How to accept donations, and what each way costs

Before you take your first gift

A few things make every other step easier. None of them takes long.

1. Open a bank account in your organization's name

   Gifts should never land in a personal account. Your bank will ask for your EIN, the number the IRS gives your organization, and your formation papers.

2. Know whether gifts are tax-deductible

   Donors can deduct a gift only if your organization qualifies, as a 501(c)(3) charity does once the IRS recognizes it. Until then, don't promise a deduction. What a 501(c)(3) is explains the status.

3. Check whether your state wants you to register

   Many states ask a charity to register before it asks the public for money, online gifts included. See registration by state.

The ways to take donations, and what they cost

Here is what each common option charges, and how much of a $100 card donation goes to fees. Prices are each provider's own, read on 2 October 2026.

Option	What you pay	Fees on a $100 gift	Good to know
Zeffy	Nothing. Zeffy covers card fees.	$0	Zeffy asks each donor for an optional tip to Zeffy at checkout. For US and Canadian nonprofits.
Givebutter, tips on	Nothing. Givebutter covers card fees.	$0	Donors are asked for an optional tip to Givebutter.
Givebutter, tips off	3% platform fee, plus 2.9% + 30¢ for cards	$6.20	No tip prompt in front of your donors.
Donorbox Standard	A 2.95% to 3.95% platform fee, plus card fees from Stripe or PayPal	From $6.15	Free to set up. You can ask donors to cover the fees.
PayPal Donate button	2.89% + 49¢	$3.38	Confirmed charities pay 1.99% + 49¢ ($2.48 on $100).
Stripe	2.9% + 30¢ for US cards	$3.20	Eligible nonprofits can ask Stripe for a lower rate.
Venmo charity profile	1.9% + 10¢	$2.00	Only for charities PayPal has confirmed.
Checks and cash	Nothing	$0	Someone has to deposit them and write each one down.

The $100 figures add the platform fee and the card fee for one US card gift. Fees change often.

How to choose

Three questions settle it for most groups.

1. Are you fine with a tip request in front of your donors?

   If yes, a free form like Zeffy or Givebutter keeps every dollar of the gift. If you would rather your donors see only your ask, pick a form that charges you a fee instead. The Zeffy and Givebutter comparisons go deeper.

2. Where do your supporters already pay?

   Ask a few of your supporters how they would like to give. Some will name Venmo, some will want to mail a check. Offer the one or two ways your people already use, not every way there is.

3. Do you want monthly giving?

   Monthly gifts add up and need no new ask each time. Check that the form you pick lets a donor choose to give every month.

Whatever you pick, put one clear Donate button on your website and in your emails. Point it at the same form every time.

Checks and cash still count

Checks cost you nothing to take. Deposit them promptly and write each one down with the donor's name, the date and the amount. At events, have two people count the cash together and sign the count sheet. It protects the volunteers as much as the money.

Donated goods and services are gifts too, with their own rules. See in-kind donations.

After the gift: thank them, and know the $250 rule

Thank every donor, quickly and by name, whatever the amount. How to ask for donations covers the asking side.

The IRS adds two rules:

• Single gifts of $250 or more. The donor can't deduct the gift without a written acknowledgment from you. It names your organization and the amount, and says whether the donor got anything in return. One gift at a time or a year-end summary both work, by mail or email. The donor needs it before they file their tax return, which is why many charities send it by January 31.
• Gifts over $75 where the donor gets something back, like a dinner ticket. You must tell the donor in writing how much is deductible and give a good-faith value for what they received.

The donation acknowledgment letter has wording you can copy, and the donation receipt generator fills one in for you.

Keep every gift in one list

Gifts arrive by form, by check and by hand. If each lives in a different place, the thank-you that matters most is the one that gets missed. Keep one list of every donor and every gift, whichever way it came in. A spreadsheet works to start. Donor management for small nonprofits covers what to track as you grow.

This is general information, not legal or tax advice. Fees were read from each provider's own pages on 2 October 2026 and change often. Check the provider's current page before you sign up, and ask a CPA how the rules apply to your organization.

Where Ember fits

Ember Giving

Ember doesn't take donations. You record the gifts you receive, however they come in. Ember puts each one on a thank-you list and drafts the note for you to send. You can bring in your giving history from a Donorbox, Givebutter or Stripe export, or any spreadsheet. Free if your budget is under $50K a year, with no credit card.

Sources: Zeffy pricing, Givebutter pricing, Donorbox plans, PayPal merchant fees, Stripe pricing, Stripe nonprofit discount, Venmo fees, Venmo charity profile FAQ, IRS: written acknowledgments, IRS: quid pro quo contributions, IRS Publication 1771. All read 2 October 2026. The $100 figures add each provider's platform and card fees for one US card gift.