All gifts of cash or cash equivalents are fully taxable to the retiring employee regardless of dollar amount. Gifts of tangible property in excess of the IRS deduction limit of $400 will be added for ...

When choosing a retirement gift, take into account the recipient's interests, hobbies and future plans. Consider coordinating with co-workers to give a larger gift from the entire team.

There’s also the impact of shrinking company budgets, which discourage organizations from hosting parties or purchasing retirement gifts, often putting the onus on employees to do so.