The Momentum Fundraising Glossary

Corporate Matching Gift

Definition

A Corporate Matching Gift is a program where employers match the charitable contributions made by their employees to eligible nonprofit organizations. When an employee donates to a nonprofit, the employer can make an additional contribution, often matching the employee's donation dollar-for-dollar, or up to a certain limit. This program encourages employee giving and enhances fundraising efforts for nonprofits, as it effectively doubles the financial support received from individual donors. Many corporations offer matching gift programs as part of their corporate social responsibility initiatives and to encourage a culture of philanthropy within the workplace. It’s essential for nonprofits to inform their supporters about the possibility of matching gifts and guide them through the necessary steps to maximize their contributions.

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Common Misperceptions

Many donors believe matching gifts are a one-time option.

In fact, many employers allow employees to request matching gifts for each eligible donation made throughout the year. With proper communication, nonprofits can help verifiable donors maximize their contributions over time.

FAQ

What is the typical process for an employee to claim a corporate matching gift?

The process generally involves the employee submitting a matching gift request form provided by their employer, along with proof of their donation to the nonprofit. This may include a donation receipt. The employer will then review the request and, upon approval, will issue the matching gift to the nonprofit organization.

How can nonprofits encourage their donors to utilize matching gifts?

Nonprofits can increase awareness by promoting matching gift programs through their communications, such as newsletters or direct appeals. Providing detailed information about how to initiate a matching gift, including any deadlines and required forms, can also be helpful. Engaging with donors directly to remind them of possible matching options post-donation can lead to increased participation.

Are all donations eligible for matching gifts?

Not all donations are eligible for matching. Each employer has specific guidelines defining which organizations qualify for matching gifts, as well as any restrictions on types of donations (e.g., annual giving, special events). Nonprofits should check with the employer for specific eligibility criteria.

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