2018–2019
Official Local PTA Leader Kit
Fundraising Quick Reference Guide
Fundraising Quick Reference Guide | 2
National PTA® Official Local PTA Leader Kitit
Table of Contents
Welcome ………………………………………………………………………………………………… 3
Mission-Driven Fundraising ………………………………………………………………………… 4
Strategies ……………………………………………………………………………………………… 5
Donations……………………………………………………………………………………………… 6
Events ………………………………………………………………………………………………… 7
Grants ………………………………………………………………………………………………… 9
Product Sales ………………………………………………………………………………………… 9
Tracking & Reporting Revenue …………………………………………………………………… 10
Legal Implications …………………………………………………………………………………… 10
Tax Receipts for Donations …………………………………………………………………………… 11
Fundraising Quick Reference Guide | 3
National PTA® Official Local PTA Leader Kitit
Welcome!
Congrats and thank you for taking on this important role for your PTA! Fundraising is often
necessary for PTAs to achieve their mission to make every child’s potential a reality.
is guide provides tips and resources to help PTA leaders with fundraising, including how to select
strategies that align with National PTA’s mission, properly account for funds raised, and avoid potential
legal pitfalls.
Key Points to Remember:
• All PTA fundraising should support National PTA’s
mission, in both how the funds are raised and how
they are spent.
• Adults should raise PTA funds. PTAs are strongly
encouraged to avoid activities that require children to
sell to strangers.
• Transparency is key. The ways in which funds are
raised and spent should be communicated clearly to
members and the school community as a whole.
Find Out More:
• Mission-Driven Fundraising
• Strategies
• Tracking & Reporting Revenue
• Legal Implications
Throughout this website, be on the
lookout for opportunities to Dig
Deeper by checking out additional
tools and resources, or some of the
many E-Learning courses available
at www.pta.org/elearning
Fundraising Quick Reference Guide | 4
National PTA® Official Local PTA Leader Kitit
Mission-Driven Fundraising
e rst question to consider when planning PTA fundraising is, “Why are we raising these funds?”
Every PTA activity, including fundraising, should be focused on our mission: to make every child’s
potential a reality by engaging and empowering families and communities to advocate for all
children.
This means:
• All funds generated by a PTA, including the local portion of dues, should be budgeted for purposes
that advance PTA work, such as enhancing student success or improving the school.
• Fundraising activities themselves should be conducted in alignment with the PTA mission.
PTAs should begin each year with specific, mission-driven goals in mind and should identify strategies
for reaching those goals before determining the dollar amount needed from fundraising events. They
should raise only the funds necessary to meet the needs of the year’ s activities and projects, as outlined
in the PTA’s budget. In keeping with our mission, National PTA encourages local PTAs to utilize
fundraisers in which only adults-not children-are activefund raisers.
Transparency is key: e ways in which funds are raised and spent should be communicated clearly to
members and the school community as a whole regularly and in multiple ways.
Fundraising Quick Reference Guide | 5
National PTA® Official Local PTA Leader Kitit
Strategies
ere are as many creative ways to raise funds for PTAs
as there are units across the country!
Use the following questions as guides when selecting
fundraising partners, programs, and materials:
• Are there local, state, or federal laws that apply? Is care taken to see that no law is violated?
• Does the program rely on the participation of adults, avoiding asking children to sell to others?
• Is it a type of activity that can serve as a positive example for children and youth? (For example,
does it encourage healthy lifestyles, including physical activity and nutritional food choices?)
• Did the fundraising committee provide a reasonable budget of all associated expenditures
(e.g., materials and advertising for the event), as required by the PTA’s bylaws and standing rules?
• Will the fundraiser provide meaningful revenue to help meet the PTA’s goals, even after
considering the associated costs?
• If using a fundraising vendor or company, what is its reputation? Is there a conflict of interest
(e.g., the company is owned by a PTA leader) that should be declared?
