Facebook PayPal Giving Fund: How to Use Meta's Charitable Giving Tools

Meta's charitable giving tools, powered by PayPal Giving Fund, allow you to support your favorite causes with just a few clicks.

To get started, you'll need to set up a PayPal account if you don't already have one, as the Facebook PayPal Giving Fund is integrated with PayPal.

Once you've set up your PayPal account, you can start exploring the various charitable giving tools available on Facebook.

Facebook Donate Features are changing, and it's essential to know what to expect. Donations made to donate buttons on posts created before your nonprofit switches to PayPal Giving Fund will be distributed by Meta Payments according to its payout timelines.

Donations from donate buttons on posts created after the switch will go to PayPal Giving Fund and be granted to your nonprofit by PPGF, subject to PPGF policies. This means you'll need to adapt your fundraising strategy accordingly.

Payment processing fees are no longer absorbed by Meta, and donors will have the option to cover the processing fee. For donations in the UK, the payment processing fee structure is 1.4% + GBP 0.20, while for donations in the US, it's 1.99% + USD 0.49.

Donation receipts will be sent to the end user from PayPal Giving Fund rather than from Meta. End users will still see their donation records in their Facebook Activity Log.

Here's a breakdown of the new payout structure:

Payouts from PayPal Giving Fund will be made 15-45 days after the donations have been received. Nonprofits who haven't enrolled with PayPal Giving Tools will receive a check within 90 days.

To maintain Facebook Giving Tools eligibility, nonprofits must complete all pre-requisite requirements by October 31st, 2023 at 5 PM PT. This includes reviewing and accepting Meta's updated Charitable Donation Terms, switching to PayPal Giving Fund (PPGF) for donation processing, and claiming outstanding funds.

Nonprofits with outstanding funds must reach out to PPGF for support on required account actions to receive their payouts. Already approved financial admins can find their current payout method in the Payouts section under settings.

Here are the key dates for nonprofits to keep in mind:

Nonprofits that fail to meet the deadline will lose access to Facebook Giving Tools, with no guarantee that services will be restored ahead of Giving Tuesday.

For nonprofits working with GoodUnited, it's business as usual despite the changes announced by Meta. GoodUnited has been working hard to ensure its marketing automation platform continues to provide value to nonprofits, regardless of Meta's changes.

The changes to payment processing from Meta won't impact GoodUnited's ability to process Facebook revenue fundraising within its platform. In fact, GoodUnited's team will work to ensure a seamless transition come October 31st, 2023.

GoodUnited's ability to provide social subscriber and fundraising data on its platform may be affected by changes to Meta's API. However, GoodUnited is confident that it can quickly update its system to ensure no gap in data reporting for nonprofits.

Here are some key points to keep in mind:

August 30, 2023, is the date when Facebook Admins and Finance Contacts for US charities will receive an initial communication from Meta on the coming changes.

From September 15, 2023, onwards, US charities will not be able to take on new recurring donors, but will receive payments from existing recurring donors until October 31, 2023.

US nonprofits must switch to PayPal Giving Fund by 5 pm PT on October 31, 2023, to maintain access to Facebook Giving Tools.

Any US nonprofit that has not accepted the updated Charitable Giving Terms and switched to PayPal Giving Fund by October 31, 2023, will be offboarded from Meta Charitable Giving Tools.

Here are the key dates for US nonprofits to keep in mind:

Starting October 31, 2023, Meta will no longer cover payment processing fees for donations made on its platforms. This means nonprofits will be subject to PayPal Giving Fund's payment processing fee, which is 1.99% + $0.49 for domestic transactions in the US.

Donations made prior to September 15, 2023, will still be processed by Meta Payments, but those made after this date will be handled by PayPal Giving Fund. Nonprofits can expect payouts from PayPal Giving Fund within 15-45 days for enrolled organizations, and within 90 days for unenrolled ones.

Donors will now have the option to increase their donation amount to cover processing fees, which will be introduced by Meta in the new donation flow. This change aims to make the transition smoother for nonprofits and donors alike.

Here's a summary of the new payment processing fee structures:

As of October 31, 2023, Meta will no longer cover payment processing fees for donations made on its platforms.

Donors in the US will be charged a fee of 1.99% + $0.49 per donation, while donors in the UK will be charged 1.4% + GBP 0.20.

Nonprofits will need to switch to PayPal Giving Fund for donation processing before the October 31, 2023 deadline. This can be done by reviewing and accepting Meta's updated Charitable Donation Terms and switching to PayPal Giving Fund in the Nonprofit Manager.

Donations made prior to September 15, 2023, and recurring donations will still be processed by Meta Payments. However, all new donations after October 31, 2023, will be processed by PayPal Giving Fund.

Here's a breakdown of the payout timelines for nonprofits:

Note that PayPal Giving Fund will distribute funds within these timeframes, but only after the nonprofit has enrolled with PayPal Giving Tools.

Transaction reports will continue to be available after the switch to PayPal Giving Fund.

You'll still be able to access transaction reports in Nonprofit Manager for informational purposes. However, Meta will no longer issue tax documentation.

Here's a breakdown of what you can expect from transaction reports:

With the new system, you'll no longer experience a 48+ hour delay on data in Facebook. You'll be able to pull transaction data from the previous day and even partial same day.

Charities who have completed the transition to PayPal Giving Fund will be able to see synced data for fundraisers that have been shared between Facebook and Instagram, as of 15 September 2023.

Nonprofits will be assigned new Charity IDs in the Facebook Transaction Reports after switching to PayPal Giving Fund. If you're a GivePanel customer, you can continue to upload your data into GivePanel without any problems, using your new Charity ID.

If your nonprofit is delivering a Facebook Challenge in October with a recruitment month of September, be aware that any Fundraisers created before September 15, 2023, will automatically end on October 31, 2023, and can no longer accept donations after this date.

To avoid losing out on donations, switch to PayPal Giving Fund before September 15 and set up new Fundraisers after this date. These Fundraisers can then run into November and beyond.

Prepping team members who manage your Facebook Challenge Group with a crib sheet of potential questions and answers regarding donations via Facebook versus PayPal Giving Fund is a good idea.

This will help ensure that your team is prepared to handle any questions or issues that may arise during the donation process.