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company outing per person
Company outing per person: How to maximize fun and save on taxes!
A successful company excursion strengthens team spirit and boosts employee motivation. But how much does a company outing cost per person, and how can you optimize the costs for tax purposes? Discover valuable tips and tricks for planning and executing your next company trip in this article. We are happy to offer you personalized advice. Get in touch here.
The topic, briefly and concisely
The 110-euro threshold is crucial for the tax treatment of company outings. A careful planning helps to maximize the benefits and avoid tax liabilities.
Labour law aspects such as the voluntariness of participation and the co-determination rights of the works council must be observed. Employee satisfaction can be increased by up to 15% by taking these aspects into account.
Company outings strengthen team spirit, especially in the era of remote work. By promoting personal interactions, employee retention can be increased by 5%, leading to higher productivity.
Planning the perfect company outing? Learn everything about costs, tax benefits, and legal frameworks. Get informed now and create the ideal outing!
Planning a company outing per person requires a good understanding of tax regulations to make the most of the benefits. A key aspect is the €110 threshold, which plays an important role in the tax treatment of company events. We show you how to use this threshold optimally to benefit both your employees and your company.
The €110 Threshold: An Overview
The tax-free allowance of €110 per person per event applies to a maximum of two events per year. This flat rate includes all costs associated with the company outing, including travel, catering, activities, and any gifts. It is important to note that if this threshold is exceeded, the entire amount becomes a taxable benefit. Careful planning and budgeting are therefore essential to fully exploit the tax benefits. For more information on tax aspects, visit FactorialHR.
What does the €110 per person allowance include?
The €110 per person allowance includes a variety of cost items that must be considered when organising a company outing. These include:
The tax-free allowance of €110 per person per event (maximum two events per year).
Consideration of all costs, including travel, catering, activities, and gifts.
Exceeding the threshold results in tax liability for the entire amount as a taxable benefit.
Strategic Planning to Maximise Tax Benefits
Strategic planning is essential to maximise tax benefits. Companies may distribute costs across several smaller events to avoid exceeding the €110 threshold. Careful budget planning and cost control are also important to stay within the allowance. Additionally, non-cash benefits and vouchers can be used within the allowance to provide additional value to employees without jeopardising the tax benefits. Our company outing planning checklist can assist you here.
How can companies optimally distribute costs?
Companies have various options to optimally distribute the costs of a company outing to maximise tax benefits. Here are some strategies:
Distributing costs across several smaller events.
Careful budget planning and cost control.
Use of non-cash benefits and vouchers within the allowance.
Flat-Rate Tax Option
If the €110 threshold is exceeded, employers have the option to pay a 25% flat-rate tax on the excess amount. This option simplifies the taxation process for employees, as they do not have to tax the amount individually. However, it is important to note that this option only applies to the excess amount and not to the entire amount of the company outing. The decision for or against the flat-rate tax option should be carefully considered to find the best solution for the company and its employees. For more information on the tax treatment of incentive trips, visit our website.
What is the 25% flat-rate tax option for employers?
If the €110 threshold is exceeded, employers can opt to pay a 25% flat-rate tax on the excess amount.
This simplifies the tax process for employees.
Rights and Obligations: Employment Law Aspects for Smooth Operations
When planning a company outing, it's essential to consider not only tax implications but also employment law aspects. These aspects involve the voluntariness of participation, working time regulations, and the co-determination rights of the works council. A clear understanding of these points is crucial to avoid legal issues and ensure the smooth running of the company outing. We highlight what you need to pay attention to.
Voluntariness of Participation and Working Hours
Participation in a company outing is generally voluntary. This means that no employee can be forced to attend the outing. However, clear rules must be established for employees who do not wish to participate. Typically, these employees must perform their regular work during normal working hours. It is important to communicate this clearly in advance to avoid misunderstandings. The information from Papershift provides further details on this.
Mandatory Participation vs. Voluntariness
Participation in a company outing is generally voluntary.
There are clear regulations for employees who do not wish to participate (e.g., performing regular work).