• If there are related classroom materials, are they credible and accurate? Has the company
produced the materials in partnership with a recognized authority on the topic? Are the materials
complete and not deceiving or misleading by omission?
• Is the language and organization of material culturally sensitive and age-appropriate? Do the text
and illustrations uphold PTA’s nondiscrimination policies?
Dig Deeper:
• PTA Fundraising Marketplace
• Does this fundraiser align with the PTA mission and
purpose?
• Does it conform to the noncommercial, nonsectarian
and nonpartisan policies set forth in the PTA bylaws?
Does it reflect any fundraising guidelines set by the
state PTA?
Fundraising Quick Reference Guide | 6
National PTA® Official Local PTA Leader Kitit
Donations
Donations can be sought from individuals or corporations.
ey may be either cash or in-kind (donations of products
or services).
Individual Donations
PTAs receive individual donations in the form of member-
ships or direct donation drives.
See the Membership section of this toolkit for more
information about growing your PTA’s membership.
Be sure to include an option on your membership form
for families to donate an additional amount of their
choosing to support families who can’t aord member-
ship and other PTA programs.
Direct donation drives can be a time-ecient and cost-eective way to raise the additional funds your
PTA needs. Oering a single, direct fundraiser may work well in communities that are experiencing
“giving fatigue” from too many events. Tips:
• Highlight your fundraising goal and suggested amount or a range of donation options per donor.
• Be specic about what the funds will be used for (e.g., PTA parent engagement programs, library
books, playground equipment, drug prevention activities, school dances, etc.).
• Provide an incentive by listing donors on the PTA website according to their giving levels
(e.g., platinum, gold, silver, bronze).
• Make it easy by oering an online giving option.
• Double your impact by asking families to explore whether their employers will match donations.
See also: Tax Receipts for Donations
Dig Deeper:
• Sample Solicitation Letter
• Special Events Action Plan
• Sample Proposal Outline for
Writing a Special Events
Sponsorship Proposal
Fundraising Quick Reference Guide | 7
National PTA® Official Local PTA Leader Kitit
Corporate Sponsorships
Corporate sponsorship means that a for-profit company provides cash, products, or expertise to a PTA,
usually in return for public acknowledgment. Sponsorships can be linked to specic events, programs,
activities or publications.
A special provision in the tax code makes 501(c)(3) organizations exempt from paying federal income
taxes on income from corporate sponsorships, as long as the benefits that are given back to the
corporate sponsor fall within IRS guidelines. There is no limit to the amount of corporate sponsorship
income that can be received by a 501(c)(3) organization.
Note: Sponsorship money or in-kind donations cannot be solicited nor accepted from companies
that manufacture products or take public positions inconsistent with National PTA’s positions and
resolutions (e.g., alcohol, tobacco, or rearm companies).
Sponsorship is dierent from endorsement, in which a PTA endorses the products or services of a
for-prot entity. Endorsement activities are not appropriate for PTA participation, based on PTA’s
noncommercial policy.
In return for sponsorship, your PTA may thank the sponsor for its contribution in writing or on posters,
banners, or other appropriate media. e written acknowledgement must be limited to an expression of
thanks. e acknowledgement should not make a judgment regarding the sponsor or its product, and it
cannot appear as though PTA is asking people to buy a sponsor’s products or services; otherwise, the
sponsorship payment may be subject to federal income tax.
Events
A well-planned fundraising event serves multiple purposes. In addition to raising money needed to support
PTA programs and goals, it can also further PTA’s mission by engaging families and enhancing children’s
health and education.
Step 1: Decide on Your Event
Some examples of fun, engaging PTA fundraising events:
• Get moving. Consider a fundraiser that also encourages physical activity. Sponsor a bike-a-thon,
walk-a-thon, or 5K walk/run. Host a school-wide dance. Plan a parent-teacher basketball game and
sell tickets. There are numerous for-profit fundraising companies that can help a PTA execute such an
activity in exchange for shared revenue. In addition to being healthy activities, these types of
fundraisers also eliminate the need for PTAs to be managing inventory (i.e., products) which reduces
the burden on PTA volunteers.
