Someone makes a gift to your organization on Monday. How long should it take you to generate a receipt?
Ideally, no later than Wednesday.
Generating a receipt and acknowledgment within 48 hours of receiving a gift is a good standard for nonprofit organizations. Yet many organizations routinely take considerably longer. Sometimes the delay is caused by limited staff. Sometimes gift processing happens only on certain days. And sometimes everyone assumes someone else is taking care of it.
Whatever the reason, donor acknowledgment needs to be treated as a priority.
Think about the experience from the donor’s perspective. Giving is an intentional act. Someone has read your appeal, attended your event, heard about your work from a friend or encountered your organization online and decided, “I want to help.”
That is an important moment in the relationship. When an acknowledgment arrives promptly, it completes the experience. It tells the donor that the gift was received, appreciated and put into the hands of an organization that is paying attention.
When days or weeks pass without acknowledgment, however, some of that emotional connection can disappear. The donor may even wonder whether the gift was received.
It is important to distinguish between receipting a gift and thanking a donor.
A receipt confirms the transaction and provides information the donor may need for tax purposes. A thank-you acknowledges the person and the generosity behind the transaction.
Ideally, you should accomplish both.
Automated email receipts are enormously helpful, particularly with online gifts, because they provide immediate confirmation. But automation should not become an excuse for impersonal stewardship.
Look for opportunities to add humanity to the process. Depending on the donor and the size or nature of the gift, that might mean a personalized email, handwritten note or phone call. A first-time donor might receive a particularly warm welcome. A long-term donor might be thanked for years of faithful support.
The goal isn’t to make the process complicated. It is to make the donor feel noticed.
If your organization regularly struggles to acknowledge gifts promptly, take a look at the process itself.
Who is responsible for entering the gift? Who generates the receipt? Who sends the acknowledgment? What happens when that person is out of the office? Are online gifts handled differently from checks? Does everyone understand the expected turnaround time?
If the answers aren’t clear, create a simple process and assign responsibility.
Because thanking donors isn’t just good administration. It is cultivation. The next gift often begins with the way you respond to the one you just received.