Company Outing During Working Hours
If a company outing takes place during regular working hours, this time is generally considered working time. However, it is important to note that overtime regulations do not automatically apply. If the outing extends beyond regular working hours, there is usually no entitlement to overtime pay. Again, clear communication in advance is crucial to avoid ambiguities. Our checklist for the company outing helps you consider all important points.
Company outings during regular working hours are generally considered working time.
Overtime regulations, however, do not automatically apply.
Co-Determination Rights of the Works Council
The works council generally does not have an automatic co-determination right in the planning and execution of company outings. This changes, however, if the outing is viewed as a reward or bonus for employees. In this case, co-determination rights according to §87 BetrVG may apply. It is therefore advisable to involve the works council early in the planning to avoid potential conflicts and find a mutually agreeable solution. Involving the works council can also help increase employee acceptance of the company outing.
When Does the Works Council Have a Say?
Generally no automatic co-determination right for company outings.
Co-determination may apply if the outing is considered a reward or bonus (§87 BetrVG).
Safety net: Comprehensive insurance coverage and liability protection
An important aspect of organising a company outing is insurance coverage and liability. It is crucial that all participants are adequately insured and that the employer fulfils their duty of care. This includes clarifying when statutory accident insurance applies, who is not insured, and what obligations the employer has. Comprehensive coverage of these points helps minimise the risk of accidents and liability claims. We provide you with an overview.
Statutory Accident Insurance
Statutory accident insurance generally applies to accidents that occur during the company outing and on the direct way there and back. The prerequisite is that the outing is considered a company community event. This means that the outing must be initiated by the employer and be open to all employees. It is important to clarify this in advance to ensure that all participants are covered in the event of an accident. The information from FactorialHR provides further details on this.
When does statutory accident insurance apply?
Accidents during the company outing and on the direct way there and back are generally covered by statutory accident insurance.
Prerequisite: The outing must be considered a company community event (initiated by the employer, open to all employees).
Exclusion of Family Members and Friends
It is important to note that family members and friends accompanying employees are not protected by the company accident insurance. This means that in the event of an accident, no benefits from statutory accident insurance can be expected. It is therefore advisable to inform employees in advance and, if necessary, take out private accident insurance for accompanying persons. Our ideas for the company outing help you to create the right framework.
Who is not insured?
Family members and friends accompanying employees are not protected by the company accident insurance.
Employer’s Duty of Care
The employer has a duty of care towards their employees. This includes clear communication about the start and end of the official event to define the period of insurance coverage. Furthermore, the employer must ensure the safety of participants during the outing. This can be achieved, for example, by selecting safe activities and providing enough staff to supervise the participants. The information from Papershift provides further details on this.
What does the employer need to consider?
Clear communication about the start and end of the official event to define the period of insurance coverage.
Ensuring the safety of participants during the outing.
Recipe for success: Involve employees and clearly distribute tasks
A successful company outing is characterised by careful organisation and planning. It is important to involve employees in the planning process and clearly distribute responsibilities. Good communication and a detailed schedule also help ensure the outing runs smoothly and all participants are satisfied. We will show you how to achieve this.
Employee Involvement and Activity Selection
Involving employees in the planning of the company outing is a crucial factor for success. By gathering suggestions and preferences from employees, you can ensure that the activities meet the interests of all participants. Another option is to offer a selection of activities for a vote. This allows employees to actively participate in shaping the outing and increases acceptance and anticipation. Our tips for company outings with large groups help you take all interests into account.
How can employees be involved in the planning?
Gathering suggestions and preferences from employees.
Offering a selection of activities for a vote.
Responsibilities and Task Distribution
Clear task distribution is essential to ensure that all aspects of the company outing are covered. Assigning responsibilities to specific employees or teams makes planning and execution efficient. A detailed timetable and schedule help keep track and ensure that all tasks are completed on time. The information from FactorialHR provides further details in this regard.
Who takes care of what?
Assigning responsibilities to specific employees or teams.
Creating a detailed timetable and schedule.
