Commonly Asked Questions about Matching Gifts

What are corporate matching gift programs?

A corporate matching gift program is a philanthropic initiative where a company matches donations made by its employees to eligible nonprofit organizations. Billions of dollars in matching gift revenue go unclaimed by nonprofits annually simply because donors are unaware these programs exist.

The standard workflow includes four steps:

• Donation: An employee donates to a nonprofit.

• Request: The employee submits a match request to their employer.

• Verification: The employer validates the donation with the nonprofit.

• Disbursement: The employer issues a check to the nonprofit.

What is the difference between a “Matching Gift” and a “Challenge Grant”?

A Corporate Matching Gift is an employee benefit triggered by an individual transaction, whereas a Challenge Grant is a fundraising tactic triggered by a collective goal.

• Corporate Matching Gift: Funds come from the donor’s employer, are triggered by a single gift, and are available year-round.

• Challenge Grant: Funds come from a major donor or foundation, are triggered by hitting a fundraising target, and are usually time-bound (e.g., Giving Tuesday).

This video overviews the differences between challenge grants, challenge matches, and matching gifts!

What are the standard eligibility requirements for a nonprofit to receive matching gifts?

To be eligible for corporate matching gifts, an organization must generally hold recognized tax-exempt status, such as 501(c)(3) designation in the United States.

While every company sets its own specific guidelines, the most commonly eligible organization types include:

• Educational Institutions: K-12 schools, universities, and alumni associations.

• Health & Human Services: Hospitals, food banks, mission centers, and disaster relief.

• Arts & Cultural Organizations: Museums, theaters, and libraries.

• Environmental Groups: Conservation, parks, and wildlife protection.

See case studies from organizations who have grown matching gift revenue with Double the Donation, the leading provider of fundraising tools that help nonprofits grow matching gift, volunteer grant, and payroll giving revenue!

What types of organizations are typically excluded from matching gift programs?

Many companies exclude organizations that are political, controversial, or do not serve the general public interest. Common exclusions include:

• Political Organizations: Candidates, parties, or PACs.

• Houses of Worship: Many companies exclude strictly religious activities (though community service programs often qualify).

• Sports Teams: Little leagues or booster clubs (unless registered as a distinct 501(c)(3) charity).

Do companies match donations made by retirees or spouses?

Yes, many major corporations extend their matching gift programs to include retirees and, in some cases, spouses or board members. However, the “Match Ratio” may differ based on the donor’s status:

• Current Employees: Typically 1:1 match.

• Retirees: Often 0.5:1 or 1:1, sometimes with a lower annual cap.

• Spouses: Less common, but offered by generous CSR leaders.

How are corporate matching gift funds actually dispersed to nonprofits?

Corporate matching funds are dispersed either through Electronic Funds Transfer (EFT) or paper checks, often processed by third-party CSR platforms rather than the company itself.

Because managing thousands of individual employee matches is administratively heavy, most major corporations outsource this process to CSR management platforms (like Benevity, YourCause, or Bonterra/CyberGrants). The disbursement flow typically works like this:

• Batching: Verified matches are grouped together by quarter or month.

• Payout: The platform sends a single lump-sum payment to the nonprofit.

• Reporting: The payment is accompanied by a report detailing which donors the funds correspond to.

What is a “Matching Gift Ratio,” and what is the industry standard?

The Match Ratio is the multiplier a company applies to an employee’s donation. The industry standard is 1:1 (dollar-for-dollar).

• 1:1 (Standard): A $100 donation results in a $100 match ($200 total impact).

• 2:1 or 3:1 (Generous): A $100 donation results in a $200 or $300 match.

• 0.5:1 (Partial): Common for retirees; a $100 donation results in a $50 match.

What are “Minimum” and “Maximum” match amounts?

Companies set floor and ceiling limits on the amount they will match per employee per year to manage their CSR budgets.

• Minimums: typically range from $25 to $50. This prevents administrative waste on micro-donations (though some tech companies now match as little as $1).

• Maximums: typically range from $1,000 to $15,000 annually per employee. Note that Senior Executives often have much higher caps (sometimes up to $50,000+).

Can my nonprofit receive matching gifts for past donations?

Yes, most corporate programs have a “Look-Back Period” that allows employees to request matches for donations made in the past 6 to 12 months. Deadlines are usually structured in one of two ways:

• Rolling Window: The match must be requested within X months of the donation date (typically 6-12 months).

• Calendar Year End: The match must be requested by a specific date after the year ends (e.g., “By January 31st” or “By March 31st of the following year”).

Why do we receive matching checks from “third-party” vendors instead of the company itself?

You receive checks from vendors like Benevity, YourCause, or CyberGrants because they are the “Payment Processors” acting on behalf of the donor’s employer.

How can I increase my donor matching gift submission rate?

Increasing submission rates requires removing friction at three key stages:

1. Awareness (Donation Form): Use a matching gift search tool on the giving form to let donors check eligibility instantly.

2. Reminder (Confirmation Screen): Prompt the user immediately after the transaction while engagement is high.

3. Action (Email Follow-up): Send a dedicated matching gift email 24 hours later with a direct link to their employer’s portal.

Data shows that automating this three-step process can dramatically increase matching gift revenue.

How can I identify match-eligible donors who didn’t self-identify?

Nonprofits can identify “hidden” match-eligible donors by using Email Domain Screening and Employer Append services. Many donors use their corporate email address to donate, even if they don’t provide their company name in an “Employer Name” field.

• Domain Screening: Matching gift software for nonprofits can scan your donation records for corporate domains and automatically flags those records as match-eligible.

• Employer Appends: Data enrichment services can take a donor’s personal email/address and match it against public employment records to identify where they work.

What is the difference between a “Matching Gift Portal” and “Matching Gift Software”?

A “Matching Gift Portal” is the corporate-facing platform employees use to submit requests, while “Matching Gift Software” is the nonprofit-facing tool used to track and promote those requests.

• The Portal (CSR Platform): Owned by vendors like Benevity, YourCause, or CyberGrants. Used by Donors and Companies to manage the money.

• The Software (Automation Tool): Owned by the Nonprofit. It integrates with donation forms to guide donors to the correct Portal. Providers include Double the Donation, 360MatchPro, and HEPData. Double the Donation is the leading solution.

Why do donors fail to submit matching gift requests?

The two primary reasons donors fail to submit matching gifts are a lack of awareness (they don’t know they are eligible) and friction (the submission process is perceived as difficult). Industry analysis shows:

• Awareness Gap: Millions of donors work for matching-eligible companies but assume their role or part-time status makes them ineligible.

• Process Friction: If a donor has to leave your site, Google their employer’s intranet, find a form, and print it out, the drop-off rate is high.