How Much to Spend on Client Gifts
Set your client gift budget in tiers: the most for a short list of key accounts, a moderate amount for active clients, and a small amount for everyone else. Ordering 5 or more pieces in total, across any mix of products, lowers the cost per person. In the US, the tax deduction for business gifts is capped at $25 per recipient per year.
Start with the relationship
A client gift budget is easier to set when you sort clients by how much the relationship matters to you, rather than picking one price for everyone. Three tiers are enough for most companies:
Then decide how much of the total gift budget each tier gets. This puts the larger gifts where the relationship is deepest and keeps the cost of the wider list under control.
Budget tiers with example gifts
The examples below use list prices from our leather corporate gifts collection. Use them as reference points and adjust to your own budget.
| Tier | Example gift | List price |
|---|---|---|
| Wider network | Hubbard leather ID tags | $54 |
| Wider network | Lorne pocket journal cover | $99 |
| Active clients | Arkell business padfolio | $168 |
| Active clients | Alsek laptop sleeve | $174 to $194 |
| Key accounts | Plume messenger bag | $358 |
Hubbard ID Tags$54 · Wider network
Lorne Journal Cover$99 · Wider network
Arkell Padfolio$168 · Active clients
Alsek Laptop Sleeve$174 to $194 · Active
Plume Messenger Bag$358 · Key accounts
For active clients, a padfolio is a common choice because it is used in meetings and carries a logo discreetly. Our guide on how to choose a leather padfolio for business clients covers sizes and layouts.
How quantity changes the cost per person
There is no minimum order for laser engraving, so a single personalized piece is fine. Heat debossing starts at 15 pieces. Volume pricing is based on the total quantity in your order, and different products count together. Here is what that means per person for three gifts:
| Total pieces in your order | Hubbard ($54) | Lorne ($99) | Arkell ($168) |
|---|---|---|---|
| 1 to 4 · list price | $54.00 | $99.00 | $168.00 |
| 5 to 24 · 15% off | $45.90 | $84.15 | $142.80 |
| 25 to 49 · 20% off | $43.20 | $79.20 | $134.40 |
| 50 to 74 · 30% off | $37.80 | $69.30 | $117.60 |
| 75 and more · 35% off | $35.10 | $64.35 | $109.20 |
- 10 Plume messenger bags for key accounts at 15% off: 10 × $304.30 = $3,043.00.
- 30 Arkell padfolios for active clients at 20% off: 30 × $134.40 = $4,032.00.
- 60 Lorne journal covers for the wider network at 30% off: 60 × $69.30 = $4,158.00.
Ordered separately, that is $11,233.00. Placed as one order, the total is 100 pieces, so every piece moves to the 35% tier: 10 × $232.70 + 30 × $109.20 + 60 × $64.35 = $9,464.00.
These figures are product cost before shipping and tax. If you choose a tonal deboss, add a one-time $40 die fee per logo; debossed orders start at 15 pieces. Laser engraving has no setup fee. The highest tier is 35% off at 75 pieces or more across your order, and retail discount codes cannot be combined with volume pricing.
The US tax deduction limit for business gifts
If you are a US business, the amount you can deduct for client gifts is capped. According to IRS Publication 463 (2025), you can deduct no more than $25 for business gifts you give directly or indirectly to each person during your tax year.
- Incidental costs, such as engraving on jewelry, or packaging, insuring and mailing, are generally not included in the $25 limit. A cost counts as incidental only if it does not add substantial value to the gift.
- An item that costs $4 or less, has your name clearly and permanently imprinted on it, and is one of a number of identical items you widely distribute is not treated as a gift for the $25 limit.
- Signs, display racks or other promotional material used on the recipient's business premises are also not treated as gifts for this limit.
Most leather gifts cost more than $25, so the deductible amount per client will be lower than what you spend. Tax rules change and your situation may differ, so confirm the treatment with your accountant.
Check the recipient's gift policy
Many companies limit what their employees can accept. Common rules include a maximum value, a requirement to report gifts, or a full ban during a tender or contract renewal. Public sector employees often face stricter limits set by law. Before you send a gift, especially a larger one to a key account, ask your contact whether their company has a policy, and check your company's gift policy as well. If a client cannot accept a gift, a handwritten thank you note is still worth sending.
Timing your order
Laser-engraved items in stock, up to 20 pieces, are typically ready in 3–4 business days after artwork approval and payment. Larger orders take up to 10 business days, and orders of 100 or more pieces are confirmed in your quote. Tonal deboss takes 2–5 weeks after artwork approval and payment, depending on quantity. Shipping time is additional. You approve a digital proof before anything is personalized, and personalized items cannot be returned.
| For delivery before December 25, 2026 | US: approve and pay by | Canada: approve and pay by |
|---|---|---|
| Debossed or custom-made gifts | November 20 | November 13 |
| In-stock items with laser engraving | December 15 | December 8 |
Frequently asked questions
How much should you spend on a client gift?
Set the amount by relationship tier. Spend the most on a short list of key accounts, a moderate amount on active clients, and a small amount on your wider network. Stay within your own and the client's gift policies.
What is the IRS limit for deducting business gifts?
According to IRS Publication 463 (2025), you can deduct no more than $25 for business gifts you give directly or indirectly to each person during your tax year. Confirm the details with your accountant.
Do engraving and mailing costs count toward the $25 limit?
Incidental costs such as engraving on jewelry, packaging, insuring and mailing are generally not included, as long as they do not add substantial value to the gift.
How can I lower the cost per client gift?
Order 5 or more pieces in total; different products count together. Our volume pricing is 15% off at 5 pieces, 20% at 25, 30% at 50 and 35% at 75 pieces or more.
Is there a minimum order for client gifts?
There is no minimum for laser engraving, so you can order a single personalized item. Heat debossing starts at 15 pieces. Volume discounts start at 5 pieces in total, and different products count together.
Source: Internal Revenue Service, Publication 463 (2025), Travel, Gift, and Car Expenses, chapter 3, Gifts.
Price all three tiers in one quote
Send your client list by tier, the products and your logo. We will reply with a quote that shows the volume tier for the whole order.
Request a quote See all corporate gifts
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