Employee Holiday Gift Bags

[HazelAnne]

What would you include in holiday gift bags for a group of employees? (If it matters, average age is late 20’s- 30’s) I was thinking maybe gourmet coffee, some type of baked good/specialty candy. I’d like to include non-food items too. Any suggestions would be much appreciated! 

[Tiberia]

Your ideas sound good. Maybe gourmet hot cocoa packets, some chapstick, a nice pen, some hand warmers, gum or breath mints.

[TheReader]

If you/the company aren't opposed, scratch off lottery tickets are super fun. 

Perhaps some with herbal tea/gourmet tea instead of or along with the coffee. 

 

[Kassia]

1 minute ago, Tiberia said:

 Maybe gourmet hot cocoa packets, some chapstick, a nice pen, some hand warmers, gum or breath mints.

I love these.  Most of my kids and their SOs are in this age group and like those things.  I was also thinking of the scratch off lottery ticket as @TheReader suggested

[TechWife]

I’ve made several different baskets over the years. I usually go with a theme. In recent years I’ve realized that it is much less expensive to buy pre-made baskets if you are doing food or don’t particularly want to personalize them. Home Goods always has a large selection of gift baskets. Costco does as well, and they have the option to order online and have them delivered. 

[73349]

I would've vastly preferred to just get paid the amount that would've been spent on the basket, in a card thanking me for my work.

If that's not possible for some reason, maybe include fun/seasonal colors of stationery items  (sticky notes, pens, highlighters, even a 2024 calendar or planner), especially if people in that field do a lot of analog work.

 

[Matryoshka]

14 minutes ago, 73349 said:

I would've vastly preferred to just get paid the amount that would've been spent on the basket, in a card thanking me for my work.

If that's not possible for some reason, maybe include fun/seasonal colors of stationery items  (sticky notes, pens, highlighters, even a 2024 calendar or planner), especially if people in that field do a lot of analog work.

 

This.  I throw out or donate 99% of what I get in most 'gift baskets'.  What a colossal waste of money, time, and resources.  Give me an Amazon gift card with the money instead.  Easier for you, useful for me.  Dh gets tons of these baskets/bags, sometimes work but tons from volunteer gigs he goes to.  So many water bottles, mugs, random food items that I never get around to eating (or shouldn't eat and wouldn't be tempted if it weren't here,  so thanks/not).  Takes me a lot of mental energy and unnecessary guilt to figure out how to dispose of all this cr*p.  I'm always thrilled when they give a gift card instead.

If you absolutely must, give non-edible consumables as pp suggests (but not a calendar; I think most people either use digital or are very picky about the formatting of their personal analog planners, so more direct-to-recycling).

Edited November 30, 2023 by Matryoshka

[Grace Hopper]

I believe most people would prefer cash/VISA gift cards that they could spend anywhere. Your ideas are thoughtful, but if they’re not given in conjunction with a gift of money, it’s not the most popular way to holiday bonus your employees. This is the time of year when budgets run tight and a little extra to spend on their own families would be most appreciated. 

[marbel]

Yes to cash or a generic gift card that can be used anywhere (like a VISA gift card as mentioned above). No to stuff, consumable or otherwise.

Edited November 30, 2023 by marbel

[TechWife]

Remember gift cards and money are taxable income and when given by an employer.  I've run into this multiple times at work.

 

[HazelAnne]

Thank you for the suggestions! I agree that I’d prefer a gift card myself, but I wasn’t sure if that would be allowable, and hadn’t even considered what  @TechWife said, about it becoming taxable income. Thank you for pointing that out! 
I’ve done Costco gift baskets in the past, but already have a local item to include, so thought I’d make my own bags. 

[HazelAnne]

1 hour ago, Tiberia said:

Maybe gourmet hot cocoa packets, some chapstick, a nice pen, some hand warmers, gum or breath mints.

Love these ideas!

[Innisfree]

I think a lot depends on how much the employees are earning. If they’re all highly compensated, to the point that medical expenses, child care, auto maintenance, etc. aren't ever going to be problems short of something like a gambling addiction, then go ahead with the fun gift bags or baskets.

