Complete Guide to Setting Up a Matching Gift Program for your Company
Are you a corporate leader interested in supporting your employees’ philanthropic efforts and making a positive impact in the community?
You may want to set up a corporate matching gift program for your company. A matching gift program is a charitable giving program where a company matches donations made by its employees to eligible nonprofit organizations.
Here’s a step-by-step guide to setting up a matching gift program for your company:
What is a corporate matching gift program?
A corporate matching gift program is designed to encourage employees to give to charity and support causes they care about, as well as to demonstrate the company’s commitment to philanthropy and social responsibility.
Gift matching programs are an effective way for companies to support and strengthen their employees’ charitable giving efforts. By matching donations, companies can amplify the impact of their employees’ charitable contributions and make a positive impact in their community. This can also help to boost employee engagement, morale, and retention, as employees are more likely to feel engaged and proud of their company when they see their employer supporting causes they care about.
Corporate matching gift program boundaries
The parameters of a corporate matching gift program can vary from company to company but typically include the types of nonprofit organizations eligible for matching gifts, the minimum and maximum donation amounts that will be matched, and any other eligibility requirements, such as full-time employee status or a minimum tenure requirement.
Some companies may also choose to support specific causes or organizations by limiting their matching gifts to certain types of nonprofits, such as those focused on education, health, or the environment. Other companies give employees the freedom to give to the causes they care about most, given that the nonprofit organization is vetted. The latter option lends to a more inclusive and diverse giving experience for employees.
To administer a corporate matching gift program, companies often work with a matching gift vendor like Groundswell who can help manage the administrative tasks associated with the program, such as verifying nonprofit eligibility, processing donations, and disbursing matching gifts.
Groundswell is a modern corporate matching gift provider, suitable for everyone from small businesses to enterprises.
Overall, corporate matching gift programs are a win-win for companies and their employees. Not only do they allow companies to demonstrate their commitment to philanthropy and social responsibility, but they also help to strengthen employee engagement, boost morale, and make a positive impact in their community.
How does corporate gift matching work?
Companies launch corporate gift matching programs to support their employees’ interests and make a social impact in their community.
Here’s how it typically works:
- Eligibility: The company first determines which charitable organizations are eligible for the gift matching program. These organizations are usually non-profits that are tax-exempt under section 501(c)(3) of the Internal Revenue Code.
- Employee donation: The employee makes a donation to one of the eligible charitable organizations.
- Employee request: The employee then submits a request to the company to have their donation matched. This request may be made online or through a paper form and may require the employee to provide proof of their donation.
- Company verification: The company verifies the employee’s donation and confirms that it is eligible for matching.
- Matching donation: Once the company has verified the donation, it will typically make a matching donation to the same charitable organization.
- Donation processing: The charitable organization receives both the employee’s donation and the company’s matching donation. The organization may provide a receipt for tax purposes to both the employee and the company.
How to set up a matching gift program
Step 1: Define the Parameters of Your Program
Before launching your matching gift program, you’ll need to define the parameters of your program. This includes determining the types of nonprofit organizations your company will match donations to, the minimum and maximum donation amounts that will be matched, and any other eligibility requirements, such as full-time employee status or a minimum tenure requirement.
Step 2: Choose a Matching Gift Vendor
Next, you’ll need to choose a matching gift vendor to administer your program. A matching gift vendor can help you manage the administrative tasks associated with a matching gift program, such as verifying nonprofit eligibility, processing donations, and disbursing matching gifts.
Groundswell is a matching gift vendor providing a modern solution built for the way people give today. Through the mobile app, employees can search for nonprofits and make donations directly through Groundswell.
Step 3: Communicate the Program to Your Employees
Once you have defined the parameters of your program and chosen a matching gift vendor, it’s time to communicate the program to your employees. This can be done through email announcements, company intranet postings, and other internal communication channels.
Be sure to provide clear instructions on how employees can participate in the program and how their donations will be matched.
Step 4: Launch the Program and Monitor the Results
After communicating the program to your employees, it’s time to launch the program! Be sure to monitor the results and track the impact of your matching gift program. You can do this by tracking the number of employees who participate in the program, the total amount of donations made, and the number of matching gifts disbursed.
By following these steps, you can set up a successful matching gift program for your company that supports your employees’ philanthropic efforts and makes a positive impact in your community. Happy giving!
More about Groundswell
Groundswell is a modern corporate matching gift provider, helping companies transform their company culture with matching gift programs.
Learn more about Groundswell, including pricing and deployment, by scheduling a demo with a company culture representative.
Read related articles:
- Is Your Donation Matching Program Inclusive and Equitable? Probably Not.
- Our Founder in Forbes on Rethinking Corporate Donation Matching
- Donation Matching Programs for Charitable Giving: How It Works and How To Set One Up
- The Workplace Giving Handbook: Everything You Need to Know
- Tax Benefits of Corporate Donation Matching Gifts: All You Need To Know
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