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  • uptoolate
    replied
    I'm not into gift cards which worked out well as our group just gave everyone in the office a cash bonus.  Also paid for a holiday party at an upscale restaurant.  Contributed towards hospital units' Christmas parties in cash and door prizes.

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  • jfoxcpacfp
    replied


    I’m an employed doc.  Each of us in the group chips in $300 which pays for a holiday party with catered food and a small gift for each employee.  So is this something I could deduct?  We currently just give a check to our office manager, so there isn’t a receipt.  Only documentation would be the cancelled check.
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    Yes, but as an employee, you're only going to be able to deduct employee business expenses > 2% of your AGI so, unless you have a lot of other expenses, I don't see it benefiting you. If you happen to be able to use the deduction, though, I'd ask the office manager to write out a receipt, nothing fancy.

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  • Steve
    replied










    It speaks very well of you that that you want to do something personal for your staff. The IRS has a remarkably outdated limit on business gifts of $25/person/year. Anything over that to your employees must be included in income. For that reason, and because team members really appreciate it, we typically give time off. We’ll make up a “gift certificate” for it and add a personal note of appreciation.
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    Could this not be treated as a personal gift and allow for the exclusion up to $14k?
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    As Gamma Knives alluded, the gift has to be at arm’s length. Unless you would give the staff money even if they weren’t staff, it is not a true gift, as it has a business purpose. And I forgot to mention on the $25 limit that any direct “gift” to employees is taxable. Gifts to staff who aren’t employees are subject to the $25 limit.

    Business meals and parties including all employees/staff are 100% deductible.
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    I'm an employed doc.  Each of us in the group chips in $300 which pays for a holiday party with catered food and a small gift for each employee.  So is this something I could deduct?  We currently just give a check to our office manager, so there isn't a receipt.  Only documentation would be the cancelled check.

    Leave a comment:


  • jfoxcpacfp
    replied







    It speaks very well of you that that you want to do something personal for your staff. The IRS has a remarkably outdated limit on business gifts of $25/person/year. Anything over that to your employees must be included in income. For that reason, and because team members really appreciate it, we typically give time off. We’ll make up a “gift certificate” for it and add a personal note of appreciation.
    Click to expand…


    Could this not be treated as a personal gift and allow for the exclusion up to $14k?
    Click to expand...


    As Gamma Knives alluded, the gift has to be at arm's length. Unless you would give the staff money even if they weren't staff, it is not a true gift, as it has a business purpose. And I forgot to mention on the $25 limit that any direct "gift" to employees is taxable. Gifts to staff who aren't employees are subject to the $25 limit.

    Business meals and parties including all employees/staff are 100% deductible.

    Leave a comment:


  • adventure
    replied




    I’m employed, so these aren’t “my”employees, but as department head I do try to take care of them. As a group the docs and therapists buy gift cards in the $100 range for our front office staff. Individually I buy a combination of gifts and gift cards worth $30-$75 for about fifteen nurses and other staff. I also buy a catered meal for each of three shifts on the psych unit for both Christmas and New Year, which runs a couple hundred dollars (nothing fancy, usually Chinese food because that’s what’s open). All in is typically $700-$900. cards are signed by not just me but my spouse. Throughout the year I do buy lunch for the staff every couple of months.
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    I've done starbucks gift cards, target gift cards. I've paid for them, and the company reimburses me directly. Seems to work.

    I had a boss send me a fuit basket once. I love fruit, but it was weird.

    Leave a comment:


  • ENT Doc
    replied













    It speaks very well of you that that you want to do something personal for your staff. The IRS has a remarkably outdated limit on business gifts of $25/person/year. Anything over that to your employees must be included in income. For that reason, and because team members really appreciate it, we typically give time off. We’ll make up a “gift certificate” for it and add a personal note of appreciation.
    Click to expand…


    Could this not be treated as a personal gift and allow for the exclusion up to $14k?
    Click to expand…


    Yea shouldn’t it?
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    I’m not a tax expert but I think it would depend on if you are their employer or not. If the staff is employed by someone else then I think that gifts would be personal gifts. However, I think a personal gift from an employer to all the employees would not be kosher if it was reviewed. Even though you may be giving the gift just as a gift it would be viewed as compensation for work.
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    Well, sheeeeeeeeeeeet.

    https://www.irs.gov/government-entities/federal-state-local-governments/de-minimis-fringe-benefits

     

    Leave a comment:


  • Gamma Knives
    replied










    It speaks very well of you that that you want to do something personal for your staff. The IRS has a remarkably outdated limit on business gifts of $25/person/year. Anything over that to your employees must be included in income. For that reason, and because team members really appreciate it, we typically give time off. We’ll make up a “gift certificate” for it and add a personal note of appreciation.
    Click to expand…


    Could this not be treated as a personal gift and allow for the exclusion up to $14k?
    Click to expand…


    Yea shouldn’t it?
    Click to expand...


