Payroll giving, also known as workplace giving, is an initiative backed by HM Government that allows employees to make regular donations to their chosen charities directly from their salary.

In effect, charitable donations are deducted from wages or salary before tax is applied, meaning that for most people, a £1.00 donation would only cost 80 pence, even less for high rate taxpayers.

This powerful giving method not only benefits the causes close to employees’ hearts but also fosters a sense of social responsibility within organisations.

Payroll giving is a straightforward process. Employees select a charity or non-profit organisation they wish to support and decide on the amount they want to donate each month. The chosen amount is then automatically deducted from their wages and sent directly to the designated charity. These donations are tax-deductible, providing employees with an added incentive to participate.

Benefits for Employees

1. Payroll giving eliminates the bother of remembering to make regular donations. Employees set it up once, and know that their contributions will be consistent and reliable.
2. Donations made through payroll giving are tax-deductible, reducing employees’ taxable income.
3. Big Smiles!

Benefits for Employers

1. Companies that support payroll giving initiatives are often viewed more favourably by employees and the public, because it demonstrates a commitment to social responsibility.
2. Payroll giving can help build and nurture a sense of community and shared purpose among employees, improving morale and team unity.
3. Employers may also benefit from tax incentives for offering payroll giving programs to their employees, making it a cost-effective way to support charitable causes.
4. Big Smiles!

Help for Charities

Payroll giving provides charities with a stable source of funding, allowing them to organise their fundraising and spending plans more effectively. It also reduces admin time and costs because donations are automatically processed.

This financial stability offered by Payroll Giving is especially crucial during uncertain economic times.

How to Implement Payroll Giving

1. Partner with a Payroll Giving Provider: Many organisations specialise in setting up and managing payroll giving initiatives. These providers will help streamline the process and ensure compliance with HMRC tax regulations.
2. Educate Employees: Raise awareness about the payroll giving programme through internal communications, meetings, and training sessions. Provide information on the benefits and how to get involved.
3. Support Employee Choice: Allow employees to select the charities or causes they are passionate about. The more personalised the giving experience, the more likely employees are to participate…Let your team own the initiative.
4. Of course, we would love you to choose the Prostate Project, but there are a great many brilliant charities that you can support, and payroll giving is perfect for all of them!

Payroll giving is a simple yet powerful tool that can have a significant impact on employees, employers, and the charitable organisations that they support.

In a world of CSR, it promotes and reinforces corporate and social goals, provides a sense of purpose in the workplace, and strengthens communities. As more companies recognise the value of payroll giving, it has the potential to become a cornerstone of corporate social responsibility in the modern business world.

By adopting this initiative, organisations can simultaneously boost their reputation and employee satisfaction, while helping the Prostate Project to save and prolong the lives of even more men.

Payroll giving really is a win-win scenario for everyone involved.

You can find out more about Payroll Giving by visiting the HMRC website, and of course, if you have any specific questions we would be delighted to help, just send us an email.