In a world where social responsibility and corporate engagement are increasingly intertwined, corporate giving offers an exciting intersection with enormous potential. If your company hasn't yet entered the world of corporate giving or you're looking to refresh your strategies, you've come to the right place. This article will introduce you to the various options for corporate giving, from payroll giving to innovative approaches like lets corporate giving. Along the way, we'll also highlight the pros and cons of each so you can make informed decisions. Because it's not just about doing good, it's also about how your company can benefit socially and fiscally in the process
Payroll Giving
Here, employees can donate directly from their salary.
Advantages: Easy implementation, tax benefits for employees and the company*.
Disadvantages: Requires a certain amount of administrative effort.
Company Matching
The company matches donations made by employees.
Benefits: Increases employee engagement and doubles the impact of the donation*.
Disadvantages: Can be expensive if many employees participate.
Total corporate donations
Here, the company donates a sum directly to a selected organization.
Advantages: Fast and immediate effect, tax benefits possible*.
Disadvantages: Little to little personal involvement from employees.
Fundraisers and events
Corporate events aimed at raising money for a good cause.
Benefits: Improves team spirit, as well as corporate culture and increases public perception of the company.
Disadvantages: Requires planning and resources, fewer tax benefits compared to direct cash donations.
Equity-Giving
Companies donate company shares to charitable organizations.
Advantages: Long-term impact, significant tax benefits*.
Disadvantages: Complex to implement, potential impact on corporate governance.
Corporate Giving from lets
An innovative way for companies to organize and simplify fundraising. Companies donate collectively to our association and receive an entire donation receipt. Subsequently, the sum of the donation is divided among the employees and they can decide where "their share" should be donated.
Advantages: Little administrative effort, high individuality of donations, tax advantages.
Disadvantages: Builds on employee motivation, so should the entire topic of corporate giving not be included, participation here may vary depending on company culture.
Take a closer look at Corporate Giving from lets.
Sources:
- Charities Aid Foundation, "Payroll Giving - What Are the Benefits?"
- Double The Donation, "Matching Gift Basics"
- IRS, "Corporate Giving and Tax Deductions."
- Stanford Social Innovation Review, "Equity as a Form of Corporate Philanthropy."
- Nonprofit Law Blog, "Corporate Giving Programs: Legal and Tax Implications."
