Glossary
Donor Management

Recurring Gift

By: Alec Hollingsworth
Updated:  
August 6, 2025

Definition:

A recurring gift is a donation that a supporter gives on a regular, ongoing schedule, such as monthly or annually.
A recurring gift is a donation that a supporter commits to giving on a regular, ongoing basis—such as monthly, quarterly, or annually—rather than as a one-time contribution. These gifts are typically scheduled through automated payment methods, making it easier for donors to sustain their support over time. For nonprofits, recurring gifts provide a predictable and stable stream of income, allowing for more effective planning and budgeting. Donors benefit from the convenience and the opportunity to make a greater impact over time without the need to remember to give repeatedly. Recurring gifts can be modified or canceled by the donor at any time, offering flexibility and control.

Key Takeaways

  • Provides nonprofits with predictable revenue
  • Boosts donor retention and engagement
  • Offers donors convenience and flexibility
  • Easily managed with modern fundraising software

Why It Matters

Recurring gifts increase donor retention and provide nonprofits with reliable, predictable revenue.

Real World Example

A local animal shelter launches a 'Friends of the Shelter' program, inviting supporters to donate $25 per month. One donor, Sarah, signs up for a recurring gift through the shelter’s website. Each month, her credit card is automatically charged, and she receives a thank-you email and receipt. Over a year, Sarah’s total giving surpasses what she would have likely contributed as a one-time donor. The shelter benefits from the reliable funds, which help them plan for supplies and veterinary care. Sarah appreciates the convenience and feels more connected to the organization.

Frequently Asked Questions

What is a recurring gift?

A recurring gift is a donation made on a regular schedule, such as monthly, quarterly, or annually, instead of as a one-time contribution.

Why should nonprofits encourage recurring gifts?

Recurring gifts provide predictable income and improve donor retention, helping nonprofits plan effectively and build stronger donor relationships.

Can donors change or cancel their recurring gift?

Yes, donors can usually modify or cancel their recurring gift at any time, giving them flexibility and control over their giving.

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