Payroll Giving (sometimes known as Give as You Earn) is an easy and tax-efficient way of making regular donations to your favourite charities straight from your pay.
Payroll Giving Month happens once a year when Charities, Payroll Giving Agencies, Payroll Funding Organisations and Companies make a special effort to increase the awareness of Payroll Giving.
Payroll Giving Month takes place every February.
Please help us spread the word and like / share / promote all the posts and messages you see on social media or in your company collaboration systems.
Payroll Giving is super easy to setup. Ask your Payroll department or Benefits / CSR Team directly for how to get started. They will ask you to complete a form with the information about the donations you wish to make and giving your consent for the process to happen.
Many companies will have an established process to help you with this.
Companies need to work with a Payroll Giving Agency to allow the process to be implemented. It is quick and easy to get this setup and an important part of their Corporate Social Responsibility.
Payroll Giving Agencies facilitate the secure transition of funds from your gross wages to the charity’s bank account. Payroll Giving Agencies are themselves charities and they are authorised by HMRC to perform this function.
Your company needs to have a contract with a Payroll Giving Agency to allow donations to be deducted from your gross pay.
There are no set-up costs for employers.
Payroll Giving Agencies can charge a processing fee of up to 5% of the donation amount. However, some agencies don’t charge and some charge a transaction fee per employee. You may choose to cover this fee for your employees otherwise the Agency will deduct it from donations. You can find a list of all approved agencies on the Gov.UK website.
Payroll Giving is a great way to enable the charities you care about to receive regular funds. It allows them to make plans and focus on their charitable objectives.
It is easy to setup and once it is done you can feel confident your money will be transmitted safely every month.
"Payroll Giving is such a valuable form of fundraising to RSPCA. It gives us a regular income each month which means that we can plan ahead. There is less administration, as no Gift Aid forms to complete. The donations we receive are vital to us and could pay the costs of running one of our animal centres for a year."
Julia Brown, Payroll Giving Manager , RSPCA
All UK registered charities and charitable organisations are eligible to receive donations via Payroll Giving.
By donating to charity from your gross pay it means there is no tax liability on your donation and you will pay less tax.
Donations made from gross pay also mean the charities you donate to don’t need to claim gift aid related to your donation.
Payroll Giving is especially efficient for higher rate taxpayers allowing for larger donations at a lower cost.
The tax relief you get depends on the rate of tax you pay.
To donate £10.00 to charity it will only cost you:
£8.00 if you’re a basic rate taxpayer
£6.00 if you’re a higher rate taxpayer
£5.50 if you’re an additional rate taxpayer
(Scottish rates of tax are slightly different)
It means you can consider increasing your donation because you are paying less tax.
Donating to charities is a private matter. The Payroll Giving process allows you to keep the details of your donation private from your employer.
When making a donation to a Charity you can choose whether you share your contact details with the charity and tell them whether they can keep in contact with you.
If you would like more information on Payroll Giving please take a look at these resources:
Payroll Giving is a very reliable source of income for many charities and it allows them to make solid plans for their future.
It also means funds are received quickly without the extra burden of having to claim Gift Aid from the government.
This initiative and this website was put together by a group of Charities, Payroll Giving Agencies, Payroll Funding Organisations and Companies to promote Payroll Giving.
We are not a charity or a limited company and we do not represent or act on behalf of any organisation. We exist purely to promote concept of Payroll Giving.
This website was built and maintained by the team at PayCaptain.