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Why Give Gift Cards To Employees

If you are looking to offer incentives to motivate certain behaviors then the gift card or voucher might be more effective than cash. As per the International Society of Performance Improvement rewards can boost employee performance by around 22% on average While team incentives boost the performance of employees by up to 44%..

However, gift cards don’t only need to be kept for rewards. They’re ideal for occasions such as Christmas, birthdays, or even engagements.

Here are the benefits of gift cards for both employers and employees:

Employees are allowed to pamper themself:

If you present your team with vouchers or gift cards that they receive, it will allow them to purchase something they’ve wanted to buy for some time, but not worrying that it might be better used towards a payment or savings.

They will be able to recall it better:

Since gift cards and vouchers are typically used to tangible items or experiences they can remind your employees of your company as well as the things you did to them, and the effort that earned them the reward.
It is easier to discuss with friends and colleagues:

It’s not easy to discuss cash bonuses with our friends and colleagues However, vouchers or other incentive is something tangible that they can talk about with no stigma. This allows employees to discuss their accomplishments more readily and create an image of positivity for your company , which could assist in attracting and retaining employees.

Flexible to fit any budget or event:

The great aspect of employee gift cards as compared to rewards that are physical is they can be adapted to meet your budget requirements and budget, regardless of whether you’d like spending £10 and £100. It is possible to treat all of your employees to a cup of tea on a Friday, with an gift card to an establishment that serves coffee or to wish Happy Birthday to an old-timers of your team, you could give them a gift card to spend at dining out to mark the occasion.

Tax savings that could be possible:

In 2016 HMRC introduced benefits for trivial expenses to enable businesses to give employees small rewards like Birthday and Christmas gifts without the need to pay taxes as well as national insurance. They must not exceed £50 per employee. They cannot be cash vouchers. Also, they cannot be offered as a reward to employees for their job.

If you’re planning to commemorate special occasions like birthdays, Christmas, or give a gift to your guests during the summer, then you can offer to your staff members gift certificates to give as an unimportant benefit, and also help them save on taxes.