Frequently asked questions
Is GoFundMe.org separate from GoFundMe®?
Yes. Launched in 2010, GoFundMe® is the world’s largest social fundraising platform. While it does charitable things, GoFundMe® is not a charity. In addition, many of the fundraisers on the GoFundMe® platform are not eligible for tax relief.
GoFundMe.org is a 501(c)(3) public charity. It incorporated in 2016 but started operating in earnest in the fall of 2017, providing relief to the victims of Hurricane Harvey. GoFundMe.org was formerly known as the Direct Impact Fund with the name change becoming effective in March 2019.
GoFundMe.org is independent from GoFundMe® and maintains a separate board of directors and a different CEO and CFO. It works closely with GoFundMe®, especially in connection with raising and distributing funds in a low-cost and effective manner. Despite this close working relationship, GoFundMe.org cannot receive payments or checks for just any GoFundMe® fundraiser. Instead, and because they are separate entities, GoFundMe.org can only receive payments or checks for itself or in connection with fundraisers for which GoFundMe.org is identified as beneficiary.
How does GoFundMe.org verify the fundraisers and charities to which it gives?
All grantees are vetted prior to receiving a grant. Working with GoFundMe®, GoFundMe.org deploys proprietary technical tools and has multiple processes in place that are on par with those used at financial institutions. We use these to verify the identity of GoFundMe® organizers, donors, and beneficiaries and to detect fraudulent behavior.
Are donations to GoFundMe.org tax deductible?
Yes, donations to GoFundMe.org general funds are tax deductible for qualifying donors. GoFundMe.org is a U.S.-based 501(c)(3), with a federal tax ID number (EIN) of 81-2279757. Please check with your tax preparer to confirm whether your donation is tax deductible. We are working to expand our tax exempt status to other countries.
How much of my donation goes to individuals and organizations supported by a GoFundMe.org Cause?
During our first year of operation, we achieved a 96% efficiency rate. This means that $0.96 of every dollar you donated went directly to your cause. The remaining 4% reflects a combination of (a) a standard transaction fee that allows for credit card processing and the safe transfer of funds over platforms; (b) bank fees; and (c) postage and other expenses incurred in the normal course of business.
We anticipate this efficiency rate to decline in fiscal year end 2019 as the charity grows, but we are committed to keeping costs low so that more of your dollar goes to your cause.