Following on my recessionary theme this week – for which I apologise – I noticed this article regarding the reduction in payroll giving since 2007. While not a major source of income – around 4% of earners give to charity through direct contributions from their salary – it does demonstrate another area where belts are being tightened and charities are seeing their funding reduce from this particular income source. Payroll giving has always been a tax effective way of giving to charity – as the contributions come off before income is taxed thereby reducing the amount of tax paid by the donor – and I would encourage donors to consider it where they want to give regular amounts to charity each month.
With regard to the recent decline, while of concern, it has to be considered positive that donors have chosen to reduce the amount they give to charity through direct salary contributions rather than completely cut their contributions altogether. It shows that people are still keen to support charities close to their hearts and hopefully, will mean that, when times are better, their contributions increase once again.
I’m particularly interested in fundraising and the recession so if you’ve noticed any change to your income – or even if you haven’t, please complete our short survey for the chance to win a free audit of your fundraising for your organisation, which could help you get back on track; identify your strengths and weaknesses; or change your fundraising priorities for the future.