The Momentum Fundraising Glossary

Matching Gift

Definition

A matching gift is a philanthropic program through which employers match the charitable contributions made by their employees, effectively doubling or even tripling the original donation. These programs incentivize employees to give back to their communities and can significantly amplify the impact of individual contributions. Matching gifts are a valuable resource for nonprofits, as they can lead to increased funding without requiring the organization to seek new donations. The process typically involves the employee submitting a request to their employer after making a donation, and the employer verifying the gift before issuing a matching contribution. Each company has its own policies regarding which organizations qualify, the matching ratio, and the maximum amount they will match annually. Understanding and promoting matching gift programs can empower donors and enhance fundraising efforts.

Related Terms

No items found.

Common Misperceptions

Many people believe matching gifts are only applicable to certain types of organizations.

In reality, while some companies may have restrictions on the types of charities they will match (e.g., nonprofit organizations with 501(c)(3) status in the U.S.), a wide array of non-profits across various sectors frequently qualify for these programs. It's essential for donors to check specific company policies.

FAQ

What is a matching gift program?

A matching gift program is an initiative set up by employers to enhance their corporate philanthropy efforts. It allows employees to request that their employer match their charitable donations, usually at a specified ratio.

How do I know if my employer offers a matching gift program?

You can inquire with your human resources department or check your employer's website under the philanthropy or benefits section. There are also third-party databases available that list companies with matching gift policies.

How can nonprofits encourage donors to take advantage of matching gifts?

Nonprofits can raise awareness about matching gift programs by including information in donation acknowledgments, newsletters, and on their websites. Providing clear instructions on how to submit matching gift requests can also help.

Learn More

No items found.