Receipt Gift

Acknowledging and Receipting Gifts

Do you send out a one page receipt/acknowledgement letter for donations to your organisation, or do you send receipts and acknowledgements separately? If the latter, do you send out the receipts one at a time or do you prefer to send out a consolidated receipt for all donations at the end of the year?

Regardless of which method your organisation opts for, there are several important things you should be doing, or considering, when it comes to your acknowledgement letters and receipts:

  • Consider sending a welcome letter or package to first time donors to your organisation to explain a little bit more about what your organisation does and how their donation will be used.
  • Ensure that you are adhering to the ATO’s regulations about receipting tax deductible donations whilst making certain to still acknowledge those gifts that aren’t tax deductible.
  • Be sure to refresh your general acknowledgement letter at least once a year. It should include a few recent facts and figures or a story about someone who has been helped by your organisation recently.
  • Consider having an appeal specific acknowledgement letter that references the same story/individual that was featured in the appeal the donor is responding to.
  • If your organisation opts to send out consolidated receipts at the end of the year to all donors, ensure that you have a way to print out a receipt earlier should a donor request it.

The most important part of gift acknowledgement is to promptly thank your donors for their gifts, whether or not it is tax deductible or you send out a receipting separately. Ensuring that donors know that you have received and appreciate their gift, and letting them know what that gift means to your organisation, will make those donors more likely to give again in the future.