r/smallbusiness • u/amberperry870 • 7h ago
Christmas gifts for employees at a small business - where do you start?
My husband owns a small business with around 50 employees, and I’m helping him figure out Christmas gifts for the team this year. He’s not really a Reddit person, so I figured I’d ask here since I know there are a lot of small business owners here. We’ve never done anything like this before, so honestly I have no idea where to start. Do you usually order some kind of branded merch in bulk, or just get everyone the same gift?
The budget isn’t huge, so we’re trying to keep it reasonably affordable. I’d also prefer to get something people would actually use instead of another random mug that ends up in a cupboard somewhere. For those of you who run small businesses, what have you done for your employees for Christmas? And how did you go about ordering everything for a group of around 50 people?
Thank you in advance!
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u/the-BBC-news 7h ago
They want MONEY. Not branded shit. Not trinkets. Not a ham.
I pay out annual bonuses in December (profit-share and individual performance). We also have a team lunch or happy hour the company pays for. That’s it.
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u/Radiant-Net3486 6h ago
I do the same! No one wants company merch as a holiday 'gift' or 'bonus'. We do a catered lunch for the whole team, and send everyone home with a bonus check 👌
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u/madk 1h ago
My old job did something similar. A lunch, some socializing, boss walked around with Xmas cards that contained the bonuses. An additional perk was that we were free to go after lunch. Everyone loved it.
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u/Radiant-Net3486 47m ago
We also send everyone home immediately after lunch!
Any Friday before a long weekend or the day before a holiday we work a half day. I know when I was working for other people that was something that I really appreciated, so I do the same.
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u/ComfortableAd2324 6h ago
I used to love Dad getting the ham, because doubtful we would have had ham for Christmas otherwise.
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5h ago
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u/ComfortableAd2324 5h ago
He likely would have bought presents for us. Or paid bills. We did not have money for luxuries and ham would have been that. Not all people are vile.
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u/silveraaron 3h ago
Yep we get fat bonus, and a week off paid. Our industry slows down heavily for the holidays.
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u/the-BBC-news 3h ago
I’m a big fan of this too. Close your office / operations for as many days as possible between Christmas and New Years.
I’m in an industry where most businesses feel like they “should” be open 365, but we always close for a few days and have just trained our clients that our team deserves time off with their families too. No client had ever quit because we closed for a 4 day weekend in late December🤷♀️
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u/Interesting_Pin1239 2h ago
Yes, I'm tired of people giving out trinkets as gifts in general that sits in the corner. I'm not even trying to be mean but I want something useful. We are overabundant in trinkets just because we produce so much as is already.
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u/serjsomi 3h ago
I actually loved it when my husband got a ham. They did get really good hams though.
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u/the-BBC-news 3h ago
A ham is great! But cash first. If there’s money in the budget, cash + a ham.
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u/jaytaylojulia 7h ago
No one wants company merch. If you can't afford to give cash just buy lunch for everybody.
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u/CharlieChop 6h ago
A proper step away from the office lunch.
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u/GarrySpacepope 2h ago
With the afternoon off after just in case that's not obvious. Lunch and back at your desk at 2pm is not the one!
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u/rex_lauandi 3h ago
I’m in the minority then, because if I had to choose between $25 and a company branded sweatshirt, I’d take the merch.
Now if I had to choose between like a $500 check and a company branded Sonos speaker or Yeti cooler, give me the cash. But when the stakes are low, company branded stuff is kind of neat (if you work for a company that has an interesting brand, I guess)
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u/LowSkyOrbit 5h ago
I got company merch for doing a great job. A bonus check would have been nicer.
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u/da_xiong12 7h ago
Small business owner here with 30 employees. Money is the correct answer. We do a Christmas bonus and then cash in an envelope based on their seniority in the company. We’ve been around 4 years so we typically do $100 per year in cash that they’ve been with us. This might change as we get longer tenured employees but it works for us as of now. Direct deposit Christmas bonuses are likewise based on seniority and annual targets and come out 2nd payroll in December then the cash in envelope comes around our holiday Christmas party.
This year we’re also raffling additional PTO along with our prizes at the Christmas party. Anyone who doesn’t get a prize will get 8 hrs of PTO.
Historically we did branded merch but it became such a pain. Everyone is different sizes, clothing, hats and all the branded products are generally unreliable as far as fit and quality. Don’t go through the hassle. Branded generic merch for their birthdays, cash for Christmas.
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u/Former-Surprise-1377 6h ago
How do you work the cash with taxes and such? I love doing cash, I know the team loves cash, we have customers that pay in cash, but I can't figure out how to pull it out of the business without a risk to the business.
