By Dasha Plotnikova, Raymond James, Fulham.
Fulham Palace is one of those places that quietly becomes part of your life. My partner Max and I live locally, and over the years, we’ve found ourselves coming back time and time again — for peaceful walks through the gardens, relaxed afternoons in the café and even just a breath of fresh air in a beautiful setting.
We became members because we wanted to support a place that means so much to us. What many people don’t realise is that Fulham Palace is run by an independent charity and receives no government funding. Entry is free, but keeping the Palace open and thriving relies on generous donations, memberships and volunteer support.
One simple way to help is by choosing to add Gift Aid to your donation or membership. It costs you nothing extra but makes a real difference to the Palace!
What is Gift Aid?
Gift Aid is a government scheme that lets charities like Fulham Palace claim an extra 25% on eligible donations. That means if you donate £80, the Palace can claim another £20 from HMRC — turning your gift into £100, at no extra cost to you.
How does that work? When most people are paid, income tax is taken off their earnings — usually 20%. If you earned £100, for example, you would receive £80 after tax. If you then donate that £80 to a charity and tick the Gift Aid box, the charity can reclaim the £20 that went to the tax office. Your donation gets a 25% boost.
In effect, the charity receives £100 but it only costs you £80!
If you pay higher or additional-rate tax, you could benefit too
Gift Aid doesn’t just help charities — it can help you too!
If you are a higher- or additional-rate taxpayer, you may also be able to claim a tax rebate when you donate with Gift Aid. That means your donation could help reduce your tax bill.
Let’s say Anna earns £70,000 a year and decides to donate £150 a month to Fulham Palace via Gift Aid. That adds up to £1,800 over the year. With Gift Aid, the Palace can claim an extra 25%, so the total donation becomes £2,250.
How does this impact her tax situation?
If you’re a higher- or additional-rate taxpayer, you may be able to claim back some tax when you donate with Gift Aid. This reduces your overall tax bill, meaning you can give more effectively.
Here’s how it works:
- Anna earns £70,000 a year and donates £150 a month to Fulham Palace, totalling £1,800 over the year.
- With Gift Aid, the Palace receives an extra 25%, bringing the total to £2,250.
- Because Anna is a higher-rate taxpayer, she can claim back the difference between the basic and higher rates of tax on the gross donation — in this case, £450.
- That means her donation of £1,800 effectively costs her just £1,350.
To benefit, Anna must include the full £2,250 in her self-assessment tax return, not just the £1,800 she gave.
Gift Aid can be especially useful if:
- You’re in a higher or additional tax band
- Your donation brings your income into a lower tax bracket
- You fall into the 60% effective tax rate band (between £100,000 and £125,000)
Am I eligible to Gift Aid my donation?
You can use Gift Aid if:
- You’re a UK taxpayer
- You’ve paid enough income or capital gains tax in the current tax year to cover the Gift Aid amount
- You complete a simple Gift Aid declaration (usually just a tick box when you donate or sign up as a member)
What about Payroll Giving?
Some employers offer payroll giving, where donations are taken from your salary before tax. You’ll feel the tax benefit immediately — and while these donations don’t qualify for Gift Aid, the cost to you and the value to the charity is broadly the same.
Whether you give through Gift Aid or via payroll giving, the cost to you is the same and what the charity receives is the same. Using our £100 example from earlier, payroll giving means that you donate £100 straight away (as opposed to £80 from take-home pay and then the charity claims £20 back via Gift Aid).
Why we give
Max and I support Fulham Palace because it’s a place that adds so much to our local community. It’s not just a beautiful building or a historic site — it’s a living space, open to all, where people can connect with nature, heritage and each other.
Gift Aid is just one way to help. If you’d like to support the Palace too, whether through a one-off donation or by becoming a member, click the button below.
And if you would like to discuss how charitable giving could be part of your personal finances, I’d be happy to help. At Raymond James, Fulham, we help families and individuals with their financial affairs. We tend to work with people who are looking to make or have made work optional, who want to ensure that they can fund the lifestyle they want and give the next generation a good start in life. We do this by providing a financial plan and managing our clients’ investments.
If you would like to discuss charitable donations or your financial situation in a confidential setting, please don’t hesitate to get in touch:
Disclaimer: With investing, your capital is at risk. Tax treatment depends on individual circumstances and may be subject to change.
