What is the new FINRA gift limit for financial advisors?

The FINRA gift limit under Rule 3220 is now $300 per person, per year, up from $100. The SEC approved the increase on February 12, 2026, and it took effect March 30, 2026. It's the first change to the limit since it was set back in 1992.

Who does the FINRA $300 gift limit apply to?

It applies to gifts tied to the business of the recipient's employer, like gifts to employees of institutional customers, vendors, wholesalers, referring attorneys, or plan administrators. It doesn't cover gifts to individual retail customers or gifts from a firm to its own associated persons, though firms can still set stricter internal limits for retail clients.

Do gifts from multiple people at the same firm count toward the $300 limit?

Yes. FINRA requires firms to aggregate every gift given by the firm and each of its associated persons to one recipient over the year. So if an advisor gives $150 and a colleague at the same firm gives $175 to that same person, the combined total tops $300 even though neither gift alone crossed the line.

Are event tickets counted as gifts under the FINRA rule?

It depends on whether the giver attends. If an advisor buys tickets and hands them off without going, they're valued at the higher of cost or face value and count toward the $300 cap. If the advisor attends the event with the recipient, it's treated as business entertainment instead, which trips up a lot of compliance reviews.

What gifts are exempt from the FINRA $300 limit?

A few categories fall outside the cap entirely: bereavement gifts like flowers or food, as long as the firm doesn't reimburse them, personal life-event gifts such as weddings or a new baby paid out of pocket, de minimis promotional items like branded pens or tote bags, and donations tied to federally declared disasters.

FINRA Raises Gift Limit to $300: What Financial Advisors Need to Know

Financial Advisor Practice Management

Published on May 19, 2026 • Updated on Oct 6, 2026

This article was written by Adem Tumerkan

Content Strategist, Dunham | 2025 ThinkAdvisor Luminaries Award Winner | 2026 Wealthies Finalist, Thought Leader of the Year | Macroeconomics, markets, geopolitics & global trends

FINRA raised its gift limit under Rule 3220 from $100 to $300 per person, per year, the first increase since the rule was set in 1992. The SEC approved the change on February 12, 2026, and it took effect March 30, 2026, giving advisors more room to give meaningful gifts to centers of influence, referral partners, and vendors, while keeping firm-wide aggregation, supervision, and valuation requirements intact.

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8:06

Well, it's about time.

FINRA finally raised the annual gift limit from $100 to $300 per person, per year - the first increase in the gift limit since 1992. The SEC approved it on February 12, 2026. It took effect on March 30.

The old cap had become comical. Now, advisors and firms actually have a little more room to operate like it's not 1992 - when gas was about a dollar a gallon and a movie ticket cost roughly $4.

Here’s everything you need to know.

What Changed Under FINRA Rule 3220

For over three decades - the gift cap under FINRA Rule 3220 sat fixed at $100 per person over any given year. This means if you gave a COI a holiday gift and a birthday gift in the same year, both had to cost less than $100 combined (excluding taxes and shipping costs).

By 2026, that number was badly out of step with reality. Three decades of inflation had made it nearly impossible to give a professional, meaningful gift within the limit - and everyone in the industry knew it.

Believe me, I know. I wrote a blog two years ago about the best client gift ideas for under $100. And it was hard to find anything meaningful.

FINRA cited inflation since 1992 as a key rationale for increasing the limit to $300. The proposal started at $250, got bumped to $300 after industry feedback (some commenters pushed for $500).

Here's what the updated rule means in practice:

The new limit: $300 per person, per year - for gifts tied to an existing or potential business relationship.

Employees of institutional customers, vendors, and counterparties - wholesalers, CPA firm contacts, referring attorneys, plan administrators in connection with business relationships.

Gift Scenario	Counts Toward Limit	Within $300?
$125 birthday gift plus $150 holiday gift to the same covered recipient	$275 total	Yes, assuming no other covered gifts from the firm that year.
$150 gift from an advisor plus $175 from a branch manager to the same covered recipient	$325 total	No. Gifts are aggregated firm-wide.
Unaccompanied event tickets purchased for $200 with a $350 face value	$350	No. Ticket gifts use the higher of cost or face value.
$200 gift to an individual retail client	Outside Rule 3220	The FINRA cap does not apply, but firm policy may restrict the gift.

FINRA Raises Gift Limit to $300: What Financial Advisors Need to Know

What Changed Under FINRA Rule 3220

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