If your employees are likely to have actual needs that they may have a hard time affording, then please give them something that will help them. Gift cards are a reasonable way to do this, even if they need to be accompanied by a reminder to include them in tax filings.

Another option would be something that most families can use, which is the same every year, so they can count on it being available for them during the holidays. One company I know of has for many years given each employee a frozen turkey. Now that more people are vegetarians, maybe a fruit basket would be a good thing to offer as an alternative. The point is that it can be something they build into their planning, knowing that thing at least is already taken care of.

[Faith-manor]

AA batteries. Everyone needs them for a wide variety of devices, and it gets old buying them. If providing recharging stations at the office, giving them rechargeable batteries is great.

Mark puts six in each of our adult kids' stockings at Christmas with a little note, "Amazon basics. Gift not included." They love it, and their friends think it is hilarious as well as a much needed gift.

I am a big fan of those pocket size LED flashlights as well. So handy to keep in pockets, purses, glove compartments, etc.

[TechWife]

13 minutes ago, Innisfree said:

...Gift cards are a reasonable way to do this, even if they need to be accompanied by a reminder to include them in tax filings.

...

The employer is the one responsible - typically the taxes are withdrawn from the next paycheck, which can cause other budgetary problems for employees.

[Innisfree]

2 minutes ago, TechWife said:

The employer is the one responsible - typically the taxes are withdrawn from the next paycheck, which can cause other budgetary problems for employees.

Ah. Okay, that’s a pity. In that case my own preference would be for something useful, tangible and predictable, like the turkey. 

[kbutton]

DH’s work sends a Butterball check each year for a Turkey, but it can also be used for groceries.

I hate Visa gift cards with a fiery passion—the registering and needing to know the exact balance is a pain both for the user and for the cashier where they use them, and I feel bad that they cost more than the face value for the person gifting them.

I would include something practical even if it’s a bit unusual. I do this with family, and it creates speculation about what weird but useful item they’ll get. I always get feedback later about how useful the gift was even if I get odd looks when it’s received, lol! Monkey hooks are this year’s odd gift. I’ve done stretchy covers for covering an open bowl or can, reusable post-it notes, rechargeable lightbulbs, etc.

I would be ecstatic to get nice silicone sandwich bag replacements in a gift bag (among other sizes). There are cheaper versions, but they seem to have zipper issues. Ziploc and Stasher would be my suggested brands. If they hate them, both brands offer instructions for how to recycle them when they wear out.

 

 

[Kassia]

@kbutton  I love these ideas! 

[Grace Hopper]

A company I worked for previously gave gift cards purchased with company funds expensed to customer relations. It did not correlate with the employee payroll. 

I imagine another way to do this without involving payroll tax for the recipients would be for the owner to front the cost, then take a year end bonus to be repaid. Taxes would go to the owner. Just depends on how valuable you consider your employees, kwim?

If your workplace had a holiday gift exchange, like a white elephant swap, employees don’t report received gifts as earnings. I don’t know what size business you run, but if it is small, I think of this as gift giving among friends. I’m sure your accountant could tell you a way to do it. 

[Innisfree]

4 minutes ago, kbutton said:

I hate Visa gift cards with a fiery passion—the registering and needing to know the exact balance is a pain both for the user and for the cashier where they use them, and I feel bad that they cost more than the face value for the person gifting them

It’s a rabbit trail, but I completely agree. We have this come up every year at this time: two relatives prefer that we give Visa gift cards because they don’t like Amazon. It bugs the heck out of me to spend an extra % on relatively low-value gift cards, even though I feel petty about it. This year they’re just getting cash. Fortunately I don’t have to send it through the mail. 

[KungFuPanda]

4 hours ago, HazelAnne said:

What would you include in holiday gift bags for a group of employees? (If it matters, average age is late 20’s- 30’s) I was thinking maybe gourmet coffee, some type of baked good/specialty candy. I’d like to include non-food items too. Any suggestions would be much appreciated! 

