Payroll Giving
Pay less, give more
Make your payday count for terminally ill people in your community
Payroll giving is an easy, convenient, tax-free way to regularly donate to St Luke’s direct from your salary, helping to ensure local people with terminal illness get the high-quality, compassionate care they deserve at the end of their lives.
It’s the regular income we receive through payroll giving that helps us plan ahead so that we can be here for patients and their families in the months and years to come, which is getting harder as demand on our service continues to rise.
If you’re an employee...
Donating via payroll giving allows you to ‘pay less and give more’ to the causes you care about. That’s because these donations are deducted before tax, meaning each £1 you give from your salary will only cost you 80p, or – if you are a higher-rate tax payer – 60p.
Setting up payroll giving couldn’t be easier! Just follow these simple steps:
- Speak to your HR or Finance/Payroll department to see if your employer is set up to offer payroll giving.
- If they are, simply access the website of whichever payroll giving agency your employer is registered with, download and complete the form, then send it to your Payroll/Accounts department.
- If your employer has not yet registered for payroll giving, why not suggest they sign up? It’s a great way to show support for the local community.
- Simply click here to register with Payroll Giving and we will contact your employer to set up the scheme.
- The Charities Trust’s calculator is a quick and easy way to see how the donation you give goes further if you participate in payroll giving.
If you’re an employer...
Payroll giving is a brilliant way to boost staff morale, engagement and retention all while showing great kindness for your community. What’s more, setting up the scheme for your organisation is really straightforward.
The first step is to contact an HMRC-approved payroll giving agency to set up the scheme for your workplace. (A list of approved agencies can be found here.
Once your payroll giving scheme is set up, invite your employees to sign up.
Each time your HR/ Accounts Department runs payroll, donations will be taken from your employees’ pay before tax but after National Insurance deductions. Donations are sent to your payroll giving agency who then pass them on to St Luke’s to help us continue providing our compassionate care.
Frequently asked questions
When is the first donation deducted from my pay?
Usually, it will start on the next payroll day, but if you are signing up towards the end of the month deductions are likely to start the next but one payroll day.
How will I know you’ve received my donation?
Your donation is very important to us and we will write to thank you. We may also send you updates on our work if you have indicated that you are happy for us to keep in touch. You will know the deduction has started as it will appear on your payslip.
Is there a minimum or maximum amount I have to give?
No, there’s no upper or lower limit to how much you can donate.
How is payroll giving different to a direct debit (Gift Aid) to St Luke’s?
Payroll giving is taken straight from your gross (pre-tax) pay, so there is no need for us to claim any tax back through Gift Aid, which saves us additional admin costs. If you are a 40% or 45% taxpayer, payroll giving is the only way we can automatically receive all your tax on a donation.
Is there an administration fee?
Yes, but only a small one. Your employer will use a payroll giving agent (like a charity bank) that makes a small charge to cover the operating cost of distributing you and your colleague’s donations to the causes you want to support. Some employers pay this fee on your behalf, so we receive your full donation.
If your employer doesn’t pay the fee, the payroll giving agent will deduct it from your donation before passing it on to us. This will be between a 2% and 4% charge.
Can I stop giving if I want to?
Yes, by notifying your Payroll department directly.
What happens to my payroll giving deduction if I leave my job?
Payroll giving automatically stops when you leave your job, but we hope that you will continue to give to St Luke’s at your next job. However, you will need to set this up again as your donation is not transferable.
I pay tax at the higher rate (40/45%) – how does this affect tax relief on my payroll donations?
You will receive tax relief at the highest rate of tax you pay – each pound you give will generate £1.66 if you are a 40% taxpayer or £1.82 if you are 45% taxpayer.
Can I still give through my pension?
Yes, if you receive an occupational pension and your pension provider deducts tax through the PAYE system, you are still eligible for the scheme. Simply ask your occupational pension provider to donate from your pension before tax has been deducted.
For more information on payroll giving, click here.