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u/da_xiong12 6h ago
Payroll bonus is pretty self explanatory, we just run the special cycle for it and payroll taxes come out of it. For the cash bonus, I take a K1 distribution from the business and handle taxes for the full amount from my pocket. Cash is given as a gift to the employees so they don’t worry about taxes on it.
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u/cajones321 6h ago
They may not like it, but it’s the correct answer.
You take a distribution and pay them in cash out of that.
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u/The_lone_squirrel 5h ago
Alternatively you can run an off cycle with the paid amount fixed and just eat the payroll taxes on it. Our team likes that it reflects as income but they still get the full amount of the bonus.
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u/da_xiong12 1h ago
This is also a good way. I like to just take it out of my year-end distribution because it feels more personal and like a gift from me. It's worth noting the fixed payroll method mentioned by this user could ultimately cost you less in the end depending on your income level/depreciation/general tax situation/etc. as it comes in as a OpEx payroll cost than if you were to take it from a distribution. I'd suggest consulting your CPA if that is a factor for you. My employees have told me that even though it's only a few hundred dollar per head, receiving their gift this way (cash in an envelope) feels more "usable" (in a permission-to-spend sense) to the employees than money that goes right into their bank account.
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u/LegitimatePower 5h ago
This is the way. Many years ago (it matters due to inflation, don’t think he was cheap) the ceo handed out a crisp $100 to everyone with a personal, hand written note. Mattered a lot to me as a young person.
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u/sharonwrightweeks 3h ago
Our Account tells us how to do it, and we plan it throughout the year. If you have a payroll/Accountant or Attorney, theywill handle it legally, so you don't have to worry about it.
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u/omglia 7h ago
I give everyone money. I figure they would rather have $200 to spend on whatever they want than some branded thing. And it’s way easier for me anyway. Money first, and if there’s more in the budget, then a physical gift is fine in addition.
We also host an annual Christmas Party, at our house. We provide all the food. And if the team wants, we do a gift giving exchange there too. But also, they get money.
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u/raqnroll 7h ago
Money, then time(bonus day or days off), then food-take home(turkey/ham), then in office(office party).
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u/slogun1 6h ago
I, like the others give them cash.
Roughly an extra paycheck. We are seasonal and lay off workers in December most years. I like to leave them with a good taste in their mouth so they’ll be more likely to come back next year. It’s also keeps the guys around in November if hours are getting a little tighter
If I didn’t have those reasons? I’d just pay them more and skip the large bonus and do something much smaller.
Also FYI. No matter what you do please don’t have an expectation of appreciation. Treat it like part of their pay package. Some will appreciate it others won’t, giving it with an expectation will get your feelings hurt.
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u/brightboom 5h ago
I do an extra paycheck if they’ve been there a year or more ($250 gift card for less than a year) but only have 4 employees and holiday season is busy in our business
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u/cajones321 6h ago
We have a smaller team ~20 including myself and my business partner. Typical blue collar guys.
Everyone gets a Christmas bonus (we do quarterly bonuses too.)
We also do a big ole night out at a nice steakhouse in a private room for all the guys and a plus one.
If the team is from out of town we pay travel and lodging. If they are local we pay transportation and a hotel if they really want it.
The bonuses aren’t massive, but definitely enough to be meaningful.
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u/Mermaid_Lily 6h ago
When I worked for another company, every year they would get us a cheap jacket with the company name and store number on it for Christmas. It was a thin jacket that added little warmth to my body as I worked in cold conditions. One year they misprinted for my store, and they just said "yeah-- we know it's the wrong store and city, but deal with it. We can't return them." Also, you kindof got whatever size they had-- so even though at the time I was wearing a Ladies Medium (equivalent to a Men's Small), I got a Men's L which hung down past my butt and I had to roll up the sleeves if I actually wore it. I did not feel appreciated at all when I received my jacket, especially since it was just an advertisement for them (if anyone had ever worn theirs anywhere but to the cold warehouse where we worked). It felt cheap.
At another place, they gave us a branded mug that cost them next to nothing, and I didn't even take home-- just left it on my desk to keep pens in because why would I want to be thinking about work while having my morning coffee at home?
I would have MUCH preferred money.
If I ever have employees (which I don't now-- it's a one-person biz for right now), I will remember that experience.
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u/metoaT 7h ago
We do bonuses, even when the company was struggling we figured out how to cough up $100 each. The holiday parties were small, maybe a sandwich platter (the giant subs from subway)
Now we have a bigger budget so we do a catered buffet at a restaurant, bigger bonuses, and I’ll find small food items things to fill a gift bag.