DH’s corporate gifts are trickling in. Today he got a pullover zip jacket thing. Last week it was a mug. Inevitable something edible shows up and there is usually some kind of gift card. There will be a dinner if more than a few people happen to be in the same city at the same time. It’s a race to be on camera first with new swag 🤣 A lot of time the clothing comes from Under Armor. Dh gets it first because we’re near Baltimore. 

[ikslo]

2 hours ago, TechWife said:

Remember gift cards and money are taxable income and when given by an employer.  I've run into this multiple times at work.

 

Yup. $50 gift card and -$25 in taxes next paycheck. People were NOT happy. Merry Christmas.

[Bootsie]

1 hour ago, Grace Hopper said:

A company I worked for previously gave gift cards purchased with company funds expensed to customer relations. It did not correlate with the employee payroll. 

I imagine another way to do this without involving payroll tax for the recipients would be for the owner to front the cost, then take a year end bonus to be repaid. Taxes would go to the owner. Just depends on how valuable you consider your employees, kwim?

If your workplace had a holiday gift exchange, like a white elephant swap, employees don’t report received gifts as earnings. I don’t know what size business you run, but if it is small, I think of this as gift giving among friends. I’m sure your accountant could tell you a way to do it. 

A company bought gift cards and gave them to employees, but reported it as a customer relations expense?  Did I understand that correctly?  That would not simply be tax fraud but could fall under other types of fraud.  

[Grace Hopper]

2 minutes ago, Bootsie said:

A company bought gift cards and gave them to employees, but reported it as a customer relations expense?  Did I understand that correctly?  That would not simply be tax fraud but could fall under other types of fraud.  

Well then, scratch that as a recommendation! 
 

(very small company that I worked for years ago)

[Alice]

The doctors at my practice give the nurses and front desk Amazon cards and I also put a few other items in the bag to make them a little more fun. I don't think it should count as taxable income as we aren't their employers (none of us are partners and we pay for the bags out of our own money, not the practice money). 

The things I put in them vary from year to year but I've done: teas, fuzzy Christmas socks, lip balms, hand lotions, chocolate, small enamel pins, pens. The socks are always very popular. 

Edited November 30, 2023 by Alice

[Matryoshka]

5 hours ago, marbel said:

Yes to cash or a generic gift card that can be used anywhere (like a VISA gift card as mentioned above). No to stuff, consumable or otherwise.

As much as I don't like supporting Bezos, I prefer Amazon to the VISA gift cards, because 1- there's a service charge so what is paid by the buyer is not the same as what can be spent by recipient,  and 2 - if you don't spend the whole thing at one go, you can't use it again unless you know the amount left on it, so if you don't make a note somewhere, they end up in a drawer and never fully used, which I'm sure is the point of that. 

You can buy pretty much anything from Amazon. Those cards get used.

[Matryoshka]

5 hours ago, TechWife said:

Remember gift cards and money are taxable income and when given by an employer.  I've run into this multiple times at work.

Christmas Bonuses (like up to an extra month of salary in December) used to be pretty standard, or at least fairly common. How sad that a gift bag of random stuff or a gift card so small that it's worth is significantly  eaten into by taxes is now considered 'generous'...

Edited November 30, 2023 by Matryoshka

[marbel]

7 minutes ago, Matryoshka said:

As much as I don't like supporting Bezos, I prefer Amazon to the VISA gift cards, because 1- there's a service charge so what is paid by the buyer is not the same as what can be spent by recipient,  and 2 - if you don't spend the whole thing at one go, you can't use it again unless you know the amount left on it, so if you don't make a note somewhere, they end up in a drawer and never fully used, which I'm sure is the point of that. 

You can buy pretty much anything from Amazon. Those cards get used.

That is true as well; there are drawbacks to both. I still don't give Amazon gift cards unless I know the person shops there and either has prime, or know that the card will cover an item and the associated shipping charge or is enough to give free shipping (so no less than $50 probably). 

