Holiday gifts for employees are an effective way to express gratitude and appreciation while strengthening the work relationship. In today’s changing work environment, finding a gift that appeals to a diverse workforce can be challenging. Gift cards have become a popular solution that overcomes many of these challenges. Let’s explore why gift cards make a great Christmas gift for employees, how to choose the right type of gift card, and what to be aware of when it comes to gift limits and tax deductions.
Customization and Choice: Gift cards give employees the freedom to choose exactly what they want, whether it’s to cover everyday needs or treat themselves to something extraordinary. This eliminates the need to guess what each employee will appreciate, and it reduces the chance of the gift being a dud. Some may prefer gift cards to grocery chains like Kiwi and Rema 1000, while others may want something more personalized from online platforms like Zalando or IKEA.
Easy Administration: Distributing physical gifts can be time-consuming and logistically challenging, especially in larger companies. Gift cards make the process seamless and efficient, especially with digital solutions like Send Glede , where gift cards can be sent directly to employee emails. This saves time and resources for HR and administration departments.
Financial Control: Gift cards make it easy for businesses to stay within a budget. By setting a standard value per gift card, you can predict total gift costs and avoid unexpected expenses.
Get started with Christmas gifts for employees here.
When it comes to choosing the right type of gift card, the choice often depends on your workforce preferences and company culture. Here are some considerations:
Diverse Choices: Choose gift cards that can be used across a wide range of stores and services, giving employees the flexibility to spend it where it suits them best, whether it’s retail, restaurants, or experiences.
Digital vs. Physical: In today's digital world, many people prefer electronic gift cards that can be used online. This saves both time and the environment, and gives employees instant access. With Send Glede , businesses can customize gift cards and send them out electronically.
Branded Gifts: If your company has a strong brand name or partnership with a particular supplier, consider gift certificates that support that relationship. This can strengthen brand awareness both internally and externally.
The general limit for tax-free gifts in employment is NOK 5,000 per employee per year. It is important to note that this includes all gifts given during the year, not just Christmas gifts. Gifts above this limit will be considered a benefit and therefore taxable to the recipient. Staying within this limit provides a financial advantage to the company and protects employees from unexpected tax burdens.
When it comes to making Christmas gifts deductible, they can be considered an expense for the company as long as they are kept within the tax-free limits. It is important to be aware of updated tax laws to ensure that your company's gifts are both well-distributed and in compliance with laws and regulations. Consulting with an accountant can provide further clarity and ensure that all formalities are taken care of.
The main rule in Norwegian tax law is that all benefits with financial value from an employer are taxable to the recipient. This includes cash benefits, gifts, or other benefits in kind. However, there are exceptions where certain gifts may be tax-free, such as anniversary and recognition gifts within specific amount limits, but not gift cards that can be redeemed for cash.
The general practice of giving small token gifts or gifts that are part of the company's culture, such as internet costs or a company phone, can also benefit from tax exemptions as long as they are kept within regulatory limits.
It is crucial for companies to be aware of these rules and ensure that both the value and type of gift are in line with current tax rules to avoid unforeseen taxable consequences for their employees.
Gift cards are an ideal solution for Christmas gifts for employees due to their flexibility, ease of administration and financial control. By understanding employee preferences and combining this with agile management techniques, gift cards can be both a practical and thoughtful way to show appreciation.
For businesses considering gift cards, platforms like Send Glede offer the ability to handle gifting processes efficiently and with minimal administrative burden. This makes it easy to spread the holiday cheer. glede in a way that strengthens both team morale and the company's bond with its valuable employees.
Get started giving the best Christmas gifts to your employees.
Give the gift card that can be used everywhere - in-store and online!
Privacy is important to us, so you have the option of disabling certain types of storage that may not be necessary for the basic functioning of the website. Blocking categories may impact your experience on the website. More information
