Payroll giving is becoming increasingly popular. Data from HMRC shows that the number of individuals who signed up to Payroll Giving grew by 52,000 in 2018/19 compared to the previous year. So, what is Payroll Giving and how can outsourced payroll providers like JLP help?
What is Payroll Giving?
Payroll Giving allows people to give money to charity without paying tax on it. In order to do this, it must be paid through the PAYE system from that person?s salary/wager or their pension. It is popular because it is quick and easy and because it goes straight through the payroll on a regular monthly basis, it is hardly noticed by the donor but is welcomed by the receiving charity.
As an Employer You Must Contact a Payroll Giving Agency to Set up a Scheme
The necessary deductions will be made for all participating employees each time you run your payroll. The donation will be taken from your employees? pay before tax but after National Insurance.
Send the donations to your Payroll Giving Agency – they?ll pass them on to the chosen charities.
Talk to us About Payroll Giving
If you are thinking about setting up a Payroll Giving Scheme for your employees, and need some help and advice,Contact us?or call us on 0121 422 0550. Feel free to ask us any questions that you or your employees might have about such a scheme scheme.