Frequently Asked Questions

What is a Payroll Giving Scheme?

Simply, Payroll Giving is a HM Revenue & Customs scheme that allows any of your employees on PAYE to donate to any registered charity directly from their salary. Workplace Giving and Give As You Earn (GAYE) are other names for a Payroll Giving Scheme. The deduction is made pre-tax, meaning that donations are tax free, and this is the only way for a 40% or 50% rate taxpayer to donate their full tax on a charitable donation (unlike Gift Aid, which is only ever a standard rate tax-free donation).

What is Give As You Earn and Workplace Giving?

They are just different names for Payroll Giving, but they are basically Payroll Giving Schemes too.

What is Hands On Helping?

We are classed as a Professional Fundraising Organisation (PFO), we work promoting Payroll Giving in the workplace.

How do we set up a Payroll Giving Scheme?

It’s very easy to implement, you just need to register with a Payroll Giving Agency (PGA) and make sure that your payroll system has the facility to make pre-tax deductions, most of them do! For further information see Getting Started.

How much will it cost us?

Nothing at all. Registering with a Payroll Giving Agency is completely free, and any time payroll spend making deductions is deductible from your annual corporation tax, although this tends to only be 10 minutes per month! Our services to promote your scheme are completely free too, including personalised branding for your company. Of course if you want to encourage your staff to give you can add to their contributions, see Getting Involved for more information about how to enhance a Payroll Giving Scheme.

How does our payroll department administer the scheme and how much time will it take?

Your payroll department needs to set up a deduction for those employees that want to give to charity this way. The full amount going to charity needs to be taken off before tax, but after National Insurance has been calculated. Payroll then, on a monthly basis sends all donations (as one lump sum) through to the Payroll Giving Agency who distributes the monies to the charities your staff have chosen. Along with the monthly amount, your payroll will also need to send a list detailing who is giving how much and if there have been any alterations from the previous months deductions, for example if someone has increased how much they are giving.

Although this might sound like a lot of work it only actually takes about 10 minutes per month for payroll to administrate! See Get Set Up for more information.

We have an outsourced payroll; can we still implement Payroll Giving?

Of course you can, most of the UK’s payroll bureaus do not charge anything to make deductions either.

Can we operate Payroll Giving as part of our Flexible Benefits?

Yes you can, we can work alongside many providers, get in touch with us so that we can discuss how we can work together.

Which charities can people give to?

Any charity or charitable organisation registered with HMRC can receive funds through Payroll Giving, this includes organisations like Churches and Hospitals. To check if an organisation qualifies for Payroll Giving donations check with a Payroll Giving Agency.

Can we involve our corporate charity?

Of course! We try to work very closely with employers corporate charities to increase their profile, this is often done with a quote from the charity on the Payroll Giving Form, or by companies agreeing to match give when employees donate.

Will our employees actually participate?

Definitely, the average participation level in companies that we promote in is 10%. Since Payroll Giving is the most cost effective way to give (and is the only way for higher tax payers to donate and receive the full tax benefit), often once we have explained the benefits to staff they are pleased to be given the opportunity.

Participation levels within companies are awarded with the Government Payroll Giving Quality Mark, which are given to companies with 1%, 5% and 10% of staff giving through the scheme, click here for more information. We are pleased that the majority of companies we work we have achieved the gold award, and have been recognized at the National Payroll Giving Excellence Awards for their commitment and success to the scheme. Click here for more information.

What are the benefits for us as an Employer?

Payroll Giving is a brilliant way to fulfill Corporate Social Responsibility, whilst giving your employees the most cost effective way to donate to charity. This can boost staff morale and help retain staff, whilst also complimenting your ongoing charity projects. If you have a corporate charity Payroll Giving is also a great way of encouraging support, for more information Contact Us.

How much does it raise?

Payroll Giving donations last year topped £120 million! This included £13 million given through employer matching, so it really does raise phenomenal amounts for charities nationwide.

We already have the scheme, but participation is low, how can we improve it?

Leave it to us! We work with many companies nationwide and can plan free promotions and free materials to suit your workplace, contact us so we can get planning.

What if someone wants to cancel or change their donation?

That’s absolutely fine, employees can make any changes to their donation (including adding charities, increasing or reducing amounts) by getting in touch with your payroll department as that’s where the deductions are made. Most people, once giving through Payroll Giving donate on average for 6-8 years, that’s why charities are such big fans! If you’re uncertain about how to go about making a change get in touch with us.

How is Hands On funded?

We are paid a one off fee by the charities we represent only when we recruit a donor for them. This money comes from a pre-allocated budget and NOT from donations made through a Hands On Helping Payroll Giving Scheme.

I have more questions, how do I contact you?

Contact Us on 01433 621882 or email info@hands-on-helping.co.uk

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