Understanding Venmo Nonprofit Fees and Options

If you're using Venmo to raise funds for a nonprofit, you're likely aware that the platform takes a fee from each transaction. This fee can range from 1.9% + $0.10 per transaction, depending on the type of payment and the payment method used.

Venmo's nonprofit fees are competitive with other payment processing services, but it's essential to understand the specifics to ensure you're getting the best deal for your organization.

Venmo offers a few options for nonprofit fees, including a 0% fee on transactions over $5,000. This can be a significant advantage for large fundraising campaigns.

To qualify for the 0% fee, you'll need to meet certain requirements, such as having a verified nonprofit account and using Venmo's payment processing services for a minimum of 30 days.

Venmo nonprofit fees are competitive and transparent. They consist of a flat-rate payment processing fee of 1.9% + $0.10 per transaction.

To qualify for this discounted rate, nonprofits must have verified 501(c)(3) status. Users pay no fees to donate to your nonprofit, even if they use a credit card.

Immediate Fund Access is a game-changer for nonprofits. Nonprofits benefit from same-day access to donated funds, which improves cash flow and liquidity.

This quick access, although subject to additional fees, enables more efficient operation and financial management.

Venmo's fees are competitive and transparent, ensuring that a larger portion of donations goes directly to the nonprofit's cause. The transaction fees on Venmo are 1.9% + $0.10 per donation.

This fee structure aligns with common digital payment processing rates, allowing nonprofits to plan their financial strategies effectively. A predictable fee model is crucial for nonprofits to manage their finances.

When a nonprofit receives a $100 donation through Venmo, a fee of $2.00 is subtracted, leaving the charity with $98.00. This example demonstrates the fee structure's impact.

Venmo's fees are consistently the lowest on the market, making it an attractive option for nonprofits. The full fee schedule is available for review.

Here's a breakdown of the fees:

Venmo's nonprofit fees include a flat-rate payment processing fee of 1.9% + $0.10 per transaction, with verified 501(c)(3) status required.

Billhighway is another online payment processor that nonprofits can use to collect dues from their members. It charges a fee per member and a high percentage on each payment collection, making it an expensive option.

This fee structure can add up quickly, especially for larger organizations with many members. Billhighway's fees can eat into the funds that would otherwise go towards the organization's mission.

Nonprofits should carefully consider the costs of using Billhighway or other online payment processors before deciding if it's the right choice for them.

Venmo nonprofit fees are competitive, at only 1.9% + $0.10 per donation.

This low rate ensures that a larger portion of donations goes directly to the nonprofit's cause. The fee structure aligns with common digital payment processing rates, ensuring that a majority of the donated funds directly support the nonprofit's cause.

The predictable fee model allows organizations to plan their financial strategies effectively, understanding that a consistent percentage of donations will be allocated to transaction costs.

Here's an example of how the fee structure works: when a nonprofit receives a $100 donation through Venmo, a fee of $2.00 is subtracted, leaving the charity with $98.00.

This example demonstrates the fee structure's impact, allowing nonprofits to anticipate the net amount from donations and manage their financial planning accordingly.

Venmo's fees are consistently the lowest on the market, and nonprofits can see the full fee schedule. The company is a financial technology company and is not a bank, but it partners with TransPecos Banks, SSB; Member FDIC, to provide banking services.

Here's a summary of Venmo nonprofit fees:

To set up a nonprofit account, you'll need to create a PayPal Business account for your charity and verify your charity's credentials with PayPal. This involves providing proof of your 501(c)(3) status.

First, go to PayPal to create your charity account. You can find the instructions for this process in the relevant article section. Once you have your PayPal charity account, go to the Business Tools page in PayPal and find the option for Venmo.

You'll need to click Get Started to proceed, which will take you to Venmo. There, you'll provide the necessary information to populate your Venmo Charity Profile page. Make sure the legal first and last name of your Venmo account matches the name of your charity's PayPal Business account.

If you don't need access to the special Venmo Charity Profile features, you can still follow the guide using a regular PayPal/Venmo account. However, keep in mind that you won't be able to access the lower fees unless you verify your charity.