• Eat it up. Invite chefs from local restaurants to host healthy cooking classes for families for a small fee.
Create and sell a healthy cookbook created from recipes submitted by your PTA members and local
food service providers. Sell healthy treats at a PTA booth at other school events.
• Make it a date. Give the parents and caregivers in your school community a well-earned break,
hosting an adults-only event such as a gala or golf tournament.
Fundraising Quick Reference Guide | 8
National PTA® Official Local PTA Leader Kitit
• Consider the ways the event will help you raise money. A mix of fundraising tactics can help you
raise money at an event, including:
ƈ Sponsorships
ƈ Silent auctions with in-kind gis or services
ƈ Ticket sales
ƈ Food sales
ƈ Special activities (i.e., pony rides, crazy hair booth, face painting)
ƈ Vendor tables (i.e., cra, jewelry or clothing entrepreneurs)
ƈ Membership table
ƈ Advertising opportunities in event program
ƈ Get creative!
Step 2: Seek Sponsorships
A well-written, carefully thought out sponsorship proposal can mean the dierence between securing
the funding you need to support your goals or ending up in the red.
is
Sample Proposal Outline may help you secure the funds and/or product donations needed to meet
or exceed your PTA fundraising goals. See Corporate Sponsorships for more information.
Step 3: Day of the Event
Day of the Event. Make sure that your event is well-staffed, and that every volunteer knows who to go
to with a problem. If the person in charge will carry a cell phone, give every volunteer the number.
Volunteers should wear something distinctive, so that members of the public know who to alert when
a problem arises.
Step 4: Make Sure Y
ou Are Covered
Contact your insurance broker or company and ask them to review your policy with you, to ensure your
event is covered. Some common PTA events, like a carnival with a dunk tank, often require added, special
insurance. If there are gaps, situation or event-specific insurance (often called a "rider") is available at a
reasonable cost. Failing to secure the appropriate insurance for your PTA events and activities can be
extremely costly in the event of an injury or mishap.
• Facility. In choosing where to host your event, consider the following:
o Are there special requirements or restrictions for using the facility?
o Are there fire laws and safety precautions strictly observed?
o Is the facility (including entrances, meeting rooms, and restrooms) accessible to people with
disabilities?
o Do you need any additional insurace?
Fundraising Quick Reference Guide | 9
National PTA® Official Local PTA Leader Kitit
Grants
Grants can fund a wide variety of school needs, including playground equipment, athletic equipment or
uniforms, band instruments, technology upgrades, special science and math programs, nature trails
or gardens, and more. Unlike donations and events, grants are typically linked to a very specic project.
To receive most grants, you will have to identify a need, develop a plan, and (if successful in obtaining
a grant) be prepared to report back on how you used the money and what you achieved.
Tips for pursuing grant funding:
• Create a committee. Include a representative from your school or district who can help you find
local school data or secure letters of support. Engage a parent with experience and interest in
writing proposals.
• Match your need to a funder’s interests. Be sure to send your application only to a funder who has
indicated an interest in the type of project you’re proposing. Lists of previously funded projects can
be great sources of this information.
• Follow instructions! Most grant makers are very specific about how they want to receive proposals.
Be sure to follow all guidelines about format, deadlines, number of copies to submit, etc.
• If you get the grant, thank your funder. If possible, invite a representative of the funding
organization to an assembly, school event, or a photo opportunity with the finished project.
• If you don’t get a grant, ask why. Use any feedback you receive to strengthen future proposals.
Sources for PTA grants:
• National and state PTAs sometimes offer grants and student scholarships. See PTA.org/awards and
your state PTA website.
• Your local chamber of commerce is a good place to begin to identify businesses in your area (or local
offices for larger corporations) that may offer grants. Often local retail and grocery chains have grant
programs dedicated to youth, family, or school projects.
• Private foundations are independent nonprofits that offer grants, usually in keeping with set priority
areas. Foundation grants can be competitive; you may have better luck with smaller, local foundations.
