Trivial Benefits 2026/27 | Tax-Free Staff Perks Guide

Trivial benefits up to £50 are tax-free for employees. Directors limited to £300/year. What counts, what doesn't and how to use this tax-efficient perk.

Waqas Sagar
25 May 2026
8 min read

Trivial Benefits 2026/27

Trivial benefits allow employers to give small tax-free gifts to employees.


Rules

RuleRequirement
Maximum value£50
Cannot be cashGift cards OK if not exchangeable
Not contractualCan't be expected/regular
Not reward for workNot performance bonus
Directors limit£300/year total

Examples

Qualifying:

  • Birthday gift
  • Christmas hamper
  • Flowers for special occasion
  • Occasional team lunch

Not qualifying:

  • Cash bonus
  • Regular Friday drinks (contractual)
  • Performance reward
  • Items over £50

Director Limits

Directors of close companies (family businesses):

  • Same £50 per benefit limit
  • Annual cap of £300 total
  • Excess is taxable

Related Calculators

trivial benefitsstaff benefitstax free giftsemployee perks
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Waqas Sagar
Verified

ACA, FCCA, FMAAT - Chartered Accountant

Chartered Accountant running a successful accountancy firm based in London. Over 18 years of UK tax experience.

Disclaimer: This content is for general information only and does not constitute professional tax advice. Tax rules change frequently. Always consult a qualified accountant for advice specific to your circumstances.Terms of use.