I've bought quite a few Amazon gift cards from people who received them and didn't want to use them. But I'm talking about $10 cards which I just apply to my account so they were useful to me. Not so much to the original recipients. 

[Matryoshka]

2 minutes ago, marbel said:

That is true as well; there are drawbacks to both. I still don't give Amazon gift cards unless I know the person shops there and either has prime, or know that the card will cover an item and the associated shipping charge or is enough to give free shipping (so no less than $50 probably). 

I've bought quite a few Amazon gift cards from people who received them and didn't want to use them. But I'm talking about $10 cards which I just apply to my account so they were useful to me. Not so much to the original recipients. 

I guess we're back to... why not give them the money as an actual cash bonus?  Or I guess the amount ends up being embarrassingly pitifully small when put in a check.  But it would solve all the liquidity and tax issues!

[kbutton]

48 minutes ago, Matryoshka said:

As much as I don't like supporting Bezos, I prefer Amazon to the VISA gift cards, because 1- there's a service charge so what is paid by the buyer is not the same as what can be spent by recipient,  and 2 - if you don't spend the whole thing at one go, you can't use it again unless you know the amount left on it, so if you don't make a note somewhere, they end up in a drawer and never fully used, which I'm sure is the point of that. 

You can buy pretty much anything from Amazon. Those cards get used.

We always spend ours asap on something we already need—groceries or whatever—and then earmark the total to be used as cash for whatever the actual recipient in our family wants to buy. It helps us not lose track.

I think grocery gift cards or something like Walmart can be used the same way—if people don’t have something they want at Walmart, they can use it on groceries and then use the grocery money saved to buy what they want.

[Bootsie]

1 hour ago, Matryoshka said:

Christmas Bonuses (like up to an extra month of salary in December) used to be pretty standard, or at least fairly common. How sad that a gift bag of random stuff or a gift card so small that it's worth is significantly  eaten into by taxes is now considered 'generous'...

I think the prevalance of a Christmas bonus has varied greatly by industry, and maybe even by region.  I have never received a Christmas bonus of any kind (I remember a boss who gave me a mug one year and one who gave me a Christmas ornament); I have occassionally had an employer who funded a holiday party for employees.  Neither of my parents ever received bonuses, DH never received a bonus, neither of my kids have ever received one...

[Drama Llama]

7 hours ago, kbutton said:

DH’s work sends a Butterball check each year for a Turkey, but it can also be used for groceries.

I hate Visa gift cards with a fiery passion—the registering and needing to know the exact balance is a pain both for the user and for the cashier where they use them, and I feel bad that they cost more than the face value for the person gifting them.

I would include something practical even if it’s a bit unusual. I do this with family, and it creates speculation about what weird but useful item they’ll get. I always get feedback later about how useful the gift was even if I get odd looks when it’s received, lol! Monkey hooks are this year’s odd gift. I’ve done stretchy covers for covering an open bowl or can, reusable post-it notes, rechargeable lightbulbs, etc.

I would be ecstatic to get nice silicone sandwich bag replacements in a gift bag (among other sizes). There are cheaper versions, but they seem to have zipper issues. Ziploc and Stasher would be my suggested brands. If they hate them, both brands offer instructions for how to recycle them when they wear out.

 

 

As a teacher, I have lots of experience with visa gift cards as they are a common teacher gift.  I have never registered one or needed to know what was on it.  I just hand them over and they apply it to the total and I put the rest of whatever on an other card.  
 

I agree that the fees are annoying!

[kbutton]

31 minutes ago, Drama Llama said:

As a teacher, I have lots of experience with visa gift cards as they are a common teacher gift.  I have never registered one or needed to know what was on it.  I just hand them over and they apply it to the total and I put the rest of whatever on an other card.  
 

I agree that the fees are annoying!

We’ve always had to register. The total is needed if it’s partially used.

I worked seasonal retail in the spring, and we had the same issues helping customers use them. It was deeply unpleasant nearly anytime one came through unless it was still the original amount and registered. 

[TechWife]

8 hours ago, Grace Hopper said:

A company I worked for previously gave gift cards purchased with company funds expensed to customer relations. It did not correlate with the employee payroll. 

