Steve, Are you saying that pesos are better for the staff? Most of the money I tend to take down is for them and so I'd prefer to do whatever is better for them. After all they are such a huge part of what has made my trips so much fun.
I believe that yes Pesos are better for the staff. Money is money so I'm sure they'll be happy whatever way it comes. But, when you think about what they use the tip money for- groceries, paying their electric/water/gas, rent/mortgage payments, clothes for their kids etc all that needs to be paid in Pesos, so they will have to exchange Dollars and probably not get a great rate plus take time out of their day when most only get one day off a week. Dollars are good for touristy things like paying for nightclub entries and tours etc, but these guys aren't visiting Chichen Itza or going to Coco Bongo on their day off
comments on conversion and tips I was in cancun first time ever in march and i brought pesos and american dollars. I took time to study the conversion and study a bit the minimun salary in mexico and what mexicans can get with an amount of money. for instance in the supermarket they can buy a local beer for around 14 pesos. Rent a small apartment for 3000 pesos. My concern was to provide a decent tip to the locals. google exchange gives you this 1 dollar= 12 pesos 5 dollars = 60 pesos 10 dollars = 120 pesos 15 dollars = 180 pesos 20 dollars = 240 pesos 30 = 360 pesos 50 = 600 pesos When I was buying the party packages to go to clubs (to the party crew in our hotel) i would get charged $60 dollars but when asked how much in pesos they would say 600 pesos, they usually quote 1 dollar = 10 pesos so i was actually saving a bit of money when using pesos. And on other transactions with the locals it was the same, the only time it didnt work out was when the lady rep at the hotel sold me the tour to chichenitza and she grabbed the calculator and use the right conversion rate. for instance in my hotel since i paid for my drinks , an usual beer cost 50 pesos (4 dollars are 48 pesos) and i would give them 50 pesos + 20 pesos tip a couple of times and then after servers would be relatively quick serving my drinks. I personally think 20 pesos tip is good tip for dinner that go up to 200 pesos. to conclude, and in my opinion you can save money using mexican pesos but if you really wanna relax and think of nothing go ahead with us dollars and assume 1 dollar = 10 pesos and you will be fine.