How much does a company holiday party cost per person?
2026 per-person ranges for Ontario employers, plus the CRA rule that decides whether the party is a taxable benefit.
7 min read · By the Everest team · Updated October 2026
Most Ontario company holiday parties cost roughly $50 to $150 per person in 2026, depending on whether you serve appetizers or a full dinner with bar and entertainment. Many employers aim to stay at or under $150 per person including taxes, because that is the Canada Revenue Agency’s limit for a non-taxable staff social event.
- Casual reception with appetizers: about $40 to $75 per person.
- Sit-down or buffet dinner with bar: about $75 to $150 per person.
- Hotel or premium package with entertainment: $150 per person and up.
Who this is for: HR leads, office managers and owners in Ontario planning a December or January staff party, from 20 guests to several hundred.
What is a normal per-person budget for a holiday party?
A normal budget in Ontario is about $75 to $125 per person for a dinner party with drinks, and less for a reception-style event. The table shows approximate 2026 ranges, based on published Ontario venue listings and hotel holiday packages.
| Party style | What it usually covers | Approx. per person |
|---|---|---|
| Office lunch or potluck-plus | Catered lunch, simple decor | $25 to $45 |
| Evening reception | Venue, passed or stationed appetizers, drink tickets | $40 to $75 |
| Dinner party | Venue, buffet or plated dinner, bar, DJ | $75 to $150 |
| Premium or hotel gala | Plated dinner, open bar, entertainment, decor | $150 to $250+ |
These ranges are approximate and may or may not include 13% HST and a 15 to 20% service charge, so always check. Prices vary by date, guest count and vendor; Saturdays in early December cost the most.
Is a holiday party a taxable benefit in Canada?
Not if it follows the CRA’s policy. According to the Canada Revenue Agency, an employer-provided social event open to all employees is not a taxable benefit when it costs $150 or less per person, including taxes.
- Everyone must be invited. The event has to be open to all employees, not a select group.
- Partners count. A spouse or partner who attends is included in the per-person figure.
- Up to six a year. The CRA caps it at six employer-paid social events per year, in person and virtual combined.
- Extras are excluded. Transportation home, taxis and overnight hotel rooms are not counted toward the limit.
- Going over is all-or-nothing. If the cost passes $150 per person, the whole amount becomes taxable, not just the overage.
Where does the holiday party money go?
Food and drink take the largest share of almost every holiday party budget. The chart shows a typical split for a dinner-style party.
How do you set a holiday party budget?
Start from a per-person number, then multiply by expected attendance, not by headcount. Most teams see some people skip, but partners can push the number up.
- Pick the per-person ceiling. Many Ontario employers use $150 all-in as the cap because of the CRA rule.
- Estimate attendance. Count employees, add expected partners, and plan for 80 to 90% to RSVP yes.
- Choose the format. Reception, buffet or plated dinner sets most of the cost.
- Decide the bar policy. Drink tickets or a hosted bar for the first hours keeps costs predictable.
- Add a 10% buffer. Extra guests and last-minute add-ons happen every year.
For the full planning list, see our company holiday party checklist.
How can you lower the cost per person?
Change the date before you cut the food. Venue demand peaks on the first two Saturdays of December.
- Hold it on a Thursday or Friday, or in January as a “new year” party.
- Choose a buffet or family-style dinner over a plated multi-course meal.
- Use drink tickets instead of an open bar all night.
- Pick a full-service venue so food, bar, decor and staff come in one quote.
Quick answers
How much should a company spend per employee on a Christmas party?
Many Ontario companies spend about $75 to $150 per person for a dinner party in 2026. Staying at or under $150 per person including taxes keeps it within the CRA’s non-taxable limit for social events.
What is the CRA limit for employee holiday parties?
According to the CRA, a social event open to all employees is not a taxable benefit if it costs $150 or less per person, including taxes. Transportation home and overnight stays are not counted.
Do spouses count toward the $150 per person?
Yes. The CRA counts an attending spouse or common-law partner as a person when you work out the cost per person.
What does a holiday party for 50 people cost?
At an approximate $75 to $150 per person, a 50-person dinner party would run roughly $3,750 to $7,500 in 2026. A reception with appetizers could come in closer to $2,000 to $3,750.
When should we book a holiday party venue?
For a Saturday in early December, book by late summer or early fall. Weeknights and January dates are often still open in October and November.
Planning in Chatham-Kent?
Everest hosts staff parties of every size with in-house chefs and a full bar, and weekday events can be up to 30% off. Ask for a quote that fits your per-person number.
