Free tool · Tax & Compliance

Payroll Giving Calculator

See how much more your donation is worth through payroll giving (Give As You Earn). Pre-tax donations mean more for less.

Your donation

£

Your tax rate

Payroll Giving Breakdown

Charity receives£50.00
Tax saved (20%)-£10.00
Actual cost to you£40.00

Annual total

Charity receives/year£600.00
Your annual cost£480.00
Annual tax saved£120.00

You give £50.00

It costs you £40.00

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Frequently Asked Questions

What is payroll giving?

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Payroll giving (also called Give As You Earn) lets you donate to charity directly from your gross salary — before tax is deducted. This means the full amount goes to charity, and the tax relief is immediate. There's no need for Gift Aid because the money hasn't been taxed.

How much tax do I save with payroll giving?

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You save tax at your marginal rate. A basic rate (20%) taxpayer donating £50/month actually only loses £40 in take-home pay. A higher rate (40%) taxpayer donating £50/month only loses £30. The charity always receives the full £50.

How do I set up payroll giving?

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Ask your employer if they offer a payroll giving scheme. They need to use an approved Payroll Giving Agency (like CAF, Charities Trust, or Charitable Giving). Your employer may also match your donations.

Is payroll giving better than Gift Aid?

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For higher rate taxpayers, payroll giving is simpler — the full tax relief is automatic. With Gift Aid, the charity claims 25%, and you must claim the extra relief yourself via Self Assessment. Payroll giving handles it all in one step.