The Foundation Center offers a wealth of information about finding and applying for foundation
grants.
Product Sales
Many PTAs use product sales as part of their fundraising
strategy. Consider doing the following:
• Host a book fair, auction, or raffle.
• Sell spirit wear with the school colors and mascot,
distributing order forms in September and at key
points throughout the year.
• Sell fruit, gift wrap, or other gift items (rather than candy or baked goods) before the
holidays.
Dive Deeper:
• PTA Fundraising Marketplace
Fundraising Quick Reference Guide | 10
National PTA® Official Local PTA Leader Kitit
• Sell bottled water and healthy treats at PTA and school events.
Take care to structure any sales or agreements to avoid unrelated business income. The money received
by PTAs should be accounted for as contributions on their financial statements.
T
racking & Reporting Revenue
At a fundraising event, or whenever funds are received, the Treasurer and the Fundraising Chair should
count the money together. Both should sign a receipt verifying the amount.
See Collecting, Counting, & Depositing Funds in the Finance section for more information.
Legal Implications
Before undertaking any fundraising, a PTA should check with federal, state, local, and school authorities
to determine whether the planned activity is prohibited or requires special permits.
Consult all of the following:
• Federal laws prohibit PTAs and other tax-exempt organizations from engaging in substantial business
activities that are unrelated to their educational and charitable purposes. It is important to avoid these
activities to protect your PTA’s tax-exempt status.
• State laws on fundraising vary widely. Before beginning a fundraising activity, check with your state
PTA to learn about any statutes that may apply.
• Many cities and counties also have laws requiring registration and disclosure of fundraising activities.
• School districts oen have procedures to follow for fundraising on school property involving sta
and students.
Note regarding games of chance: Fundraisers involving games of chance or gambling (e.g., raes, bingo,
casino night) require special consideration. ey may be subject to taxation and, in extreme circumstances,
could cause your PTA to lose its tax-exempt status. Check with state and local authorities before proceeding.
Fundraising Quick Reference Guide | 11
National PTA® Official Local PTA Leader Kitit
Tax Receipts for Donations
e IRS has established requirements for tax-exempt organizations receiving donations.
If PTA members and contributors have questions about whether a donation they make to your PTA
is tax-deductible, refer them to the IRS or a qualied tax advisor.
For a cash donation of more than $250: PTA must provide an acknowledgement that includes:
• The PTA’s name;
• The amount of money donated;
• The date of the contribution; and
• A statement that no goods or services were received in return for the contribution.
Donors may request an acknowledgment for smaller donations, particularly if they are made in cash
(rather than by check). e same acknowledgment is required if a volunteer wants to claim a deduction
for PTA-related expenses paid out of pocket.
If goods or services are provided in exchange for a donation of more than $75: PTA must provide a
receipt to the donor that states the amount of the payment, a description of the goods/services provided,
and a good-faith estimate of their value.
Example: If a PTA holds a fundraising event that provides a meal or some tangible item in return for
the purchase of a ticket, then the portion of the ticket that is tax deductible is the ticket price less the
fair market value of the meal or item received.
If a contributor donates something other than money (e.g., in-kind goods): It is the donor’s obligation
to obtain Form 8283 and have the PTA sign it to acknowledge the donation. As a service to donors, your
PTA may want to remind them to use this form.
For volunteer hours: PTAs may be asked to keep track of volunteer duties and the number of hours pro-
vided, and to forward this record to the state PTA oce. is is a measure of in-kind services and can be
used in securing local, state, or national grants for PTA projects.
See the IRS website for more information.
National Oce
1250 North Pitt Street
Alexandria, VA 22314
Toll-Free: (800) 307-4PTA (4782)
Fax: (703) 836-0942
PTA.org
© 2018 PTA All rights reserved. Printed in U.S.A. (6/17)
and everychild.onevoice.® are registered service marks of the National Congress of Parents and Teachers.
