Glossary
Revenue & Donations

Matching Gift

By: Alec Hollingsworth
Updated:  
June 2, 2025

DEFINITION:

A matching gift is a donation from a third party, often an employer, that matches an individual’s contribution to a nonprofit.
A matching gift is a type of charitable donation program in which an organization, typically an employer, matches its employees’ donations to eligible nonprofits. The match can be dollar-for-dollar or at another specified ratio, effectively doubling or increasing the impact of the original gift. Nonprofits benefit from increased funding, while donors are encouraged to give more, knowing their contribution will be amplified. Matching gift programs often require the donor to submit a request to their employer, who then verifies the donation and issues the matching funds directly to the nonprofit. These programs are a valuable resource for nonprofits seeking to maximize their fundraising efforts.

Key Takeaways

  • Matching gifts can double or increase the value of donations.
  • Employers often facilitate these programs to encourage charitable giving.
  • Nonprofits must accurately track both original and matching contributions.
  • Proper acknowledgment can encourage more donors to seek employer matches.

Why It Matters

Matching gifts can significantly boost fundraising revenue and donor engagement.

Real World Example

Imagine Sarah donates $100 to a local animal shelter. Her employer, ABC Corporation, offers a matching gift program that matches employee donations dollar-for-dollar. After Sarah submits the required paperwork, ABC Corporation verifies her donation and sends an additional $100 to the shelter. The animal shelter receives a total of $200 due to Sarah’s initial contribution and the employer’s matching gift, doubling the impact of Sarah’s support and providing more resources for the shelter’s mission.

How Aplos Helps

Aplos users can track matching gifts within the Aplos platform by recording both the original donation and the matched amount, ensuring accurate revenue reporting. The software also allows organizations to generate reports and acknowledgments for both donors and matching entities, making it easier to manage and recognize these contributions.
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Frequently Asked Questions

What is a matching gift?

A matching gift is when a third party, usually an employer, matches an individual’s donation to a nonprofit, increasing the total gift amount received by the organization.

How does a matching gift program work?

After an employee donates to a nonprofit, they submit proof to their employer, who then verifies the donation and sends a matching amount to the nonprofit.

Can all nonprofits receive matching gifts?

Most 501(c)(3) nonprofits are eligible, but eligibility depends on the employer’s matching gift policy and requirements.

How can Aplos help manage matching gifts?

Aplos allows you to record and track both original and matching donations, making it easy to report on and acknowledge these contributions.

Why should nonprofits promote matching gifts?

Promoting matching gifts can increase donation amounts and encourage more supporters to give, maximizing fundraising potential.