Communication Strategy
Announcing the outing early and providing all relevant information (costs, programme, participation conditions) is crucial to inform employees in good time and secure their attendance. A clear internal and external communication strategy helps avoid misunderstandings and ensures that all parties are on the same page. The information from Papershift provides further details in this regard.
How are employees informed?
Early announcement of the outing and provision of all relevant information (costs, programme, participation conditions).
Clear internal and external communication strategy.
Strengthening team spirit: Company outings as the key to connection in the remote era
In times of remote work, company outings gain a new significance. They provide a valuable opportunity to strengthen team spirit and foster personal relationships among employees. By bridging the distance created by remote work, company outings can contribute to enhancing the sense of connection and togetherness within the team. We show you how to achieve this.
The Importance of Personal Interactions
Company outings offer a unique opportunity to reinforce team spirit and personal relationships. Unlike virtual communication, personal interactions enable the building of trust and promote mutual understanding. Through shared experiences and activities, employees can develop a stronger bond with each other, positively impacting collaboration and the working atmosphere. Our party trips provide the ideal setting for this.
Why are Company Outings Important in a Home Office Environment?
Company outings as a way to strengthen team spirit and personal relationships.
Bridging the distance that arises from remote work.
Adapting Activities for Remote Teams
When planning company outings for remote teams, it is important to consider the needs and interests of employees working from home. Offering activities that can be conducted both online and offline enables all employees, irrespective of location, to participate in the outing. By considering individual preferences and needs, it can be ensured that all participants enjoy the outing and derive value from it. The information from Papershift provides further details on this.
How Can Company Outings be Designed for Remote Teams?
Considering the needs and interests of employees working from home.
Offering activities that can be conducted both online and offline.
Good manners pay off: Behavioral guidelines for harmonious company outings
A harmonious company outing requires clear behavioral guidelines and good conduct from all participants. This includes handling alcohol, appropriate conversation topics, and maintaining a neat appearance. By adhering to these guidelines, it can be ensured that the outing becomes a positive experience for everyone involved. We provide you with some tips.
Alcohol and Appropriate Conduct
Clear guidelines for alcohol consumption during the outing are essential to avoid uncomfortable situations. Consuming alcohol in moderation helps all participants maintain control and behave respectfully. Furthermore, emphasizing appropriate conduct and mutual respect is crucial to ensure everyone feels comfortable and no one is harassed. The information from Papershift provides further details on this.
What needs to be considered?
Clear guidelines for alcohol consumption during the outing.
Emphasis on appropriate conduct and mutual respect.
Networking and Communication
A company outing offers a great opportunity to promote networking and communication among employees. By sharing ideas and experiences, employees can make new contacts and strengthen their relationships with each other. However, it is important to avoid gossip and discussing private matters to create a positive and constructive atmosphere. Our company outing checklist helps you cover all the important points.
How can contacts be made?
Promotion of networking and communication among employees.
Avoidance of gossip and discussing private matters.
Dress Code and Appearance
Recommending an appropriate dress code for the event helps ensure that all participants feel comfortable and convey a positive image of the company. A neat appearance is also important to leave a professional impression. However, the dress code should be tailored to the event's conditions and activities to ensure everyone feels comfortable and is appropriately dressed.
What is appropriate?
Recommendation of an appropriate dress code for the event.
Emphasis on a neat appearance.
Providing Clarity: Answers to the Most Common Questions About the Company Outing
Bei der Planung und Durchführung eines Betriebsausflugs возникают viele Fragen. To make organising easier for you, we have compiled the most common questions and answers on company outings. This overview is designed to help you consider all important aspects and plan a successful outing. We provide you with a summary.
Costs, Taxes and Working Hours
Costs, taxes, and working hours are central aspects when planning a company outing. It is important to know the tax thresholds and observe the working time regulations to avoid legal issues. Additionally, the costs should stay within budget and be communicated transparently. The information from FactorialHR offers further details on this.
An Overview of the Key Questions
How much can a company outing cost per person?
How is a company outing calculated?
What is the flat rate for company events?
