An employer’s guide to payroll giving. If your question isn’t answered below please don’t hesitate to contact us to find out more.
When considering a payroll giving scheme you’re not only giving to the charities and those they help - which in itself is as just a reason as any, you’re also demonstrating your company’s commitment to it’s employees and the wider community. A payroll giving scheme can enhance public perception of your company, improve employee morale and act as a benefit to attracting respectable and ethical staff.
The National Payroll Giving Awards Event is held annually every autumn to celebrate the efforts of employers, charities and professional partnerships in promoting Payroll Giving in the workplace. Any employer who has achieved a Bronze, Silver or Gold Payroll Giving Quality Mark Award Certificate is eligible to apply for entry.
There are multiple examples of payroll giving being the cornerstone of many a corporate fundraising effort. As well as increasing the take-up of schemes, the awards recognised stand-out campaigns for their originality and innovation. New and exciting ways to promote and incentivise the scheme alongside committed partners only serve to inspire us to greater heights; to make payroll giving work for our charities and our corporate clients.
It costs nothing to set up a payroll giving scheme. In fact, the only cost in setting up is in the time taken to administer the process, which you are able to claim tax relief on as an allowable expense.
Not at all. All you need to do is sign up with a HM Revenue & Customs approved payroll giving agency and they will distribute your employee’s donations to their nominated charities.
A column will need to be added to your payroll before tax and after National Insurance. This will be used to input deductions when employees choose to join the scheme. The deduction made is the total amount authorised by the individual employee.
When working with Bell Fundraising Ltd. the payroll department does not need to know which charities your employees have chosen to support. Each pay period the following should be sent to your chosen payroll giving agency:
One cheque/BACS payment for the total employee donations deducted and a list of all donors including: payroll or other reference number, donor’s initial and surname, the gross deduction (the payroll giving agency will advise on the preferred format for sending donations and listings).
We offer a free service to raise awareness of your payroll giving scheme among employees. We will inform your payroll giving agency of your employees’ donation instructions and inform the nominated charity consortia that they will be receiving donations. We then return the original forms to your payroll department.
Bell Fundraising Ltd. organise tax effective fundraising events and campaigns in companies and organisations across the UK to raise money for our charity consortiums. All fundraisers are employed on a non-commission basis so that we can promote a non-target driven campaign.
Every donation received is split equally between the charities in each charity group, rather than an individual having to decide on only one good cause. This is a great way of helping several charities, large and small, in one event.
Staff have different alliances to different causes and this would allow you to accommodate your employee’s choices on a wider scale, appealing to a broader audience and in turn engaging more of your colleagues.
We can also help to set up and manage your successful relationship with the Payroll Giving Agencies to maximise your uptake of donors and to ensure that the process runs as smoothly as possible.
Many employers are supporting the scheme by paying the Agencies’ admin fees and/or matching their employees’ donations. If you need advice on this please talk to us.
An employee’s guide to payroll giving. If your question isn’t answered below please don’t hesitate to contact us to find out more.
You choose the charity or charity consortium you wish to donate to and the amount you wish to give and the rest is done for you. Donations are made before tax and after NI so contributions are not affected. You can change the amount or stop donations at any time by simply contacting your payroll department.
Your tax goes straight to your chosen charity instead of going to the tax man. There’s no need to worry about reclaiming the tax for you or your charity. Even better, it doesn’t matter whether you’re a lower or a higher rate taxpayer - your chosen charity receives all the tax you would have paid. This is different from Gift Aid which only gives a tax benefit at the standard rate of 20%.
If your employer doesn’t currently offer a payroll giving scheme and you think they should then why not nominate them? It’s incredibly simple to do and it may just be that they are unaware of payroll giving and how easy it is to set up a scheme.
Contact us today to nominate your employer.