How to implement
Set up is easy
Implementing Workplace Giving for your employees is a simple and quick process. All you need to do is to register with an HM Revenue & Customs approved Payroll Giving Agent and have the facility to make pre tax deductions on your payroll system.
Simple and quick process
The whole process of implementing Workplace Giving is simple and straightforward. The Payroll Giving Agent’s role is to make your payroll department’s work easier by distributing donations to the relevant charities. Therefore your payroll department only need to send one monthly payment (whether employees are paid monthly, weekly or 4 weekly) to the Payroll Giving Agent and they will then pass the monies on to your employee’s nominated charities.
Register with a Payroll Giving Agent
This is a really simple process (only 2 forms) and can be completed within a matter of minutes. We will help you do this. We work in partnership with all the Payroll Giving Agents in the UK, to find out more click here
Your payroll department will need to set up a deduction for those employees that want to take part, much like a pension deduction. This deduction will be made before tax but after the NI deduction has been made. They will then need to send donations monthly to the chosen Payroll Agent, who will forward the donations to the charities chosen by your staff.
Together with your monthly payment, your payroll department will need to send a list of employees taking part, how much they are giving and if there are any changes from the previous month’s list – ie if someone has left the company and therefore their donation has stopped.
10 minutes per month to administer
On average it takes about 10 minutes per month for any payroll department to administer a Workplace Giving scheme. Even for those employers with thousands of staff!
There are minimal costs to set up and administer a scheme as this is an expense of the trade (employee connection) and so deductible in arriving at the Corporation Tax profit (or Income Tax profit if a sole trader or partnership). This includes any costs made by your payroll bureau if you outsource payroll deductions.
If you choose to meet the expense of the Payroll Giving Agent admin charge (itself a charity) or enhance donations then that is a gift to charity and hence can qualify as a company Gift Aid donation and is deductible from the employer’s Corporation Tax profit
If you want to run the scheme through flex bens we can help you too!
We are there to help you every step of the way, so contact us if you have any questions, whatever these are?