What are Add-On Donations?
WHAT IS AN ADD-ON DONATION?
Did you know that you can add a donation option to any existing transaction? This can include membership and registration fees, tickets, merchandise and other retail transactions.
This is one of the best times to ask for a donation because your members, parents, customers and supporters already have their wallet or their credit card out, so it’s no additional effort to opt in to donate.
Something important to note though, is that add-on donations are most successful when your project has been promoted beforehand so everyone knows what you’re raising funds for and why.
HOW DOES IT WORK?
Processing add-on donations is easy; you collect the full payment and pass on the donation amount to the ASF with donor details (so a tax-deductible receipt can be issued).
For donations to be tax-deductible, there are a few ATO ‘rules’ we have to comply with:
- the donation must be voluntary,
- the ASF T&Cs must be accessible to the donor, and
- the donor (and their relatives and associates) must not receive or be offered a material benefit in return for their donation.
Add-on donations are generally collected in the following ways:
- Online registration/ticketing platforms or shop
- Offline via manual forms
- Membership/subscription renewal invoices
The process for each is slightly different, so we’ve developed “how-to” guides with clear instructions to guide you through the process.
Find out about online add-on donations here.
Find out about offline add-on donations here.
DOES IT COST ANYTHING?
The ASF retains 5% of add-on donations.