The last couple of years I’ve added a dice type game, sometimes with trinkets or sometimes gift cards. People can steal. It’s been fun! So perhaps if your budget is too small you could do smaller gift cards around town and do a dice game so it’s interactive but people still get money and it’s still personal to which one they want to steal type thing
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u/Excellent-Ad-6965 6h ago
We do a bonus on their pay before Christmas. We’re not a huge company but we give $75 for part time and $150 for full time. We then have a very relaxed Christmas hang at our offices where we do lunch and things. We used to do a bigger Christmas dinner but I think it’s tough for parents to find childcare with how expensive everything has gotten.
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u/rling_reddit 6h ago
Small business owner here. I don't wait for Christmas to give bonuses or raises. You might consider grocery or gas gift cards. Money does not build teams. I send each of my folks a $20 gift card that covers about 5 restaurants on their birthday and I write them a card. The gift card has our company logo. That is the single most praised thing we do. It sounds crazy, but it is. Some of the offices pool do a birthday lunch once or twice a year and everyone uses their gift cards. Almost 100% get used. I like the turkey or ham idea, but I think a grocery gift card accomplishes the same thing. We have about 96.5% retention and have had for the 20 years that the company has been in business.
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u/milee30 7h ago edited 6h ago
One more vote for $$$.
If you absolutely, positively cannot scrape up a bonus for each employee, then get creative about how to make the $$$ stretch but still give money. For example, with 50 people if the budget was $2000, instead of giving $40 each, you might do something like: company lunch (depending on the composition of the group you could even do an onite family style meal where the company provides the ham/turkey and drinks and then ask people to bring their favorite sides and dessert to share, some people like to show off their cooking) and then a raffle for prizes. Prizes are $1000 cash, $500 cash and $250 cash. The remaining $250 in the budget pays for the lunch supplies. Then you give everyone the afternoon after the lunch as paid time off.
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u/Aerosaul 6h ago
Have you done a survey? We did this some time ago (with options for what we could offer) and we were surprised with the feedback - things we didn't think employees would want were some things we hadn't added.
Aside from time off (paid), vouchers were up there along with free lunch etc...
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u/bleuswann 5h ago
One year a company I worked at gave us Carhart backpacks (which were branded but whatever) A lot of the employees worked outside and having a sturdy bag for their stuff was a great idea. I still have mine 4 years later and it’s held up really well.
While like most people I do like cash, I also enjoy gifts especially if it’s something I wouldn’t buy myself that is useful, and the backpack was one of those things.
I’m also a fan of free food, and depending on where you’re located there’s probably a lot of good options. I’ve also had a food truck come for lunch and all the employees were told to order whatever they wanted from a shorter menu (determined by the truck) and that was fun
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u/TorturedChaos 5h ago
Smaller crew than you are working with but we take everyone with a plus 1 out to a decent dinner. We let them pick the restaurant within reason.
During some slower years we did a company potluck, with the company providing most of the meal and employees being sides or deserts.
Then we go back to the shop and have a few drinks, do a white elephant gift exchange and play some party games.
We also do a bonus based on company wide performance. We hand that out right before Thanksgiving.
Many years we also get each person something small, sometimes branded sometimes not. But that is always extra.
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u/delightfullytangy 5h ago
Bonus/cash gift It will mean way more than a branded gift that honestly most people will trash.
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u/lizblessesurhrt 4h ago
Christmas bonuses ($$) one week before Christmas so they can spend it on their kids or festivities if they want.
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u/Former-Surprise-1377 6h ago
I think I give decent 'item' holiday gift, but it's not branded merch. I've ordered cases of stuff from Stonewall (pancake mix/syrup/whisk for a holiday breakfast) to go with a bonus, or things like a good quality chef knife.
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u/ScottPjr99 6h ago
Depends on your budget and how well you know them. If it's tight, a gift card to somewhere they actually use (coffee shop, restaurant, gas station) beats a generic mug. If you can spend more and know people better, something they'd actually want beats the obligation angle. Skip anything too personal unless you're genuinely close. Most people just appreciate that you thought of them at all.
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u/Rita_Tailor_Brands 6h ago
Something local? A gift from a bakery, roaster, or shop in your area feels considered in a way a bulk order never does, and often costs the same.
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u/nsharonew 6h ago
Money, as others have said, but, I’ll be honest. I’ve worked for billion dollar companies who give me an Amazon or Amex gift card and then tax me for it, it doesn’t feel like a gift when I walk away with a cool $20 (after taxes) from a company who made billions, but that’s not you. You genuinely want to do something nice on a budget.
