Glossary
Supplemental Wages
Supplemental wages are those paid in addition to the normal pay an employee would receive for their service hours. Bonuses would be a prime example of supplemental wages.
Supplemental wages are not immune from taxes but possess a special tax rate defined by a tax authority.
But a Jelly of the Month club membership is not taxable, so really, that is the better option as far as holiday bonuses go.