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Payroll giving for employers

 

 

Business benefits of offering payroll giving to employees

 
The difference water makes
Erika from Tanzania | Picture credit: WaterAid / Alex Macro
Erika Makalli is from Mbalawala village in Tanzania, which has had clean water since 2001.
Erika says: "We always wash our hands now before eating which keeps everything clean and healthy.
"Before we got clean water in the village my life was so very different. I was constantly sick and had horrible, itchy skin because I could never wash properly.
"I feel I can at last look forward to a brighter future. Perhaps I will be a health and hygiene teacher when I leave school."
Payroll giving is a simple, efficient and flexible scheme, which allows your employees to donate to any UK registered charity of their choice directly from their salary.

Research shows that there are several tangible business benefits to offering payroll giving to employees.

It enables you to increase your business' charitable giving with little cost or effort to the employer, and allows you to monitor the level of charitable giving that your company has helped to achieve.

Payroll giving is also an excellent way to improve company image, demonstrate social responsibility and show commitment to staff.

A survey of companies with payroll giving schemes showed that:

  • 61% felt found it improves company image
  • 58% found that it enhances community involvement programmes
  • 40% found that it supports employee volunteering
  • 34% found it boost staff morale
  • 20% found that it improves staff retention and recruitment*

There are no costs associated with setting up the scheme, and the administration is minimal. A further benefit is that any administration costs are tax deductible.

Adopting a charity and encouraging employees to sign up for payroll giving is a great way to get your organisation behind a cause. Your company could help people like Erika, (right).

How to make payroll giving a real success

A successful payroll giving scheme can make your company a great place to work, and it can improve the image of your company.

Why not invite a professional fundraiser in to explain the scheme to your employees, or include it in an induction session? Matching the gifts your employees make is a great way to enhance morale and loyalty.

The payroll giving toolkit (below) has everything from case studies to frequently asked questions, and explains how to run a successful payroll giving scheme step by step.

To maximise this opportunity, download the payroll giving toolkit (Adobe Acrobat Document PDF 765Kb).

* All statistics are taken from the business of giving (Adobe Acrobat Document PDF, 187Kb) - a summary report of the business benefits of payroll giving (2002).