My husband works for a multi-national marketing company. Billions of dollars globally flow through this company every quarter. One year he got a branded hat. There were no smiles when the hat came in.
The next year, he got a sugar wish, which did bring smiles. You send an email with a code and a link, choose what item line they can choose from, (I think they go from $25 up). They have all kinds of stuff, coffee, pet treats, snacks, candles, I’m sure they have even more now.
But we appreciated that we could choose our own gift, we didn’t have to provide our address to the gifting team (a logistical nightmare with a company this large) and everything arrived quickly and in perfect condition.
You can also add branding to the box, if you’d like.
I don’t work for them (promise my job is a bit more boring) but I have sent out dozens of wishes since. Some to friends and family for special occasions, some to clients, some to vendors, it’s always very well received.
Cash, of course, is the way to go, but if you don’t have to cash to show the appreciation you’d like to, this is a good stop-gap that will save time.
You could even add a note on the box that employees all get one free floating holiday for the year, that way they get a treat and a day off of their choosing.
Good luck and good on you for looking into it.
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u/Allumina 6h ago
I had a much smaller company of about 10 employees total but we tried every year to give everybody $500 cash and then either a nice lunch or dinner. The last few years before I retired we had transitioned more towards a company lunch and also made that day a half day. Everyone always seemed happy.
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u/Expensive-Fudge8337 6h ago
Gift cards actually work best for big group like 50, no guessing needed and nobody get "another mug" problem. If budget allow little extra, maybe add small branded item like nice tumbler or blanket, something people use daily not just display. For ordering, most gift card sites (Amazon Business, Visa gift cards) let you buy in bulk with one order, way easier than 50 separate boxes.
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u/Reckoner08 5h ago
I give money and our in house bucks/gift cards that can stack with their employee discount as every single one of my employees buys our products. I've also done gift cards to our nearby coffee shop that they all like to go to. I've also done trades with other local businesses to trade classes or workshops or just gift cards and that has gone over well also.
Or PTO/half days or something, but cash is always King. Buying stuff is nice but can often be a waste of money.
Do they all work in a central spot? Instead of individual things as a gift is there something that you could buy the office that would make their experience better overall?
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u/Jarhead-Dad 5h ago
There's much talk about bonuses. How is the amount of a bonus determined?
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u/althius1 3h ago
Mine is based on how long they have been with the company. YMMV on the amounts... but that way it is not subjective, and everyone gets it. No one can really complain theirs or less than someone else's because its just a straight calculation based on time of service.
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u/Acrobatic_Car9413 4h ago
I chose a budget then broke it down by hours worked, rounded up or down by time there, etc. the biggest issue was to not make it so big that I couldn’t match that each year. You never want to take away.
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u/Blondie_jax 5h ago
Last year, in addition to a Visa gift card, we set up a Givee store with a variety of branded products for our team to choose from. Our budget was about $40/each, and we still had close to 100 choices. This was the first time we did this, and our staff loved picking something they wanted. We plan on doing it again this year.
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u/LasagnaNoise 5h ago
We have everyone fill out a form called “About Me” and asks their favorite restaurant, favorite coffee place, movie theater, color, cookie flavor etc. I agree with everyone cash is the way to go, but we throw in a gift card to their favorite place and get their favorite candy bar. Cash plus something personal.
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u/Solifuga 5h ago
CASH CASH.
How is branded merch a gift! 🤣 You may as well say "congratulations, here's your uniform. Aren't you lucky!"
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u/frank11979 5h ago
I knew everyone was going to say $$$.
This does get tricky sometimes when the $$$ available actually feels like ¢¢¢. Sometimes as SB we don't have the $ to make it meaningful at the end of year.
We have done bonuses and we have also given away Thurmases with the logo and the teams name's engraved on them. I will say the named mugs went over great. Almost everyone carries them daily at work (about 10 of us). They don't get stolen and if you leave it somewhere it always gets returned.
We have also done NHL games, big meals, MLB games, Charted boats etc... In a SB sometimes you can only do what you can do.
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u/bmwhongus 5h ago
The main thing to keep in mind is that the gifts are about them/for them and not for you (the owner) to signal how generous/thoughtful you are.
With that being said, employees want cold, hard cash or plastic equivalent.
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u/Botboy141 5h ago
Profit share is best, aside from that, cash bonus.
If budget is even lower, I'll give a rec that won't be popular with the masses but I thought was kind of cool.
If you are on-site workers, and much coffee drinkers, build a mug wall and gift everyone a coffee mug with their name on it and a spot to hang it on the mug wall.
