How Schools Can Accept Online Donations Through Stripe

Stripe is one of the most widely used payment processors online. Many school fundraising websites use it to accept card payments securely. Here’s what your school, PTA or booster club needs to know to get started.

This article is general guidance, not financial, legal or tax advice. Check Stripe’s current documentation and pricing, and talk to your treasurer or accountant about your organization’s situation.

How it works

1. A donor chooses an amount on your fundraising website.
2. They pay through Stripe’s secure checkout. Card details are handled by Stripe, not stored on your website.
3. Stripe deposits the funds, minus its processing fees, into the bank account connected to your Stripe account, on a regular payout schedule.
4. Your website records the donation and sends the donor a receipt.

Step 1: Decide which organization is collecting the money

The Stripe account should belong to the organization that is legally receiving the donations: the school, the PTA or PTO, or the booster club. Many parent groups and booster clubs are separate organizations from the school, with their own bank accounts and tax status. Use the account that matches.

Step 2: Create the Stripe account in the organization’s name

When you sign up, Stripe will ask for details about the organization and the person setting up the account, along with a bank account for payouts. Stripe verifies this information, which can take some time, so start early.

Tips:

• Use an organization email address that will survive officer changes, not a personal one
• Give access to at least two trusted officers
• Store login details according to your organization’s policies

Step 3: Connect Stripe to your fundraising website

Your website needs to be connected to your Stripe account so donations are paid directly to you. If RaiseKit builds your website, we handle this step with you during setup, and your Stripe account stays in your organization’s name.

Step 4: Test before going live

Stripe offers a test mode with test card numbers, so you can try the complete donation flow without real money. Check that:

• The donation appears in your website’s dashboard
• The donor receives a receipt
• The payment appears in your Stripe dashboard

Understanding fees

Stripe charges a processing fee on each successful card payment. Rates vary by payment method and country and can change, so check Stripe’s pricing page for current rates. Stripe also has information about discounted pricing for eligible nonprofits.

When comparing fundraising options, look at the total cost per donation: processing fees plus any platform fee or commission. With a RaiseKit-built website, there is no RaiseKit commission. You pay only Stripe’s standard fees.

Receipts and records

Your fundraising website should send each donor a receipt with your organization’s name, the amount and the date. If your organization is a registered nonprofit, your treasurer may want specific wording on receipts. Keep your website’s donation records and Stripe reports in step by reconciling regularly.

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RaiseKit builds school fundraising websites connected to your own Stripe account, with no donation commission. Get a quote or explore the demo.