I imagine another way to do this without involving payroll tax for the recipients would be for the owner to front the cost, then take a year end bonus to be repaid. Taxes would go to the owner. Just depends on how valuable you consider your employees, kwim?

If your workplace had a holiday gift exchange, like a white elephant swap, employees don’t report received gifts as earnings. I don’t know what size business you run, but if it is small, I think of this as gift giving among friends. I’m sure your accountant could tell you a way to do it. 

Just depends on how much you value your freedom, kwim. What you’re proposing is tax fraud. 

[TechWife]

6 hours ago, Alice said:

The doctors at my practice give the nurses and front desk Amazon cards and I also put a few other items in the bag to make them a little more fun. I don't think it should count as taxable income as we aren't their employers (none of us are partners and we pay for the bags out of our own money, not the practice money). 

The things I put in them vary from year to year but I've done: teas, fuzzy Christmas socks, lip balms, hand lotions, chocolate, small enamel pins, pens. The socks are always very popular. 

When it comes out of your personal money and you do not submit an expense report for reimbursement and do not count it as a tax deduction, it is a personal gift. 

Edited December 1, 2023 by TechWife

[TechWife]

7 hours ago, ikslo said:

Yup. $50 gift card and -$25 in taxes next paycheck. People were NOT happy. Merry Christmas.

 

4 hours ago, Matryoshka said:

Christmas Bonuses (like up to an extra month of salary in December) used to be pretty standard, or at least fairly common. How sad that a gift bag of random stuff or a gift card so small that it's worth is significantly  eaten into by taxes is now considered 'generous'...

Sometimes those large Christmas bonuses boosted people into a higher income tax bracket.  The bonus + more can be lost in additional taxes due. 

Edited December 1, 2023 by TechWife

[Arcadia]

3 hours ago, Bootsie said:

I think the prevalance of a Christmas bonus has varied greatly by industry, and maybe even by region.

@Matryoshka My dad and my husband would get “13 month bonus” when they were working and paid monthly. However, their monthly paychecks are basically four weeks of pay so their Christmas bonus is basically the 4 weeks that they were not paid yet (4*12 + 4). My husband now gets paid every two weeks so he gets 26 paychecks and no Christmas bonus. 

[Arcadia]

Depending on your budget, small 5,000mAh powerbanks are always handy as non-food gifts for when someone forgets to charge their cellphone. 

[Hannah]

The more appreciated gifts we've been given were the most practical:

Small medical kit for car

Emergency tyre inflator - It's called Tyre Jack here.

Fire extinguisher for car or kitchen

Fire blanket with hook to hang in kitchen

Leatherman multi-tool. Dh got this a long time ago and uses it regularly. I got one that folds into a flat oval and lives in my handbag (purse). It has been very useful.

Good quality flashlight for in the car.

 

 

 

Edited December 1, 2023 by Hannah

[Tina]

I make a gift basket for the gal at the office every year.  It's a personal gift from me.  The bonus from the office is a totally separate thing from the owners.  I look for something unique throughout the year.  I pay attention to what her particular favorite foods and such.  One year I included a jar of fancy chocolate sauce I found in AZ which was a hit, as are chocolate covered coffee beans.  A favorite scented candle, a goat milk loofa soap ( that I found out had a scent similar to a Victoria's Secret cologne that she loved )  This year I got another bar of that soap.  Last year I got her a planner that included helping her set and achieve personal goals, which I'd heard her talk about. Hand creams and cuticle cream, as it's dry in our office.  

Edited December 1, 2023 by Tina

[Kassia]

@Tina that is so thoughtful! I bet she feels very appreciated. ❤️ 

[Tina]

11 hours ago, Kassia said:

@Tina that is so thoughtful! I bet she feels very appreciated. ❤️ 

I sure hope so!

[TechWife]

I’m watching DIY Christmas videos & this one came up so I thought of this thread! 
 

