What is payroll giving?

Payroll giving is when you donate a portion of your salary every month to charity. Also known as Give As You Earn (GAYE), payroll giving is one of the easiest and tax-effective ways to support a charity.

By choosing Place2Be, you’ll be helping us provide vital mental health support in schools across the UK.

How does payroll giving work?

Every month, your employer will take your chosen donation out of your pay packet.

Payroll giving is taken out of your gross salary after National Insurance, but before tax. This means you can donate to charity without paying tax on it. Your donation costs you less, meaning we receive more at no further cost to you.

This page as information about how to set up payroll giving for employees and employers.

I’m an employee and want to set up payroll giving

Payroll giving is available to all salaried Pay As You Earn (PAYE) employees and is easy to set up.

1. Check with your employer to see if there's a payroll giving scheme in place. If there isn't, they can follow the steps about how to set up payroll giving at a company to get started.
2. Register with your employer’s payroll giving scheme by filling in their sign-up form.
3. Send your form to your employer. They will process your details and set up your payroll giving.

Benefits of payroll giving for employees

There are several benefits to giving as you earn, including:

• you can help us improve children and young people’s mental health across the UK
• it's the only way to donate that allows full tax relief on donations, so your chosen charity receives more than it costs you
• it's a convenient way of giving, as the donation happens automatically
• you can feel safe and secure, knowing you’re regularly donating without providing your bank details
• you're in charge – it's quick and easy to change your donation at any time by asking your payroll department.

I’m an employer and want to set up payroll giving for my employees

As an employer, you can set up payroll giving for your employees.

1. Register with a Payroll Giving Agency. The GOV.UK website has a list of HMRC-approved Payroll Giving Agencies you can use to set up payroll giving for your employees.
2. Let your employees know about your payroll giving scheme. Promote the scheme in the company and encourage employees to sign up.
3. Sign up your employees. They will simply fill in a form with details of their donation and it will be set up.

Benefits of payroll giving for employees

There are several benefits setting up payroll giving at your company, including:

• getting recognition by applying for the Payroll Giving Quality Mark scheme and National Payroll Giving Excellent Awards
• boosting staff morale by showing you care about your employees and the causes they care about
• setting up payroll giving is quick and easy.