Payroll Giving
What is payroll giving?
Payroll Giving is a simple, tax effective way to give to charity, available to anyone paying tax through the UK PAYE system. Employees can give to any UK based charity straight from their salary, i.e. before tax is deducted. The charity receives the full amount pledged, including the money that would otherwise have been paid in tax.
How does the tax relief work?
Below are some examples. If, for instance, you pay tax at the basic rate (currently 22%), it will only cost you £7.80 to give the Church Urban Fund £10.
The cost for higher rate taxpayers is even less, so you can afford to give more!
|
Monthly donation received by CUF |
Tax relief (22% tax) or reduction in tax paid |
Cost to
standard rate tax payer |
Tax relief (40% tax) or reduction in tax paid |
Cost to higher rate tax payer |
|
£5.00 |
£1.10 |
£3.90 |
£2.00 |
£3.00 |
|
£8.00 |
£1.76 |
£6.24 |
£3.20 |
£4.80 |
|
£10.00 |
£2.20 |
£7.80 |
£4.00 |
£6.00 |
|
£15.00 |
£3.30 |
£11.70 |
£6.00 |
£9.00 |
What are the benefits?
Employees have a simple, hassle-free way to support their favourite charities, which is easy to join, requires nothing to do beyond signing a simple form, and leaves them paying less tax.
Employers can enhance their public image, support their employees and demonstrate community involvement through a scheme that is low cost and easy for their payroll department to set up.
Church Urban Fund has a regular income that helps us to support more local community projects and plan for the future.
How do I get started?
Find out from your payroll department if your employer is already registered for Payroll Giving.