    I'm not a tax expert but I think it would depend on if you are their employer or not. If the staff is employed by someone else then I think that gifts would be personal gifts. However, I think a personal gift from an employer to all the employees would not be kosher if it was reviewed. Even though you may be giving the gift just as a gift it would be viewed as compensation for work.

    Leave a comment:


  • ENT Doc
    replied




    “Could this not be treated as a personal gift and allow for the exclusion up to $14k?”

     

    Can you expand upon that exclusion and what applies
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    You are allowed to gift up to $14k to any individual (unlimited to spouse I believe) in any given year (goes to $15k next year).  Not sure what it applies to, but the IRS form ?709 is what typically gets filled out (see the associated Publication).  This is why people typically keep the max contribution to a kid's 529 at $14k from one parent and $28k from 2 in any given year.  You can do more, but it lowers the exemption from your estate.  That is only a concern if your assets are near the estate limit, which is over $10m per couple at this point.

    Leave a comment:


  • Craigy
    replied
    My firm buys restaurant gift cards/certificates for everybody, same amount.  Usually the restaurant is a client of ours.  Pretty nice.

    I personally buy candy or something similar for the secretaries.

    Leave a comment:


  • Complete_newbie
    replied







    It speaks very well of you that that you want to do something personal for your staff. The IRS has a remarkably outdated limit on business gifts of $25/person/year. Anything over that to your employees must be included in income. For that reason, and because team members really appreciate it, we typically give time off. We’ll make up a “gift certificate” for it and add a personal note of appreciation.
    Click to expand…


    Could this not be treated as a personal gift and allow for the exclusion up to $14k?
    Click to expand...


    Yea shouldn't it?

    Leave a comment:


  • darthvader
    replied
    "Could this not be treated as a personal gift and allow for the exclusion up to $14k?"

     

    Can you expand upon that exclusion and what applies

    Leave a comment:


  • FIREshrink
    replied
    I’m employed, so these aren’t “my”employees, but as department head I do try to take care of them. As a group the docs and therapists buy gift cards in the $100 range for our front office staff. Individually I buy a combination of gifts and gift cards worth $30-$75 for about fifteen nurses and other staff. I also buy a catered meal for each of three shifts on the psych unit for both Christmas and New Year, which runs a couple hundred dollars (nothing fancy, usually Chinese food because that’s what’s open). All in is typically $700-$900. cards are signed by not just me but my spouse. Throughout the year I do buy lunch for the staff every couple of months.

    Leave a comment:


  • ENT Doc
    replied




    It speaks very well of you that that you want to do something personal for your staff. The IRS has a remarkably outdated limit on business gifts of $25/person/year. Anything over that to your employees must be included in income. For that reason, and because team members really appreciate it, we typically give time off. We’ll make up a “gift certificate” for it and add a personal note of appreciation.
    Click to expand...


    Could this not be treated as a personal gift and allow for the exclusion up to $14k?

    Leave a comment:


  • Doc Spouse
    replied
    Probably old news to the churning crowd, but I got this piece of advice from a SleepNumber salesperson and it's been useful:

    Buy the cards from your local grocery stores that have a reward plan for cheap gas.  When buying gift cards for holidays, I can often get a massive savings on the next few fill-ups thanks to this, plus the credit card points.

    I've also started doing this for other items, like target shopping trips and large electronic purchases from Best Buy.  I'll go buy the gift cards that match the vendor and get some free gas out of it in addition to the credit card points.  You can do it with favorite restaurants as well, but I get 3 points per $1 on food and travel; so I usually just purchase those outright.

    Another one, that I've never done but I find it hard to fault the logic:

    Find a new credit card with a massive point sign-on bonus along with a minimum spend requirement.  Go buy the gift cards at the local grocery store to get the free gas and hit the sign-up limit.  Obviously only works if you're buying a lot of gift cards, but holiday gifts/bonuses for office workers seems a nice time to do so.

     

    Leave a comment:


  • Lithium
    replied




    It speaks very well of you that that you want to do something personal for your staff. The IRS has a remarkably outdated limit on business gifts of $25/person/year. Anything over that to your employees must be included in income. For that reason, and because team members really appreciate it, we typically give time off. We’ll make up a “gift certificate” for it and add a personal note of appreciation.
    Click to expand...


    Interesting.  My mega-employer gave us a $25 gift card to the movie theater after the new EMR rolled out.  It later showed up on my payroll as "Miscellaneous taxable benefits" for $21.25.  Still scratching my head on that one.  Regardless, I sold it online for $20 so still came out ahead.

    Leave a comment:

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