Gratitude and appreciation circles are small groups that meet on a regular schedule to share what's gone well and to thank each other by name. A trained facilitator can lead them, or members can take turns. Employers include them in an LSA because the group format gives people a reason to keep showing up, and the costs involved are modest and easy to verify.
What running or joining a circle costs
Most expenses in this category come from the group itself, not from solo practice. Plans that include it commonly allow:
- Registration for a facilitated gratitude or appreciation circle series
- Fees for a trained facilitator to lead a group of friends or neighbors
- Workshops that teach people how to run their own circle
- Shared supplies such as thank-you cards, sticky notes and a gratitude board
- Room rental at a community center or library for regular meetings
- Paid virtual circles that meet on a set weekly schedule
To compare this with other popular categories, read our breakdown of LSA eligible expenses.
Building the category so it stays personal
Keep it separate from company recognition
Make clear that the LSA covers circles an employee chooses to join or host, not official recognition events. That keeps team budgets and personal allowances from getting mixed up.
Cover both joining and hosting
Some employees want to attend a circle and others want to start one. Allowing facilitator training and basic supplies alongside registration fees serves both groups.
Decide on refreshments up front
Coffee and snacks come up in almost every hosting claim. State whether they're allowed and set a small limit so reviewers aren't making case-by-case calls.
Where employers usually draw the line
- Company-run recognition programs, awards and team celebrations are typically paid from a department or HR budget, not from individual LSA balances.
- Circles run as group therapy by a licensed clinician are clinical care and generally belong with the EAP or health plan.
- Food and drinks for meetings are a common grey area, and plans split between allowing modest refreshments and excluding them entirely.
- When several people split one facilitator fee, most plans ask each employee to submit only their own share.
Who joins an appreciation circle
People who can't keep a solo journal going often do better when a group expects them every Tuesday evening. Remote employees use circles to get regular, low-pressure contact with other people. Some managers take a facilitation workshop and then bring the format back to their own teams. Others join a circle in their neighborhood or faith community, which gives them a support network that has nothing to do with their job. It also fits naturally alongside mental health benefits at work.
Frequently asked questions
Can I use my LSA to join a gratitude or appreciation circle?
Many plans with an emotional wellbeing category allow it, including paid in-person and virtual circles. Your employer's plan decides what's covered, so check the category list before you register.
Can I get reimbursed for supplies if I start a circle?
Often, if the plan includes hosting costs. Cards, a gratitude board or a room booking are typical examples. Events your company organizes usually come out of a separate budget.
Is a gratitude circle the same as group therapy?
No. A gratitude circle is a peer or facilitator-led practice, not clinical treatment. If you're looking for therapy, your EAP or health plan is the place to start.
What if several of us share the cost of a facilitator?
Most plans ask each person to submit their own portion with a receipt or split invoice. That keeps each claim tied to the employee who paid it.
LSA funds are generally treated as taxable income. Learn more about how LSA reimbursements are taxed.
This content is general information, not medical, legal, tax, or financial advice. Employer plan terms determine eligibility, and requirements may vary by location.

