COMMAGTV

- Money Matters -

Tipping and Bargaining

Thursday, October 11th, 2007

Picture is taken by Angelo Juan Ramos and is licensed under Creative CommonsTipping in Bali
At some times, it’s a nice gesture to give a tip in Bali. Many restaurants add a standard service charge of 5% - 10% to the total bill. Don’t feel obligated to give a tip, but when the service was really satisfying, feel free to do so. Keep this tip small, like a few thousand Rupiah (depending on the total bill). It’s kind to upgrade the service charge to a 10 or 15 %. Most times, the salary of the staff is low and they are depending on the tips to survive. Consider this while paying the bill.

When you decide to take a taxi, it’s basically the same story. For short distances, you better let the meter decide the price and some little tip when paying the driver (not obligated, but don’t expect that the driver has the exact amount of change back). For a longer trip, like a day trip, you bargain for the total price. You don’t have to tip then, but it’s kind to provide the driver with some drink, like mineral water, during the long trip.

Bargaining
Some hate it, some think it’s a sport. Bargaining in Bali is very common and it’s better you learn the game if your not willing to pay crazy prices. The main rule is; stay friendly, it’s all a game. And the second is; know what you are willing to pay and don’t cross it.

Try to get the first price from the seller, unless you know what the right amount is to pay for the product. The first price is normally a ridiculous amount. Laugh a little and make clear that that’s just way too much. Now it’s time to give your price; try to make this extremely low. There’s now enough space between your price and the seller’s, so it will probably end somewhere in the middle. Take your time with bargaining and don’t give in to soon; when much time spend, you’ll probably get a lower price. Sometimes it’s even better to spread the bargaining over a few days, when the product is really valuable like a piece of art. When so much time is spend, the seller will think it’s a waste of time to not sell the product.

When you sense that you don’t get the product for the price your willing to pay; just walk thank them friendly and away. Often the seller will come back to you with a lower price, or even the last price you mentioned.

At last but not least; don’t buy on the first day of your first trip to Bali. Explore the shops and try bargaining, to find out what the prices are of specific products your interested in. Lots of products are available in many shops so it’s no shame to get to know the value first.

Happy shopping!

Other paying methods

Thursday, October 11th, 2007

If you have a credit card, don’t leave it at home. It’s an easy way to pay in Bali, especially for your hotel expenses. It’s also very common that hotels ask for a credit card as a security deposit. MasterCard and Visa are the most widely accepted credit cards. American Express is a distant third.

With your debit card, you can take cash money from the most ATM’s in Bali (please check your local bank first). These ATM’s are everywhere in more touristic areas. The cost of a withdrawal can vary on where you go and on you local bank. Most of the ATM’s have a maximum on the withdrawal. This is often Rp 1,000,000. Though you can come very far with Rp 1,000,000 in Bali, you can choose to make several withdrawals.

Currency Information

Sunday, October 7th, 2007

The Indonesian Rupiah (IDR / Rp) is the official currency in Bali. The name derives from the Indian monetary unit rupee. Informally, Indonesians also use the word “perak” (’silver’ in Indonesian) in referring to rupiah.

Below, you see all the banknotes in rupiah, that are accepted in Indonesia.
The values are: Rp 100,000 - Rp 50,000 - Rp 20,000 - Rp 10,000 - Rp 5,000 - Rp 1,000
Rupiah Banknotes
The coins are divided in the following values (see image below)
Rp 25 (very rare) - Rp 50 (rare) - Rp 100 - Rp 200 - Rp 500 - Rp 1000
Because of the low value and shortage of the small coins, it’s very common to get sweets in supermarkets as change-money, instead of the last few rupiah.

rupiah coins

The first rupiah was introduced in 1945. During the Indonesian War of Independence (1945-1949), the rupiah circulated alongside the Netherlands Indies gulden (including issues of the Japanese government, the Javanese Bank (Java rupiah) and the Dutch Government (NICA gulden)) and the Netherlands Indies roepiah, which had also been issued by the Japanese government. By the end of 1949, the Republic’s rupiah had replaced the other currencies throughout Indonesia.