Before getting started, note that you can't convert an existing Venmo business profile to a charity profile. You'll need a new phone number and email to create a Venmo charity profile, or you'll have to contact Venmo to close a business profile and start a charity one.

Venmo has become a popular payment method, especially among younger people, with 50% of its users between ages 25-34 and 33% between ages 18-24.

Accepting Venmo payments can make it easier for people to donate to your nonprofit, right from their mobile devices, creating a better experience for your donors.

Venmo's Charity Profiles feature offers lower nonprofit transaction fees, allowing you to keep more of the money donated to you.

With over 78 million users, Venmo provides a large pool of potential donors who may be willing to give with Venmo, but not with a credit card.

Venmo doesn't provide a solution for tax-exempt reporting, which can be a hassle for nonprofits. This means you'll have to manually sort through transactions when it's time to file taxes.

The IRS has stated that users must report income on goods and services over $600, but this was pushed back due to pushback and turmoil.

Maryland, Massachusetts, Vermont, Virginia, and Illinois have lowered their reporting thresholds for 2023. Maryland, Massachusetts, Vermont, and Virginia require reporting for transactions over $600, while Illinois requires reporting for transactions over $1,000 with 4+ separate transactions.

If you want to "meet your donors where they are", consider supporting Venmo donations for your nonprofit, especially if your donors tend to be younger in age.

You can access lower payment rates with Venmo for nonprofits.

To create a special Venmo Charity Profile, you'll need to sign up.

Donors can only make one-time donations with Venmo for nonprofits, but you can use Gravity Forms to set up recurring donations with a different gateway.

Having a Venmo nonprofit account can be a game-changer for organizations looking to make fundraising easier and more efficient.

Discounted payment processing fees are one of the biggest pros of a Venmo nonprofit account. This can help nonprofits save money and allocate those funds to more important causes.

Nonprofits can also create a verified charity profile, complete with donation transaction reports and a photo gallery, to showcase their work and build trust with donors.

Users pay zero fees to donate to Venmo charity profiles, making it a convenient and cost-effective way for individuals to support their favorite causes.

Here are some key benefits of a Venmo nonprofit account:

Having a Venmo nonprofit account can also make it easier for organizations to share their fundraising efforts with a wider audience.

Venmo nonprofit fees can be a great way to accept donations, but it's not the only option. Givebutter is another platform that lets nonprofits add a "donate via Venmo" option on their websites.

This allows donors to use Venmo to make a payment, even if they're not on Venmo's Charity Profiles feature. However, this option doesn't support direct @ payments.

Venmo has over 78 million users, and it's especially popular with younger people – 50% of Venmo's users are between ages 25-34 and 33% are between ages 18-24. This makes it a great way to reach a younger demographic.

Nonprofits can also consider using QR codes and kits for touch-free donations in person, which is another feature of Venmo's Charity Profiles.

Venmo is a peer-to-peer payment service owned by PayPal, which allows users to send and receive money online or through a mobile app.

Venmo's fees for sending and receiving money are competitive with other payment services.

To use Venmo, you need to create an account, which is free and easy to do.

In 2020, Venmo processed over 3.2 billion transactions, with an average transaction value of $30.

Venmo nonprofit fees offer a discounted payment processing rate of 1.9% plus $0.10 per transaction, making it easier for nonprofits to manage their finances.

This fee structure is common in digital payment processing, ensuring that a majority of donated funds directly support the nonprofit's cause.

Venmo has over 78 million users, with 50% of them between ages 25-34 and 33% between ages 18-24, making it a popular choice for younger people to donate.

The Venmo Charity Profiles feature allows nonprofits to create a verified charity profile, get donation transaction reports, and include a photo gallery, making it a valuable tool for nonprofits.

Nonprofits can add donation links to their website, social media posts/profiles, email newsletters, and more, making it easier for people to donate.

Venmo waives the 3% fee users usually have to pay to use credit cards, so users pay zero fees to donate to Venmo charity profiles.

By using Venmo, nonprofits can increase the likelihood of people donating and create a better experience for their donors.

Here are some benefits of using a Venmo nonprofit account: