GivingForce Supports Payroll Giving Month, February 2023
This year, Payroll Giving turns 35 years old in the UK. The organising team behind the annual Payroll Giving Week has decided to extend the week to a month this year so there is even more time to shout about the many benefits with charities, partners and supporters.
Why is payroll giving, or salary sacrifice as it’s sometimes known, so important?
For 35 years, regular donations made through payroll giving has been a vital source of income for charities large and small. It allows them to plan their activities on the basis of having a certain amount of regular income. The money raised from payroll donations allows them to plan research, deliver projects and extend practical help to those that need it, especially in tough times.
Unlike many other types of giving, payroll giving instructions are set up by people in their workplace and their donations are made at the same time as salary payments. Donations are tax free and deducted from gross pay before tax is calculated by the employer’s payroll department. Donating to charities directly through your salary is the most tax-efficient way to give to charities who also benefit from receiving increased donations.
For example, a 20% taxpayer can donate £10 to charity, with just £8 being deducted from their net pay.
What charities have to say about Payroll Giving
”Payroll Giving provides vital income to Barnardo’s. It helps us be there for thousands of children and young people and enables us to reach into communities across the United Kingdom. As a regular source of income, it allows us the ability to financially plan much more effectively.” Barnardo’s.
“The beauty of payroll giving is its simplicity, meaning we can have maximum impact and continue to give thousands of homeless young people across the country a second chance. The amazing support from Payroll Givers last year helped support 400 young people through mental health counselling programmes, helping young people rebuild their lives on a path to independence.” CentrePoint.
Payroll Giving is so important to Macmillan. Through it, we are able to provide essential services for people with cancer from our Macmillan Support Line to our incredible Macmillan nurses. The fact that we know how often and how much is donated each month means that we can plan ahead and spend donations where we know it is needed most. It is so fantastic that this simple and easy way to give can make such a difference to people living with and affected by cancer throughout the UK. Macmillan Cancer Support.
Payroll Giving Month is supported from partners across the sector, including the Chartered Institute of Fundraising, the Chartered Institute of Payroll Professionals, Professional Fundraising Organisations, the Association of Payroll Giving Organisations, Payroll Giving Agencies, and charities both big and small.
As a founding member of the month, GivingForce recognises just how important Payroll Giving is. Ejaz, Rashid, Founder & CEO says:
“Payroll Giving is one of the most popular modules requested by employers.
GivingForce technology makes it easy for employees to set up one off and regular donations. Last year, we saw an increase in payroll donations made via our portal to more than £30m by the end of the year, with employers matching this to donate a further £40m. We’re proud of the difference we make and would urge all companies to make payroll giving available to their workforce and collectively make a big impact.”
Join one of our free Switch to GivingForce Payroll Giving webinars to see a live demonstration and learn more about the many benefits of switching.
Take a look at the Payroll Giving Month Employers Toolkit which includes ideas resources to promote payroll giving in your company, celebrate the week and show your support on social media.
Read more in our guide What is Payroll Giving? and find out about a dedicated Payroll Giving solution for your company.
Learn more about Payroll Giving Month 2023 and look out for more from us on social media.
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