 

[Mrs Tiggywinkle Again]

On 11/30/2023 at 11:53 PM, TechWife said:

 

Sometimes those large Christmas bonuses boosted people into a higher income tax bracket.  The bonus + more can be lost in additional taxes due. 

This happened to us one year.  The company had been particularly busy so the owner decided to do profit sharing instead. Between DH and I it bumped us just over the threshhold into a higher tax bracket, which sure, only taxes a certain percentage at the higher amount, but I think we probably either lost money or came out even due to that.

After that the company has done its traditional one week of pay Christmas bonus, but anything above that is in nice gifts instead of money.  We’ve gotten expensive polar coats with the company logo, personalized high quality water bottles, a year of Disney plus streaming.  I like that better; personally.

Of course that’s a small family owned for profit business.  Now I work for a large hospital system that does absolutely nothing.

[PeterPan]

On 11/30/2023 at 11:34 AM, HazelAnne said:

What would you include in holiday gift bags for a group of employees? (If it matters, average age is late 20’s- 30’s) I was thinking maybe gourmet coffee, some type of baked good/specialty candy. I’d like to include non-food items too. Any suggestions would be much appreciated! 

Fwiw, we do similar to what @Mrs Tiggywinkle Again is describing with items useful in the business. Do they bring their lunches to work? We've received (from vendors) logoed thermal softside coolers, sort of mediumish, that we use a LOT. The pretty theme baskets are often sort of a half waste. Fruit is always good. Jackets with logos to build team spirit, anything they could use in their work. Think through the business and what they actually USE in their job. LOVE the streaming subscriptions idea. If these young people commute, maybe a subscription to listen to while they commute would be fun. 

[katilac]

On 11/30/2023 at 12:39 PM, TechWife said:

Remember gift cards and money are taxable income and when given by an employer.  I've run into this multiple times at work.

 

Not just gift cards and money. Physical items can most definitely be taxable. 

The rule of thumb is <=$100, or <=$75 if you really want to play it safe. 

There are some exceptions, like a retirement or work anniversary gift of $200 might get away with not being taxed, whereas a holiday bonus of that amount would be taxed. 

[Innisfree]

13 hours ago, katilac said:

Not just gift cards and money. Physical items can most definitely be taxable. 

The rule of thumb is <=$100, or <=$75 if you really want to play it safe. 

There are some exceptions, like a retirement or work anniversary gift of $200 might get away with not being taxed, whereas a holiday bonus of that amount would be taxed. 

If that’s the rule, then I think something like grocery store gift cards would be fantastic. $75 toward food would be a genuine help to lots of people. It hadn’t occurred to me that the gift bags most small employers would give out would cost that much. Everyone can find something useful at a good grocery store; a place like Walmart would expand options even more.

[Bootsie]

De Minimis Fringe Benefits | Internal Revenue Service (irs.gov)

Here is an IRS guide to the taxability of fringe benefits.  It states that cash payments, including gift certificates, is always taxable.  This applies to both hoiday gifts and retirement gifts.  De Minimis fringe benefits such as a $50 turkey would not be taxable, but according to this IRS document a $50 grocerry gift card would be.  

This applies if the gift is from the employer to the employee--it is different if an individual freely provides a gift to another indifvidual, but are not in an employer/employee relationship.

[AmandaVT]

When we had more employees and did Christmas bonuses, we'd have the accountant base the check on what we wanted the employees to receive net. So, if we intended to give everyone a $250 bonus, they would receive a check for $250, but the actual bonus was higher - the $250 was after taxes were taken out. It would cost the business slightly more, but it enabled us to give a specific dollar amount as a gift without getting into tax trouble.h

[Catwoman]

Legalities aside, does anyone seriously believe that most people would report their boss to the IRS for handing them a little cash in an envelope as a Christmas bonus? 

That's like the kid in class who reminded the teacher on Friday afternoon that she forgot to assign homework for the weekend.

Everybody hated that kid.

And everybody would hate the guy who reported the boss to the IRS for literally giving them free money for Christmas.

Yeah, yeah, I know. Illegal. Must be reported. But that's not my question.