What is Payroll Giving (Give as you Earn) ?

It may surprise you to know that a recent National Opinion Poll survey shows that, each month, around two thirds of us give to charity. Payroll Giving is a simple, tax effective way for you to make donations. Over 9,000 businesses already offer the benefits of Payroll Giving to around 5 million employees, and the numbers are growing.

Why is now the time to start?

From 6 April 2000, for three years, the Government is adding 10% on top of all Payroll Giving donations. So, until 5 April 2003 every £10 donated will be worth £11 to charity.

How does Payroll Giving work?

It's simple. Your ask your employer to deduct regular charitable donations from your pay. You make the deduction from before-tax pay, in other words, after calculation of National Insurance Contributions, but before deduction of Pay As You Earn tax. This way you get tax relief straightaway at your top rate of tax.

For example, it will only cost you £7.80 to donate £10 to the charity of their choice (assuming basic rate tax). In addition to this, until 5 April 2003 the Government will add 10% to all Payroll Giving donations, which means the Airship Heritage Trust will receive £11 from you original £10 donation. And it will only cost you £7.80.

Is it complicated?

Not at all. In fact, all you need to do is to speak to your employer and tell them the you would like to set up a Give as you Earn Scheme from your monthly pay packet. Your employer will have the rules as to how the scheme operates and so will be able to set this up for you.

What records will I need to keep?

You will need to keep:-

• the forms completed by you authorizing you to make deductions from their pay

Can anyone who works in my company join the scheme?

According to the government, any employee or pensioner from whose pay or pension your employer can deduct Pay As You Earn tax may join the scheme.

Is there a limit on how little or how much you can give? ....£1.00 a day will help !!

No, there are no limits. We are looking to raise a regular amount of up to £ 25,000 per annum to cover the running costs of the Museum.

We therefore have calculated that we need 50 members to be able to give £ 30 per month ( £1.00 a day) to the Trust.

Example :-

This equates to £ 30 x 22%+ 10% (bonus until 2003) = £40.00

12 Monthly payments of £ 40.00 = £ 480.00

50 participants of the scheme = 50 x £ 480 = £ 24,000

Of that donation - £ 16,800 comes from the Members and a HUGE £ 7,200 comes from the UK Government free of charge to us and you !

We do understand that £30 is a lot of money each month so of course, we are seeking ANY regular payment you would like to offer. Please can you donate in multiples of £10 if you can.

Does your employers scheme match the donations made by my employees?

Sometimes you may find that your employer will match the donation you make to the Trust - this is another help to us so please check with your emploter to see if they do this. Any matched donations your employer makes will be allowed as a deduction against it's profits for tax purposes, so it is good for your company to do this..