[fmathis]

Currently, when a gift(s) is received, we enter the gifts through batch; commit the batch, run receipts (to assign a number) and then run acknowledgment letters (as opposed to custom receipts) where-in the receipt is built into the acknowledgement letter and printed @ the bottom of the letter. This portion of the receipt now contains the address, the receipt date, the receipt number, and the receipt amount. We do not print the receipts through mail; just run the process so that the number will be generated to print on the letter. Then come year end, in Jan., we produce and mail tax statements to our entire donor base who gave a donation within the year. Isn't that doing the same thing twice? Which is OK and gracious except, at what point do I need to produce the receipt number and display it?

So, I was thinking of getting rid of the receipting step. Not producing the receipt number and then at year end when the tax statements are run, doing it then. Looking for comments on WHY we would WANT to produce the receipt number as each batch is acknowledged.

Talked to Blackbaud and their response was to either receipt or tax statement but, not both. It's a duplicate. Receipts are for those who don't send tax statements annually.

Attached is a copy of the letter I have revised without a receipt number(for a company) and a copy of the letter we have now (for a donor), still keeping the perforated gift receipt @ the bottom and adding a line which says that tax statements will be sent annually?


What are you doing?

[cseebald]

The only time we sent out year-end statements at Houghton College was: 1) If it had specifically been requested by a donor (I think we might have done it a couple of times), and 2) For employees of the college who gave through payroll deduction, since they did not get a receipt for each deduction.


I don't see any reason to do both - it's double the work and only one is necessary. I would personally opt for doing receipts as gifts come in, because we always had plenty to keep us busy at year-end without trying to also crank out year-end statements.


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[Bonnie Alkire]

Davis & Elkins handles this exactly the way Catherine describes.

[Melissa Siobhan]

Ditto!

It is customary to thank immediately upon receipt of gift and a tax receipt is best included right then. Only when requested OR for monthly recurring gift donors/payroll deduction do we do annual statements. We notify anyone enrolling in recurring gifts/payroll deduction that the annual statement is a "benefit" of enrolling in the program - no solicitations ot thank you letters all year long - only one in January.

[cseebald]

Quote:

Originally Posted by Melissa Siobhan

It is customary to thank immediately upon receipt of gift and a tax receipt is best included right then.

Melissa makes another good point. So, assuming you would still be thanking the donors each time for their gifts (which I hope you would!!!), it would make sense to send out the receipts with the thank-yous and drop the year-end statement. Besides, think of the postage and staff time you'd save!

There's one item you'd need to keep in mind: Your donors are accustomed to receiving a year-end statement, so - if you do drop doing it - you should notify them of this change somehow. Since you're mid-way in a new tax year, I would recommend sending out the tax statement one last time and include a notice stating that: 1) You will no longer be providing a year-end statement, and 2) They will need to make sure they retain the receipts sent to them for each gift. Also, for the first year or two after that be prepared to hear from a few people who neglected to keep all their receipts. But, after a while your donors will become accustomed to the change.

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[Tcassi]

Quote:

Originally Posted by Melissa Siobhan

Ditto!

It is customary to thank immediately upon receipt of gift and a tax receipt is best included right then. Only when requested OR for monthly recurring gift donors/payroll deduction do we do annual statements. We notify anyone enrolling in recurring gifts/payroll deduction that the annual statement is a "benefit" of enrolling in the program - no solicitations ot thank you letters all year long - only one in January.

We do the same; if they are receipted at the time the gift is acknowledged, it's not necessary to send a statement. For recurring gifts or employee payroll deductions that are not receipted every month, we send an annual yearend statement.

No need to make more work for ourselves!

[Melissa Siobhan]

It doesn't look like it was noted here yet but the Bio 2 receipt type field is the place to record who is on an annual statement schedule and who is on a receipt each gift schedule. It is easy to include this in a query for your receipts.

(although RE really should have this as a filter on the acknowledgement letters... going to the ideas page now...)