What is a payroll donation?
A payroll donation is a one-time or recurring gift which is automatically deducted from a donor's paycheck. This amount is usually a specified percentage of after-tax earnings and is typically tax-deductible.
There are several benefits to donating this way:
- Payroll donations can be set up and left in place, meaning they are convenient ways to donate regularly without need to monitor or remember.
- Organizations receiving these donations can predict a donor's contribution level for the year.
- The organization donated to does not typically incur any processing fees.
How can I set up a payroll donation?
The first step to setting up a payroll donation is to contact your employer's HR Department to inquire about it. You may wish to ask about matching contributions at the same time.
What are matching donations?
A matching contribution is a gift made by a company or organization to match a gift made by an employee. Matching contributions are one way donors can boost the positive impact of their support.
Many matches are 100%, meaning that if the employee donates $50.00 to The Center, the employer will donate a matching gift of $50.00. Some employer's match percentage may be more or less. (For example, a 50% match of $25.00, or a 150% match of $75.00)
How can I take advantage of matching gift programs?
The first step to setting up a payroll donation is to contact your employer's HR Department to inquire about it. You may wish to ask about payroll contributions at the same time.
There will often be a requirement for an organization to verify a gift has been made by the employee, though that is not always the case when an employer has opted to utilize automatic verification via "corporate social responsibility" software as part of their payroll and matching donation programming.
Matching Gift Resources
Coming soon!
