I fear it depends on the Look’n’Feel (LnF). I believe the GTK LnF is OK, but the default Metal may not be. I seem to remember people complaining about a similar issue with the drop-down .vsav selection tine start-up wizard.
Technically, I don’t think the problem is whether the toolbar “wraps” - but rather that very long menus extend beyond the bottom of the screen - which is really a different problem than the toolbar.
@fumanpo perhaps you can give some details on your set-up (see How to report problems). Also, you can try to set a different LnF by looking at How to set the VASSAL Look’n’Feel and see if any of that helps.
Yours,
Christian