How to set up a workplace giving program: A guide for employers

Setting up a workplace giving program lets your employees donate to a charity like The Fred Hollows Foundation straight from their pre-tax pay through payroll. To launch one, employers need a payroll system or platform that supports pre-tax deductions, a shortlist of DGR-registered, ACNC-recognised charities, a decision on optional dollar-for-dollar employer matching, and a simple staff communications plan. Most businesses can go from decision to launch within a few weeks, at minimal cost, and can review or change charity partners at any time. 

Workplace giving is one of the most effective and effortless ways in which your business can make a positive impact, encourage generosity amongst employees, improve retention rates and job satisfaction and enhance your reputation.  

A workplace giving program allows for automatic, tax-incentivised support for the causes that matter most, such as The Fred Hollows Foundation and our work to end avoidable blindness across the world. 

Explore workplace giving for your organisation with The Foundation today. 

What is workplace giving and how does it work? 

Workplace giving allows employees to donate to a registered charity directly from their pre-tax pay.  

In partnership with an organisation such as The Fred Hollows Foundation, employers are able to make regular, hassle-free and fully compliant donations whilst reducing their taxable income at the same time. 

Some workplaces even choose to match their employees’ contributions dollar for dollar. This incentivises even greater generosity and doubles the positive impact. 

Setting up your workplace giving program is easier than you might think. 

1. Choose a giving platform or payroll process that suits your business.
2. Select your charities from the registered list of recognised charities in Australia. 
3. Communicate your new program to your employees.
4. Start making a positive difference in the world. 

What do you need to do before setting up workplace giving? 

Before launching a program, we recommend you clarify some of the practical details with your payroll and finance teams.  

Payroll System Functionalities 

Your payroll system should be capable of pre-tax deductions. If this is not the case, a workplace giving platform can seamlessly integrate with your existing payroll software to enable a giving program. 

Shortlist Chosen Charities 

There are many worthy causes out there. However, to ensure your employees are able to take advantage of the tax deductibility of their generosity, make sure your chosen charities are registered Deductible Gift Recipients (DGRs) such as The Fred Hollows Foundation. 

Employer Matching 

Consider whether you will be participating in the program at an organisational level with employer matching contributions (capped at a set amount) or some other form of support campaign. 

Create a Communications Plan 

Your workplace giving program is only as good as it is understood by your team. An internal communications plan should introduce the program to staff, outline the benefits and opportunities, and include clear sign-up instructions. 

Select a Champion 

Every business should have a nominated ‘champion’, i.e., an internal owner responsible for the program, to manage this fantastic initiative day to day. Usually, it is recommended that you have someone in HR, people and culture, or corporate social responsibility, in this role. 

How do you choose a charity partner for workplace giving? 

Effective workplace giving programs need charities that are financially transparent, credible, and recognised by the Australian Charities and Not-for-profits Commission (ACNC) - the national regulator of charities.  

Here is a handy checklist of what to look for when searching for a workplace giving program partner. 

• DGR registration - Is the charity eligible to receive tax-deductible contributions? 

• Funding expenditure - How much and how are the funds spent? 

• Mission and purpose - What is the charity’s mission and how proven are its on-the-ground impacts? 

For example, The Fred Hollows Foundation is both DGR registered and ACNC recognised. 

75% of all donated funds go directly towards our eye health programs, care, training and advocacy across more than 25 countries to work towards our mission of ending avoidable blindness.  

We ensure transparency with our workplace giving partners so they understand how every one of their gifts is used to help train local eye health workers, equip clinics, and restore sight and independence to people who would otherwise live with preventable blindness. 

How should you implement a workplace giving program? 

Most organisations tend to launch a workplace giving program in the following practical stages: 

1. Select your platform or payroll process    

Many employers use a dedicated workplace giving platform that connects easily to their existing payroll software. This platform will automate deductions and receipt generation. For smaller businesses, you can also set this up manually through an existing payroll provider. 

2. Choose and onboard your charity partner 

Once you have conducted your due diligence, you can choose your charity partners. Reach out directly to establish a relationship and request any staff-facing materials or support they may offer to get the program off the ground. 

3. Decide on matching and campaign structure.  

As a business, you can set a matching policy (with or without a capped limit), and consider whether to run seasonal campaigns to boost engagement and interest. 

4. Communicate to staff and launch 

This is a very important step. Make sure you introduce the program through all-staff communication. Include instructions about how it works, where the money goes and how they can participate.  

Bonus: Review and report 

Reviewing and reporting on your workplace giving program, such as tallying the total impact each year, can provide great results to share internally and externally, keep momentum going and continuously improve your program. 

We recommend measuring the following when conducting your program review: 

• Participation rate i.e, the percentage of staff enrolled and the change over time of this rate 

• Total contributions raised, including your matching program, if applicable 

• Impact reporting from your charity partner with a view as to what the funds were used for 

• Staff feedback which can be gathered through short surveys or informal check-ins  

Why should employers set up a workplace giving program? 

Workplace giving programs are not just effective forms of meaningful charity. 

They are opportunities to create real benefits for staff through greater engagement, retention, and brand reputation. 

Workplace giving programs have been known to 

• Enhance employee engagement and satisfaction in the workplace 

• Improve retention rates and decrease attrition 

• Enhance recruitment appeal 

• Improve brand reputation 

Frequently Asked Questions about Setting Up Workplace Giving 

How much does it cost employers to set up workplace giving? 

Setting up workplace giving programs tends to include minimal costs. The main costs to consider are: 

• Platform fees - this is only applicable if you need to use a third-party workplace giving platform. Many payroll system providers include this feature at no extra cost anyway. 

• Matching contributions - this is only if your business chooses to match donations and can be capped at any level for budgetary reasons 

• Time and Effort - this is only in relation to engagement with your chosen charity, setting up the initial program, and the time it takes to internally communicate and promote (and manage) the program 

Is workplace tax-deductible for employers? 

Yes, it is with a DGR registered charity such as The Fred Hollows Foundation. Employee contributions are deducted from their pre-tax pay, so the benefit is taken advantage of immediately rather than at the end of the financial year with their tax return. 

Matched contributions made by the business are deductible from the organisation's taxable income as well. 

Can small businesses set up workplace giving? 

Absolutely. Workplace giving is open and great for businesses of any size. The team here at The Foundation has worked with employers across the full range, from start-ups to national corporations. Let us know if you need any assistance. 

Do employees have to give a minimum amount? 

No, there is no minimum or maximum amount. Employees can choose to contribute an amount that suits them. Even small, consistent contributions over time add up to meaningful impact. 

Does the employer have to match employee donations? 

No, matching programs are optional. If your business chooses to do so, you can choose to what extent you match (i.e., dollar for dollar or some other arrangement) and you can set an annual cap. 

However, matching does tend to increase participation and enhance charitable impact. 

How long does it take to launch a workplace giving program? 

Most businesses can go from consideration and decision to program launch within just a few weeks. Factors that can impact the timeline include payroll setup and internal communications. 

Can employers switch or add charity partners later? 

Yes, they can. Employers can review their charity partnerships at any time and add, change, or expand the charities available to staff as the program matures. 

Start your workplace giving program with The Fred Hollows Foundation 

Ready to bring workplace giving to your organisation? Ready to make a tangible difference in the lives of millions of people around the world? 

The Fred Hollows Foundation is driven by a very clear goal: To make sure everyone, everywhere has access to high quality, affordable eye health care.  

To join us, visit The Foundation's workplace giving page and explore how your business can help us realise our vision of ending avoidable blindness globally.