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Payroll Giving FAQ: Frequently Asked Questions

Many of the most common questions about a powerful stream of generosity in workplace giving

Richie Kendall avatar
Written by Richie Kendall
Updated over 2 weeks ago

How does Payroll Giving differ from regular online donations?

Payroll giving involves pledges that are deducted directly from employee paychecks at regular intervals, rather than one-time credit card transactions. No actual transfer of funds occurs until the company pays the sum total of employee deductions for a particular period to the designated nonprofit.

How long does a typical Payroll Giving campaign last?

A standard Payroll Giving campaign spans a full calendar year, during which pledged charitable deductions are withheld from employee paychecks over the 12-month period. Pledges are typically collected during a 2-week solicitation period at the campaign's onset.

What is the solicitation period?

The solicitation period is typically a 2-week window at the beginning of the campaign when pledges are collected. It enables companies to gauge employee participation rates and estimate total combined contributions for the year.

Can employees hired mid-campaign participate?

While the number of employees invited during the solicitation period is predetermined, many companies are flexible enough to allow mid-campaign participation. However, some organizations prefer to include new hires in the following year's campaign to maintain consistency.

How does payroll coordination work with a payroll department?

Success requires close collaboration between payroll departments and the nonprofit distributing donations (such as Goodworld Impact Fund or a United Way). Companies either pays an invoice provided by the nonprofit or tallies deductions and writes a check to cover the total owed, typically on a monthly or quarterly basis.

What are Rollover Gifts?

Rollover Gifts allow admins to seamlessly carry over pledges from previous campaigns into the current one. You can either auto-renew these pledges or offer employees the option to opt-in, review their past preferences, and make adjustments for the new campaign.

What is the "Nudge to Increase" feature?

This feature allows admins to encourage donors to increase their gift by a specific percentage. You can control the language of encouragement and the percentage increase options displayed to employees, helping to boost participation and generosity.

Can employees donate to multiple causes?

Yes! Employees can direct their pledged donations to multiple funds or focus on a single fund, depending on their preferences and your campaign setup.

Can employees pledge a percentage of their salary instead of a dollar amount?

Absolutely. Admins can encourage donors to pledge a percentage of their salary rather than a fixed dollar amount. You can customize the button labels, suggested salary percentages, default selections, and pay periods to match your organization's preferences.

How do we customize pay period frequencies for different departments?

Using Goodworld's tagging feature, you can set custom rules so employees only see pay period frequencies relevant to them. For example, if a certain department has a specific pay period schedule, tagged employees will only see that option when making their pledge.

What happens if a fund from a prior campaign is no longer active?

Currently, the system attributes new pledges to old or inactive designations. If you'd like to establish a different protocol for this scenario, contact our support team to discuss custom solutions.

How do the tax benefits work for employees?

Payroll giving allows employees to make pre-tax donations directly from their paychecks, reducing their taxable income. Donations are deducted before taxes are applied, which means employees enjoy immediate tax savings and makes charitable giving more affordable.

Can we customize the donor experience?

Yes! You can customize labels, descriptions, calls to action, confirmation screens, minimum pledge amounts, disclaimers, and additional instructions throughout every step of the donor journey to match your organization's voice and campaign goals.

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