Understanding GoFundMe's Fees and Charges

## Understanding GoFundMe's Fee Structure GoFundMe has become one of the most popular crowdfunding platforms, helping raise billions of dollars for various causes worldwide since 2010. The platform enables fundraising for everything from life events and celebrations to accidents and illnesses. ### Platform Fees GoFundMe has eliminated its platform fee for personal campaigns in most major countries, including: * United States * Canada * Australia * United Kingdom * Most European countries ### Payment Processing Fees While the platform itself is free, payment processing fees still apply: * **United States**: 2.9% + $0.30 per donation * **Canada**: 2.9% + $0.30 CAD per donation * **United Kingdom**: 2.9% + £0.25 per donation * **Australia**: 2.9% + $0.30 AUD per donation #### Example Calculation For a $100 donation: - **Processing Fee**: 2.9% of $100 = $2.90 - **Transaction Fee**: $0.30 - **Total Fees**: $3.20 - **Net Donation**: $96.80 ## Optional Tipping System GoFundMe operates on a voluntary tip-based model: > When making a donation, supporters have the option to leave a tip to help keep GoFundMe running and free for organizers. Tips are: 1. Completely optional 2. Separate from the donation amount 3. Used to maintain the platform's services ## Additional Features and Considerations ### Currency Conversion When donations involve different currencies, additional fees may apply: | Currency Conversion Type | Fee Range | |-------------------------|-----------| | Standard conversion | 2-5% | | Bank conversion | Varies by institution | ### Withdrawal Options **Direct Deposit** * Processing time: 2-5 business days * No additional fees * Available in most countries **PayPal** * Processing time: 2-3 business days * Subject to [PayPal's own fee structure](https://www.paypal.com/us/digital-wallet/paypal-consumer-fees) * Available in select regions ### Protection and Security GoFundMe offers the [GoFundMe Guarantee](https://www.gofundme.com/c/safety/gofundme-guarantee), which protects: * Donors against misuse of funds * Campaign organizers in cases of unauthorized withdrawals ## Best Practices for Campaign Organizers To maximize fundraising effectiveness: * Set realistic goals that account for processing fees * Be transparent with potential donors about the fee structure * Consider suggesting slightly higher donations to offset fees * Provide regular updates to donors * Maintain accurate financial records * Comply with local fundraising regulations ## Tax Considerations Important tax-related information: * Personal donations are typically not tax-deductible * Charitable organizations must be verified through GoFundMe's [charity verification process](https://www.gofundme.com/c/blog/fundraise-in-response-to-the-hamas-attacks-and-impacted-civilians-in-gaza-and-israel) * Campaign organizers may need to report large donations to tax authorities For more detailed information about fees and charges, visit the [official GoFundMe website](https://www.gofundme.com/) or check their [pricing page](https://www.gofundme.com/c/pricing).

Understanding GoFundMe's Fees and Charges

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