FINRA Rule 3220 Gifts and Gratuities Annual $300 Limit
Under FINRA Rule 3220, what is the maximum annual value of gifts a registered representative may give to an employee of another financial firm or client representative?
FINRA Rule 3220 strictly limits business gifts and gratuities to $300 PER INDIVIDUAL PER YEAR (raised from $100 in March 2026). The rule prevents conflicts of interest and commercial bribery.
Complete Analysis & Legal Rationale
Effective March 30, 2026, the Rule 3220 limit is $300 per recipient per year (raised from $100). The limit excludes occasional normal business entertainment (dinners, sporting events, theater) where the registered representative accompanies the guest. $250 is the MSRB Rule G-37 political contribution cap.
Distractor Autopsy (Why Other Options Are Traps)
FINRA exam writers design incorrect distractors using specific calculation mistakes and regulatory misconceptions. Review why each option succeeds or fails:
$300 per recipient per calendar year is the FINRA ceiling.
$250 is the MSRB Rule G-37 political contribution de minimis limit.
Threshold is per person, not per firm.
Principals cannot override the $300 Rule 3220 gift ceiling.
Official Standard: Caps annual business gifts at $300 per individual (effective March 30, 2026).