Every employee gets their own coffee mug to live in the office.
A thought.
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u/SafetyMan35 5h ago
Bonus/cash or additional time off.
If you want to give them a branded shirt fine, but that’s not in lieu of a bonus. The branded shirt is to give someone something to wear to work other than their personal clothes.
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u/Realistic-Major2448 5h ago
Minimum $100 in cash plus whatever trinket you want to add. $100×50 is only $5000. Depends on how much money your company made. If you think they deserve more, pay them more. Don't be cheap and keep all the profits.
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u/FlamingWhisk 5h ago
Gift card to a major grocery store and a turkey. Buy their Christmas dinner - take one burden off them.
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u/Acrobatic_Car9413 5h ago
Christmas bonus and maybe some chocolates, cookies, sweets. Please, please, please no branded merch. Nobody wants that.
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u/Broncogirl89 4h ago
No branded useless stuff please. Like others said, money is what they want. I give $50 for new employees and $100 for every year they have worked for me. So some employees are at 10 years and get $1,000. I also give a little bag of candles and different things like shower steamers etc... I have a cleaning business and most are all women so that is why some bags are more care things or pleasure.
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u/Direct-Chef-9428 4h ago
I own a gifting company and I agree strongly with everyone here: do not brand the gift. Sure, you can brand the ribbon or card and consumable items, but otherwise make it a genuine gift for the employee. If you’d like ideas of what that could look like, PM me.
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u/waistingtoomuchtime 3h ago
Do they all work in the same office? What is the average pay of the 50? And it matters where, is it New York City where they don’t have cars, or Omaha? I have ideas, but you have to get more specific.
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u/asyouwish 3h ago
Use soft money to do more with less.
Let the staff have extra time off from work instead of giving them landfill fodder. It will probably cost the business less money and it will be far more meaningful/useful to them.
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u/ritchie70 3h ago
I used to give money that depended on how profitable we had been and a small gift - employees were mechanics so like a Mini Maglight or a Leatherman pocket knife.
My dad used to get fresh turkeys from a local farm for everyone for thanksgiving when he was running the company.
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u/althius1 3h ago
I do two things:
1) A Christmas Bonus from the company. This is based purely off of time with the company. I make sure to include taxes so that if they get a $250 bonus, they actually get $270.12 (or whatever) so their actual bonus on the check is $250. I print these out manually, even if they normally do direct deposit and sign them personally. It's a nice personal touch. Again, this is from the company. It's in the budget.
2) I also give them each a small gift from me personally. Nothing crazy, usually under $50. We all like each other, and I'm genuinely happy to do it on a personal level.
To me, it's really important that there is a difference between the company bonus, which is not subjective at all, and the Christmas Gift which is from me directly.
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u/downtime37 2h ago
I don't get my employee anything, lazy sod is luck to have a job,....I'm the only employee.
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u/mochidonutninja 2h ago
If a financial bonus isn't in the budget, a catered meal or meal away from the office. Also, an additional paid day off added to the calendar.
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u/dvaunr 1h ago
Everyone is saying money not branded merch, I'd add a qualification. If you really want to give an item, buy something name brand. I worked for a company that gave Yeti mugs and coolers, Pendleton blankets, Patagonia outerwear. I still have that stuff, some of it is branded, some is not. All other branded merch is gone by the time I leave a company. I don't need socks or hats with the company logo.
Money is still the best gift, but if you're going to give branded stuff don't cheap out. Get high quality items.
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u/Geminii27 1h ago
First, find out if the employees want corporate Christmas gifts.
Then, find out what they'd actually like.
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u/Fitz_2112b 1h ago
Money is the answer, but if your budget only allows for something around the price of a branded coffee mug then don't even bother
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u/BrandonAtCustomInk 48m ago
Looks like cash bonus has won by a landslide. What I've seen work best is leading with the bonus and then accompanying it with a quality jacket or sweater for a more personal touch. Eddie Bauer, Outdoor Research, that sort of thing. If there's a company logo, keep it subtle so it looks more like retail than a work uniform.
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u/ccjjallday 16m ago edited 11m ago
I ran a 50+ person team in a past life. They dont want your pens or notebooks or bottle of wines. Youre investing in resentment. The best thing I did for the leaders was a pooled profit sharing plan they all got put on. They all got x % from this pool at the end of the year. For the entry levels and middle managers cash bonuses + dinner + hand written notes
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u/Tricky-Ad9491 7m ago
Without knowing budget it's hard to say but let's be honest, money / Xmas hampers, a turkey.. Make they xmas less stressful
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