Through the strategy of water soluble N‐heterocyclic carbene (NHC) ligand, Pd‐catalyzed reactions were developed in aqueous media. Therefore, four new piperidoimidazolinium salts (1a‐d) consisting of sulfonate (a), esther (b, c) and carboxylic acid (d) functionalities and their water‐soluble Pd‐NHC complexes (2a‐d) were synthesized. The new compounds were characterized by elemental analysis, FTIR, TGA, UV–vis and NMR spectroscopy. The catalytic activities of water soluble Pd‐NHC complexes (2a‐d) were investigated using the Suzuki‐Miyaura (S‐M) reaction and the reduction of nitroarenes. We found that the water‐soluble polar or ionic groups on piperidoimidazolin‐2‐ylidine had an effect on the catalytic activity. The water‐soluble catalyst can be recycled efficiently and reused six times with only a very slight loss of catalytic activity.