Give as you earn resource hub
This hub provides a range of resources and tools to help you engage with your employees to donate through your CAF Give As You Earn scheme.
We help donors to give more impactfully and charities to build their resilience so they can do more of their life-changing work.
From one-off donations to long-term giving, or designing your personal philanthropic strategy, we work together to help you realise your giving ambitions.
DISCOVER OUR PERSONAL GIVING SOLUTIONSYou have the vision for making a difference. So do we. We help you plan how to give based on your goals.
DISCOVER OUR CORPORATE GIVING SOLUTIONSHelping your charity or social enterprise become more resilient.
DISCOVER HOW WE SUPPORT CHARITIESDiscover the latest insights for donors and charitable organisations to help create a greater impact
ExploreWe are a leading charity, working at the centre of the giving world. We help donors to give more impactfully and charities to build their resilience so they can do more of their life-changing work.
Find out more about CAFPayroll giving is a powerful way for you to make a difference to the charities and causes close to your heart. It allows you to donate regularly and effortlessly to around 160,000 verified UK charities via your salary, with no extra admin for you to manage. It is all covered by the experts who run your workplace scheme.
The way payroll giving works is simple.
First, check if your employer offers a payroll giving scheme as part of your employee benefits. You can do this by checking your intranet or benefits hub if your company has one, or by checking directly with your HR/payroll team.
Then, during the enrolment process, you will be asked to confirm the amount you want to donate, to choose the method of giving that suits you best and the charity or charities (you can support more than one) you want to support.
Once this is all set up, your donation will be taken from your pay automatically before tax is deducted. You can start, stop, change or amend your donations at any time.
Donations can be made monthly or on a more ad-hoc, one-off basis. You can also give additional donations at the end of the tax year or if you receive a bonus, subject to your wishes.
Payroll giving is one of the most tax-effective ways you can give to charity. Donations are taken from your gross pay, or pension, after your National Insurance contributions have been deducted, but before Income Tax is calculated and removed.
You receive tax relief on your donation. The amount will differ depending on the rate of tax you normally pay, making your money go further at no additional cost to you.
For example, if you are a 20% taxpayer, 80% of your contribution
amount will be taken from your salary and 20% will be taken from the tax that would have gone to HMRC. This means your tax is calculated on a lower amount, which could change your tax bracket and lower the amount of tax you pay.
In other words, if you donate £20, your chosen charity will receive the full amount, but the donation will cost you £16 if you are a 20% taxpayer.
Donations
made through payroll giving provide charities with a regular and
dependable source of income. As a result, they can plan more
effectively, which supports their long-term resilience.
In
addition, many charities prefer payroll giving because it removes the
administration it would usually take for them to claim Gift Aid, giving
them more time and resources to focus on their mission.
Mervi
Slade, Product and Programme Manager for Payroll Giving at Cancer
Research UK, says, “Payroll Giving is a great source of income for
charities. Regular gifts allow us to plan for the future, donations
already include tax and we do not have to claim Gift Aid. Additionally,
some employers match donations, enabling charities to do even more with
these contributions.”
Payroll giving has raised more than £2 billion for charitable organisations across the UK, since it was established in 1987.
As an employee signed up to payroll giving, you will be able to consistently support the charities and causes
you care about and secure greater impact through your donation. Payroll giving saves your chosen charities the time and resources it takes to claim Gift Aid, enabling them to focus on fulfilling their mission and planning for the future.
Many employers also choose to cover the administration fees and/or match their employees’ donations, resulting in charities receiving a greater sum.
No. The UK Government defines salary sacrifice as, “An agreement to reduce an employee’s entitlement to cash pay, usually in return for a non-cash benefit”. For example, this can include childcare vouchers, increased pension contributions
and cycle to work schemes.
This is different to payroll giving. Being part of your employer’s payroll giving scheme does not affect your final salary and your donation is deducted from your pay after your National Insurance Contribution,
but before Income Tax.
Raising awareness with your employer, who can set up the scheme, is a great place to start. You can find out more about payroll giving here.
As the UK’s largest Payroll Giving Agency, we can also help you. We have been running Give As You Earn (GAYE), our payroll giving scheme, since 1987.
Ask your HR/payroll team to contact us via our GAYE application form and our customer services team will be in touch.
If you have any further questions, get in touch via our online enquiry form or contact our Customer Services team on 03000 123 000.
This hub provides a range of resources and tools to help you engage with your employees to donate through your CAF Give As You Earn scheme.
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