Payroll Giving
How does it work?
Payroll Giving is also known as Give As You Earn (GAYE) and is an easy way of giving if you are an employee. The scheme enables employees to give to any UK charity straight from their gross salary (before tax is deducted), giving immediate tax relief of up to 40% on all donations.
Payroll Giving tax relief
| Employee donation received by TBGS | Basic rate taxpayer (20% tax) | Higher rate taxpayer (40% tax) | Top rate taxpayer (50% tax) |
|---|---|---|---|
| Cost to donor | Cost to donor | Cost to donor | |
| £5.00 | £4.00 | £3.00 | £2.50 |
| £10.00 | £8.00 | £6.00 | £5.00 |
| £50.00 | £40.00 | £30.00 | £25.00 |
Is there a minimum I can give?
It is entirely up to you how much you donate. It will automatically come out of your salary.
How do I donate through Payroll Giving?
All you need to do is complete the form and give it into your Human Resources or Payroll department.
What if my company hasn’t signed up to Payroll Giving?
Your employer will need to sign up to a Payroll Giving Agency (PGA) who do all the hard work for you, distributing donations to the employee’s chosen charities.
How do I find out about Payroll Giving Agencies?
There are around nine HMRC-registered Payroll Giving Agencies (PGAs) which are listed here.
Who benefits from the scheme?
- The donor benefits from tax relief
- Torquay Boys’ Grammar School benefits through regular giving
- The company benefits from a feel good factor
