We hear you. No one likes extra fees.
While you may not have seen this outside of San Francisco, you'll often see a surcharge listed on menus in the City. Our 7% surcharge funds employee benefits for our team and balances costs like minimum wage increases, local county ordinances, rising energy costs, and healthcare premiums, which are significantly more expensive in San Francisco than elsewhere in the country. Recouping these costs via a prominently displayed surcharge allows us to keep prices steady across the menu.
It’s worth mentioning that the surcharge is not a gratuity. Gratuity is left to your discretion, greatly appreciated, and shared among our entire hourly staff.
FAQs
What is this surcharge?
The 7% surcharge funds comprehensive healthcare benefits for our team and offsets the higher operating costs for restaurants and small businesses in San Francisco.
Why not build the surcharge into your menu prices?
Honestly, we could, and someday we might. This is a polarizing issue with many people and we’ve experienced as many objections to raising prices as we have to imposing the surcharge. We’re always evaluating the approach that best suits Octavia and its guests.
Isn’t this a hidden fee? I thought those were outlawed.
Importantly, the 7% surcharge is a fee we want you to be aware of. We’re open about this fee and have displayed it prominently on our menus and website. To answer your question though, restaurants were exempted from this recent legislation (See: CA SB 1524) so this is not considered a “junk fee” or “hidden fee” so long as it is prominently displayed.
How do I know what this fee is really being used for?
As stated, this fee funds our whole team’s healthcare benefits, and offsets many costs specific to San Francisco (minimum wage increases, local security ordinances, rising energy and utility costs, and healthcare premiums) that allow our small business to continue operating. Sure, you’ll have to take our word for it…which is the same position you’d be in if we increased our menu prices instead.