mexico. the only 2 that come to mind that do not have a service charge or tipping policy we have visited is Hong Kong and Canada.

[triptolemus]

tell me; if you go to a land restaurant and have a 2 for 1 coupon, do you only tip on the meal you are paying for? I certainly hope not. what is the difference?

 

I've read this argument a thousand times and it doesn't really hold water. In your land restaurant, the diner can be reasonable assured that the tip they are giving will be going to the server. The problem is that NCL considers your "tip" a "service charge & gratuity". One cannot be reasonably certain how much, if any, actually is a tip that the server receives. The ambiguity NCL introduces into this whole process makes your comparison pointless.

Edited November 28, 2016 by triptolemus

[IrieBajan54]

Yes I am in Portugal Moby but the booking was made through an agent in the UK with NCL UK. I never realised that the T & Cs varied from country to country, let alone the cost of the cruise. Reading through other threads on here in similar topics, I'm getting a better understanding now.

 

Thanks for your input. :)

 

I was on the Epic TA cruise and met a few UK passengers who told me that there is no tip on the beverage package. It is not permitted by law. So since you booked on the NCL.UK site, you should definitely not be charged.

[Moby0215]

I've read this argument a thousand times and it doesn't really hold water. In your land restaurant, the diner can be reasonable assured that the tip they are giving will be going to the server. The problem is that NCL considers your "tip" a "service charge & gratuity". One cannot be reasonably certain how much, if any, actually is a tip that the server receives. The ambiguity NCL introduces into this whole process makes your comparison pointless.

 

This is not always true. In many bars/restaurants tips are pooled and split. So you still aren't reasonably certain that the tip is going to the person whom you handed it to. So the comparison is not pointless.

[sfaaa]

I don't know when it started...but I am confused on how you can pay 18% on something that is free. I know it is 18% of what you would pay if it was not part of the 'free at sea' offer...still sounds wrong, IMO.

 

If you think it's wrong, don't pick UDP. Problem solved.

[punkincc]

This is not always true. In many bars/restaurants tips are pooled and split. So you still aren't reasonably certain that the tip is going to the person whom you handed it to. So the comparison is not pointless.

 

 

We have someone in the family who has worked as both a server and a bartender for years here in the US, and although they sometimes may 'tip out' a portion to bus boys, etc, the tips they earn are theirs. They are not pooled, and you would find few servers who would stand for a pooled tips system for obvious reasons. No one is going to bust their butts to provide great service which generates a great tip, and then divvy it up even-steven with the slackards they work with who earned very little tip. And, there is no "service charge" to cloud the issue.

 

So yeah, when I pay an 18% tip to a waiter at home, I know the money goes in his pocket. The 18% on the ship? X part tip, X part service charge, who knows how much the server ends up with. The only way to know for sure is to tip additional in cash, after you have already paid 18% upfront on the package price, or the package value for promos.

[edenrayne]

Many countries we have visited do have a service charge: UK does in many places, the Bahamas has had a service charge for years and when we were in Spain it was expected. I can think of other countries as well, almost all the Caribbean expect tips and so does Mexico. the only 2 that come to mind that do not have a service charge or tipping policy we have visited is Hong Kong and Canada.

 

It is customary to tip in Canada. Automatic service charges will only apply in events where there are larger numbers dining.

[Moby0215]

We have someone in the family who has worked as both a server and a bartender for years here in the US, and although they sometimes may 'tip out' a portion to bus boys, etc, the tips they earn are theirs. They are not pooled, and you would find few servers who would stand for a pooled tips system for obvious reasons. No one is going to bust their butts to provide great service which generates a great tip, and then divvy it up even-steven with the slackards they work with who earned very little tip. And, there is no "service charge" to cloud the issue.

 

 

 

So yeah, when I pay an 18% tip to a waiter at home, I know the money goes in his pocket. The 18% on the ship? X part tip, X part service charge, who knows how much the server ends up with. The only way to know for sure is to tip additional in cash, after you have already paid 18% upfront on the package price, or the package value for promos.

 

 

 

I know of many places that pool tips. Mostly at bars. I have many friends that are in the service industry and actually prefer this method.

 

 

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[DMH15]

It is customary to tip in Canada. Automatic service charges will only apply in events where there are larger numbers dining.

 

 

Like thousands on a cruise ship?

 

 

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[bplazo]

The crew need to be paid and that is why they probably started the 18 percent.

[Jetlagged787]

I spoke to NCL in the UK today and this is their answer.

 

If you have an Unlimited Beverage Package as a free perk, the situation regarding the 18% gratuity is:

 

If you have booked and paid for your cruise in the US or Canada you will be charged the 18% gratuity on the value of your 'Free' perk. Sorry about that!

 

For those who book and pay for their cruise in Europe, there is nothing else to pay as your perk includes the gratuity. Mention has been made elsewhere of a sales tax (VAT/IVA to those of us in Europe), that is applied when in Spanish and Italian national waters. The advisor at NCL did state that those with the UBP as a free perk do not have to pay this tax.

 

NB An important exception occurs if you choose a drink with a value exceeding $15. As you know, the UBP covers drinks up to the value of $15. If you choose a drink of higher value, you will be charged the difference plus a gratuity of 18% on the difference only. If the ship is in the national waters of either Spain or Italy, you will also be charged the applicable sales tax/VAT/IVA at the rate applied by that particular country. Full details of this charge, including the rate and area where it applies, will be available once you are on board. The moral of the story is that to avoid the sales tax, wait until you are in International waters.

 

Please don't shoot the messenger. I have passed this information on in good faith, in the hope that it will help folk and settle, once and for all, the discussion regarding this 18% gratuity.

 

Happy cruising folks! :cool: