50/50 Raffles (also called split-the-pot or jackpot Raffles) are a great way to raise funds if you want to run a Raffle but don’t have the time or resources to get prizes. With 50/50 Raffles, the money you raise becomes the prize: proceeds from entry purchases are split between the winner(s) and your organization.
What should I know before running a 50/50 Raffle?
Raffles are heavily restricted in the US. Before you plan your Raffle, make sure you can run one legally:
The way you promote and set up your Raffle can have a big impact on its success. See the following articles for tips:
How do I create a 50/50 Raffle?
Go to Campaigns in the left menu, then select NEW CAMPAIGN:
Scroll down to Select which fundraising activities you want to include in your Campaign and select Raffle:
You can add other Fundraising Activities as well.
Go to Raffle in the timeline at the top.
Scroll down to Select your raffle type and select Cash raffle:
You can also select Prize raffle if you want to offer both a cash prize and traditional prizes.
Scroll down to Add cash prize and select Create a prize:
Enter the prize details, then select Save:
How is the cash prize calculated in a 50/50 Raffle?
You can draw one or multiple cash prize winners. If you choose to draw multiple winners, the cash prize percentage you set will be split evenly between each winner. For example, if the cash prize percentage is 50% and you have two winners, each winner will receive 25% of the funds raised.
You can also determine which funds contribute to the cash prize:
The amount raised from all Campaign activities
The amount raised from all Raffle entries
The amount raised from cash prize entries only (This option will only appear if you're running a 50/50 Raffle and Prize Raffle at the same time, and your Prize Raffle allows donors to purchase entries for specific prizes.)
What do donors see on my 50/50 Raffle Campaign Page?
Givebacks automatically calculates and displays the cash prize on your Campaign Page:
The cash prize amount(s) will automatically subtract any fees (e.g., Stripe's payment processing fee) so the amount displayed is exactly what the winner(s) will receive.
Can Givebacks automatically distribute cash prizes to winners?
Givebacks can automatically draw your Cash Raffle winners, but we cannot automatically split and distribute the funds on your behalf. IRS regulations state that the funds from a Raffle must go directly to a qualified 501c tax-exempt organization. For this reason, your organization must collect the funds directly and then distribute the appropriate amount to your winner(s) later.
Frequently Asked Questions
What is a 50/50 Raffle?
A 50/50 Raffle (also called split-the-pot or jackpot Raffle) is a fundraiser where the money raised becomes the prize. Proceeds from entry purchases are split between the winner(s) and your organization, eliminating the need to source traditional prizes.
Can I offer both cash prizes and traditional prizes in the same Raffle?
Yes, you can select “Prize raffle” and “Cash raffle” when setting up your Campaign if you want to offer both cash prizes and traditional prizes. This gives donors more prize options while still featuring the appeal of a cash jackpot.
How is the cash prize split if I have multiple winners?
If you draw multiple winners, the cash prize percentage is split evenly between each winner. For example, if your cash prize is 50% and you have two winners, each winner receives 25% of the total funds raised.
Does the displayed cash prize amount include payment processing fees?
No, Givebacks automatically subtracts fees (such as Stripe’s payment processing fee) from the displayed amount. This ensures the cash prize shown on your Campaign Page is exactly what the winner(s) will receive.
Why can’t Givebacks automatically distribute cash prizes to winners?
IRS regulations require that funds from a Raffle must go directly to a qualified 501(c) tax-exempt organization. Your organization must collect the funds directly and then distribute the appropriate amount to your winner(s) separately to maintain legal compliance.
Questions? Click the "?" icon to contact Givebacks Support.