How Your Donations are Spent

At Rehmat Educational Foundation, transparency is key to building trust. Our commitment to openness ensures that our donors are well-informed about how each contribution is utilized, with clear records of financial activities. Your trust empowers us to uphold our mission of transforming children’s lives by empowering them through education and life skills training and foster community growth. Learn more about how donations are thoughtfully allocated to maximize impact.

If you donate and add Gift Aid to your contribution, the entire amount goes directly towards the charity project. All administrative and operational costs are covered by the Gift Aid we receive.

However, if you don't add Gift Aid, 92% of your donation goes to the project, while 8% is allocated to support costs, including IT, finance, governance, and fundraising. This is why we strongly recommend that donors tick the ‘Gift Aid’ box when donating!

For every £1 donated to Rehmat Educational Foundation, with donations not gift-aided, the funds are allocated as follows:

92p is spent on Charitable Program:

92p of every £1 is spent on charitable programs and activities, enabling us to save and transform the lives of vulnerable children. This funding supports their education and life skills training, nutrition, and healthcare, helping them become integral members of society.

5p on Fundraising Costs:

  • - Fundraising costs help generate future income, allowing us to assist even more people in need.
  • - If donating by credit or debit card, transaction fees usually range from 1% to 3% for credit cards, and from 0.3% to 2% for debit cards, depending on the card used.
  • - Fees are also associated with Direct Debits, typically ranging from 1% to 2% of the donation amount, depending on the medium used to set up the Direct Debit.
  • - Additional fundraising costs include organizing events, printing brochures, maintaining a website and online donation platforms, and ensuring IT software keeps data protected and safe.

3p on Governance, Administration, and Operational Costs:

  • - These costs ensure effective management and strict processes, guaranteeing aid reaches genuinely deserving and needy people.
  • - Expenditure includes developing an operational management framework for monitoring and evaluations to ensure funds are used for their intended purposes.
  • - Regular assessments and external audits are conducted to ensure proper utilization of funds.
  • - Paying fee for registration and accreditation with regulatory bodies.
  • - Systems are developed to increase transparency and accountability, with strong procedures in place to prevent money laundering, fraud, and theft through rigorous financial controls and risk management mechanisms.

WHY IS GIFT AID SO IMPORTANT?

Gift Aid allows registered charities like Rehmat Educational Foundation to reclaim 25% tax on donations from UK taxpayers.

If you donate £100 without Gift Aid, £92 goes to charitable programs, £5 to fundraising, and £3 to administration costs.

With Gift Aid, your £100 donation increases to £125. This will then be spent as per the proportions mentioned above i.e. £115 (92%) goes to charitable programs, £6.25 (5%) to fundraising, and £3.75 (3%) to administration and operational costs.

We strongly recommend UK taxpayers to tick the 'Gift Aid' box, allowing more funds to directly benefit charitable programs while other costs are covered by Gift Aid.