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permalink: /glossary/surcharge.html
i18n_link: surcharge.html
updated: 2026-04-20
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t_keyword: Surcharge
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date_published: 2026-04-20
date_modified: 2026-04-20
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  t_meta_title: What is Surcharge in Restaurants?
  t_meta_description: Learn what a surcharge is, why restaurants add it to card payments, and how it helps reduce processing costs.
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    v_date_published: 2026-04-20
    v_date_modified: 2026-04-20
  author:
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    t_author: Priyanka Bhadani
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    t_author_description: Jin is a content coordinator and SEO strategist for the Hubworks marketing team. When she's not busy writing and conducting research, she enjoys reading, binging Netflix, and exploring the outdoors with her rescue dog.
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  content:
    heading:
      t_title: What does Surcharge mean in the restaurant industry?
      t_description: The practice of adding a checkout fee or an additional charge to a customer's bill.
      image:
        i_image: credit-card-processing-101-how-it-works-best-options-1597884200-6489.png
        t_image_description: Credit Card Processing
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      t_text: <p>The practice of adding a checkout fee or an additional charge to a customer's bill. When they pay with a <a href="https://plumpos.com/credit-card-processing.html">credit card</a> is known as restaurant surcharging. There is a cost associated with processing credit card payments made by customers. In order to pass on the card fees incurred by customers who wish to pay with a card, restaurants opt for surcharging.</p><h2>Top Advantages of Surcharging</h2><p>The rules governing surcharging in your area. Your current card fees will determine whether surcharging is appropriate for your business. Among the advantages are:</p><ul><li>Reducing the cost of processing</li><li>Maintaining competitive <a href="https://plumpos.com/blog/how-pos-menu-management-simplifies-menu-updates-pricing-and-order-accuracy.html">menu prices</a></li><li>Making money available for purchases, employment, employee benefits, etc.</li></ul><p>It's crucial to remember that surcharging is prohibited in several states and provinces. Before incorporating it into your payment plan, check your local legislation.</p>
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