Participation, Insurance, and Organisation
Participation, insurance, and organisation are other important aspects to consider when planning a company outing. It's crucial to ensure the voluntariness of participation, clarify insurance cover, and plan the organisation carefully to ensure a smooth process. Our checklist for the company outing assists you in considering all essential points.
Other Important Aspects
What happens if an employee does not want to attend?
Who is insured on a company outing?
How do I organise a successful company outing?
GoTuro makes it possible: Unforgettable company outings with tailor-made experiences
At GoTuro, we are your partner for unforgettable company outings. We offer a wide range of tailor-made experiences that cater to the individual needs and interests of your team. From adventurous outdoor activities to cultural exploration tours – we have the perfect offer for every taste. With our many years of experience and extensive expertise, we support you in planning and executing your perfect company outing.
Our offer includes:
Adventure and Experience Trips: Safaris, jungle tours, hikes, and Northern Lights tours.
Cultural and Educational Trips: Pilgrimages, city breaks, and literature-inspired journeys.
Leisure and Party Trips: Party trips, team excursions, and weekend getaways.
Luxury and Niche Tours: High-end experiences, sustainable travel, and family-friendly tours.
We highly value individuality and flexibility. Therefore, we are pleased to adapt our offers to your specific desires and requirements. Whether you're planning an action-packed day in the mountains, a relaxing outing by the sea, or a cultural exploration tour of a historic city – we are your competent partner. Our incentive trips offer you additional inspiration.
Moreover, we assist you with all organizational matters concerning your company outing. From booking accommodations and transport to selecting activities and creating a detailed schedule – we take care of everything so you can sit back and enjoy the trip. We pride ourselves on standing out from our competitors with our individually customizable adventure themes, our strong focus on community building (quizzes and competitions), and our commitment to sustainable and inclusive travel options.
A company outing with GoTuro is more than just a trip – it is an investment in your employees' motivation and satisfaction. Through shared experiences and activities, you can strengthen team spirit, improve communication, and foster a sense of belonging. Contact us today to plan your bespoke company outing and provide your employees with an unforgettable experience.
Organising a company outing made easy: Request a quote now and impress your team!
More useful links
On the Papershift page, you will find detailed information and explanations about company outings, including legal aspects and organizational tips.
FactorialHR offers a blog article with comprehensive information and tips for planning and executing company outings, including tax aspects.
FAQ
Wie viel darf ein Betriebsausflug pro Person kosten, um steuerliche Vorteile zu nutzen?
Die steuerliche Freigrenze liegt bei 110 Euro pro Person und Veranstaltung für maximal zwei Veranstaltungen pro Jahr. Diese Pauschale umfasst alle Kosten wie Anreise, Verpflegung und Aktivitäten. Es ist wichtig, diese Grenze nicht zu überschreiten, um die Steuerpflicht zu vermeiden.
What happens if the cost per person exceeds the €110 limit?
If the €110 limit is exceeded, the entire amount becomes liable for tax as a monetary benefit. However, the employer can pay a flat rate of 25% on the excess amount to simplify taxation for employees.
Are company outings during working hours considered as working time?
Yes, if a company outing takes place during regular working hours, this time is generally considered as working time. However, it is important to note that overtime regulations do not automatically apply.
Who is protected by statutory accident insurance during a company outing?
The statutory accident insurance generally covers accidents that occur during the company outing and on the direct route to and from it. However, this only applies if the outing is considered as a company-wide event.
Must the works council be involved in planning a company outing?
The works council does not automatically have a co-determination right in planning company outings. This changes if the outing is seen as a reward or bonus for employees.
What should be considered regarding the participation of family members and friends?
Family members and friends accompanying employees are not protected by company accident insurance. It is advisable to inform employees in advance and, if necessary, take out private accident insurance for those accompanying.
How can employees be involved in the planning of the company outing?
Involving employees in the planning is crucial for success. This can be done by gathering suggestions and preferences or offering a selection of activities for voting.
What role do company outings play in the age of remote work?
In times of remote work, company outings take on a new significance. They provide a valuable opportunity to strengthen team spirit and foster personal relationships between employees.
