Money, Tipping and Cards in the USA, How UK Travellers Can Pay and Budget Confidently
When travelling from the UK to the United States, understanding how to handle money can make a huge difference to your trip. From tipping at restaurants to using your UK debit card in local shops, there are small but important details that every traveller should know. This guide shares first hand advice on how to pay, tip, and budget confidently across America. Before you fly, remember you will usually need an ESTA. You can apply through USA ESTA Services so your travel authorisation is sorted ahead of time.
Why money matters on a USA trip
When you land in the United States, you will quickly notice that prices often look lower than what you actually pay. This is because sales tax is added at the till, not shown on price tags. Tipping also adds to daily costs. The price on the menu is rarely the total you will pay. Having a clear plan for spending will help you relax and enjoy your trip instead of worrying about money surprises.
Are UK debit and credit cards accepted in the USA
Can I use my UK debit card in the USA?
Yes, almost everywhere. Visa and Mastercard are widely accepted across shops, restaurants, and hotels. Some small stores may prefer cash, but in most places your UK card will work fine.
Do UK contactless cards work in the USA?
Contactless payment has grown rapidly. Most big chains and attractions accept it, though a few older card terminals may still require you to insert the chip.
What about American Express?
According to Wise, Amex is accepted in major cities but less so in smaller towns. If you use Amex, take a backup Visa or Mastercard just in case.
Should I tell my bank I am travelling?
Yes. Always inform your bank before your trip to avoid any fraud alerts that might block your card. You can reach out via your banking app or a call before you leave.
Cash vs card, which is best for UK visitors
The USA has become increasingly cashless, but it is still sensible to carry some dollars for small purchases, tipping, or rural areas.
| Payment Type | Advantages | Disadvantages | Best For |
| Debit or Credit Card | Safe, convenient, traceable | May include foreign fees | Restaurants, shops, hotels |
| Cash | Accepted everywhere, good for tips | Easy to lose, less secure | Tips, taxis, small cafes |
| Prepaid Travel Card | Good exchange rate, easy to top up | Fees may apply for inactivity | Budgeting and security |
Traveller insight: When I travelled to Chicago, card payments worked perfectly everywhere except a local food truck, which only accepted cash. Carry at least twenty to thirty dollars for these moments.
Hidden fees, what UK travellers should check before going
What fees will I pay using a UK card abroad?
Many UK banks charge around two to three percent for foreign transactions. Check your bank policy before leaving.
How can I avoid foreign transaction fees?
According to Nationwide, some cards, like travel credit cards, waive foreign fees entirely. If you travel often, consider applying for one.
What is dynamic currency conversion?
Some shops or ATMs ask if you want to pay in pounds instead of dollars. Always choose USD. Paying in pounds adds an unnecessary conversion fee.
Are ATM withdrawal fees higher in the USA?
Yes, especially at convenience stores or independent ATMs. Use machines attached to banks for the lowest rates.
In our experience: Checking your statement after each day helps spot any fees early and prevents surprises when you return home.
Tipping culture in the USA
Tipping is part of everyday life in America. Service staff often depend on tips for income.
| Service | Typical Tip | Notes |
| Restaurants | 15 to 20 percent of the bill | Sometimes pre added for large groups |
| Bars | 1 to 2 dollars per drink | Add to your card receipt or cash |
| Taxi or Rideshare | 10 to 15 percent | Round up to the nearest dollar |
| Hotel Porter | 1 to 2 dollars per bag | Hand directly in cash |
| Room Cleaning | 2 to 5 dollars per night | Leave on bedside table |
You can tip by card or in cash. Most card readers allow you to add a tip before completing payment. For hotel or taxi tips, cash remains best.
Tip from experience: Carry small one dollar bills, especially during your first few days before you withdraw more cash.
Budgeting for your USA trip
What is a good daily budget for a UK traveller?
A realistic daily budget for mid range travel is around £150 to £200 per person, including food, transport, and activities.
How much does coffee cost in the USA?
Expect to pay about four to five dollars for a standard coffee in a cafe.
Are prices higher because of sales tax?
Yes, sales tax varies by state, from about five to ten percent. This is added at the till, so always budget slightly more than menu prices suggest.
Example, a three day trip to New York might cost around £900 per person, while a week long Florida holiday may average £1500 including accommodation and food.
Safety tips, protecting your money abroad
How do you protect your UK card in the USA?
Use your banking app to monitor transactions daily. Many banks offer instant spend alerts.
Should I carry more than one card?
Yes. Keep a spare card in a separate wallet or bag in case one is lost.
What happens if my card is stolen?
Contact your bank immediately. Most UK banks can freeze or replace cards within a few days.
Can I withdraw cash safely?
Use ATMs inside banks, not street kiosks. Avoid withdrawing late at night.
According to HSBC, notifying your bank before travel can also reduce the risk of fraud holds.
Quick checklist before you travel
- Inform your bank of travel dates
- Take at least two cards from different banks
- Carry 20 to 40 US dollars in small notes for your first day
- Avoid exchanging money at airports due to poor rates
- Enable app alerts and contactless features
- Check your bank overseas withdrawal limits
- Review your insurance policy for lost or stolen cards
- Keep a record of your bank international phone number