Budget time is a good time to think about donations
Posted on 11 May 2023
By Matthew Schulz
Our Community’s giving platform, GiveNow, is preparing for its annual end-of-financial- year donations spike, and those in the know suggest it’s a good time to seek greater support.
GiveNow executive director Cathy Truong said organisations wanting to buttress their finances should already have a plan to seek EOFY support, especially from last-minute pre-tax donations.
Ms Truong said GiveNow recorded “a huge jump in June donations each year for small to medium sized organisations”.
Even in June 2022, when donor fatigue was deemed to be at its worst in the wake of the pandemic, the platform recorded three times as many one-off donations as it did the rest of the year. Furthermore, those donations were worth six times as much.
While some organisations developed sophisticated strategies to capture increased donation activity, Ms Truong stressed one central theme.
“The message is to ask. People don't start their day wanting to give – they donate when they're asked to donate. Being asked is by far the biggest factor in people clicking your link and completing the transaction.”
Ms Truong also suggested fundraisers should increase the amount they asked for, in line with a greater donor appetite to give.
“Now is not the time to be shy.”
She said it was a good time for organisations that boasted DGR (deductible gift recipient) status to remind donors of their ability to claim a tax deduction.
Donors earning more than $45,000 a year could claim back 32.5% of a donation’s value, those earning more than $120,000pa could claim 37%, and those earning more than $180,000 a year could receive a 45% tax refund on eligible donations.
She said organisations should be mindful that many donors were facing cost-of-living pressures, but this meant they would be sympathetic to an organisation’s circumstances.
“Remind people who believe in you that your organisation faces the double-whammy – your operating costs have risen and so has demand for your services as you catch those who can’t make ends meet.”
“Be bold, share what you achieved this year, and ask for help”.
Ms Truong also suggested organisations cultivate regular giving. A subscription-style giving plan provides donors with “a better sense of control” as well as creating financial certainty for organisations.
What to do now
While you're planning your EOFY pitch, take note of Give Now's top five tips.
- Get ready now. With a month to go before EOFY, there’s still time to activate your campaign!
- Be creative. Spice up your online fundraising with creative videos and engaging content.
- Be relevant. Use relatable content, show solutions (not just problems) and be clear about where your donors' money is going.
- Don't be afraid to ask. If you don't ask, you won't receive. Newsletters and social media can be useful tools to get in touch.
- Show donors the impact they've had. Don't drop your supporters when the campaign is over. Keep the relationship alive by saying thank you (and saying it again) to keep donors engaged.
More information
Start fundraising: GiveNow is Australia’s first and best donations platform