Why Online Giving Holds the Key to
a Healthier Offertory
If you’re not offering members an option to give online,
research shows your church could be missing a golden
opportunity.
50%+ will give online this year. If you’re not offering a way for members to contribute online, you could be missing out. Acceptance rates are high across all age groups, and seniors are often the first to sign up.
A Giving USA Foundation study released on June 20, 2011, shows that
of the $290.89 billion in donations to charity last year, 35%, or a
whopping $100.63 billion, went to religious organizations. Compared with
2009 data, total charitable giving from Americans rose 3.8%, with giving
from individuals up 2.7% in 2010.
50%+ will give online this year
Another recent study published in the Chronicle of Philanthropy projects
that more than half of all donations this year will be made electronically.
John Biskner, Online Giving product manager at ParishSOFT, said,
“Having a robust Online Giving system is no longer an option but a
necessity for churches.”
The upshot for churches is simple: if you’re not offering a way for
members to contribute online, you could be missing out on planned,
proportionate, consistent giving from half your congregation.
For the young, the old, and everyone in between
One of the great myths is that Online Giving draws only the younger
generations. Not true, say several ParishSOFT users, who report their
seniors have been the first to sign up.
Members in their mid-60s and older have, for the most part, educated
their children and paid off their homes. And they’re already comfortable
with online transactions because they manage their 401K plans and
pensions online. Even the U.S. Government has gone digital: after May
1, 2011, new applicants must receive their Social Security checks
electronically (in fact, they stopped offering paper checks years ago).
Development consultants at the Winkler Group are well aware of the
acceptance rate trends across age groups. They report more than half of
donors ages 65 and older said they would make a charitable donation via
the Internet. Three-fourths of people ages 35-64 said they would give
online. And 86% of those under 35 prefer to give that way.
1 Why Online Giving Holds the Key to a Healthier Offertory
Broad appeal for members
Online Giving systems make giving easier, and participating donors have
told us in their own words exactly why they have signed up.
Members like the convenience, the security, and the fact that it helps their parishes. Setting up planned giving inherently lends perspective and typically leads to an annual gift planned as proportioned to as part of the donor’s overall financial picture. 30% of Sundays, the “regulars” aren’t present to drop an envelope in the basket. o
“You never forget! Funds are automatically withdrawn from your
checking or savings account so there are no last minute trips to
the ATM or writing out a check.”
o
“It’s all electronic, which saves time and trees!”
o
“You always have a record of your giving history—very important
around tax time.”
o
“We have most of our other bills and expenses paid online or
from our checking account, so it fits nicely into the rest of our
budgeting for the month.”
o
“We are doing our part on a regular basis for [parish name], even
when we are away visiting relatives”
o
“It is very convenient and we receive a reminder email in
advance of each debit from our account.”
o
“It is a cost-saving program from the perspective of parish
administration and a convenient resource for members.”
Benefits for stewardship
We’re called to be good stewards of our God-given treasure, so it only
makes sense that as Christians, we give dependable, thoughtful financial
contributions to our churches—not what’s left over. Online Giving
services provide members the ideal environment for this level of giving.
The very act of setting up planned giving inherently lends perspective.
Whether I’m giving weekly or monthly, I have a clear awareness of how
my church giving compares with other spending, like utilities or dining
out, and how it fits into my budget. I’m also more likely to be honest with
myself about how I splurge (snobby coffee, designer shoes) and
calculate an annual gift that looks like a real stewardship commitment
when viewed as part of my greater overall financial picture.
Studies by Charles Zech, director of the Center for the Study of Church
Management at the University of Villanova, say I’m not alone. Zech
reports that people who make a monthly giving commitment to their
church give 40% more annually than those who give without a plan. In
fact, at the 220-family St. Mary Parish in Red Oak, Iowa, Lisa Sallach
reports that since offering Online Giving, they’ve gained what amounts to
an extra week of tithes every month. If you’re doing the math in your
head right now, you know what this can mean for your annual church
income and ministries.
2 Why Online Giving Holds the Key to a Healthier Offertory
Zech also reports that regular Mass-goers say they attend church
37 weekends per year. That means nearly 30% of Sundays, they’re not
present to drop an envelope in the basket. For these members, and for
your not-so-regular attendees, Online Giving can serve as another
means of engaging them into a stronger relationship with your church.
They’ll know their financial support always shows up on time, and that’s a
connection you can use to draw them into more regular participation.
For example, you might write to thank them for their contribution, and
extend a personal invitation to a special church event. Better yet, have
your pastor or a staff member call them and say, “We really appreciate
your financial support. What’s going on in your life? What can we do for
you? We’d love to have you help us with. . . .”
Still personal, and much safer
When you give a check to any organization, your sensitive account
information is vulnerable. In fact any check your church receives may
pass through as many as eight different people during processing. Plus,
each must be posted and deposited, which takes time. And funds won’t
be available to your church until someone gets to the bank.
With Online Giving, members set up their personal gifts and handle their
own account information in a secure environment. All account processing
between your bank, the member’s bank, and the payment processing
agency happens beneath security layers using encrypted data, so you’ll
never see their account numbers.
Online Giving offers secure basket-­‐to-­‐bank transparency not possible with check or cash donations. Online Giving donations post and deposit directly into your church bank
account accurately and automatically, giving churches what we like to
call “basket-to-bank transparency.” So not only are your online gifts
available much faster, your wonderful count teams and church staff will
save hours of manual adding, posting, and batch reconciling.
Parishioners will know their contribution, pledge, or payment went exactly
where they intended, which goes a long way toward achieving the trust
needed for sustained giving over time.
What every good online giving system should deliver
If your church is looking for an online giving system, use the checklist
below to find a system that meets the bill. ParishSOFT’s Online Giving
program meets all of these requirements and more!
o
Customizable, so it carries your church colors and logo and
communicates with donors using messages you can personalize
o
Comprehensive, so it handles pledge campaigns, offertory, all
special collections, and fees
o
Integrated, so online gifts can flow electronically to your contribution
management software
3 Why Online Giving Holds the Key to a Healthier Offertory
o
Web-based, so you can link to it from your church’s main Web site
and place links in email campaigns
o
Self-managed and easy to use, so donors can manage their own
accounts and access personal giving reports online 24x7
o
Flexible giving options, so donors can give when they want, from the
credit card or bank account they want
o
Automated notifications, so donors get payment reminders,
confirmations, and expiring credit card alerts
o
Security through encrypted account information and data storage
that meets the highest industry standards
For more information on how to get started with Online Giving, please
visit www.parishsoft.com, or contact John Biskner at 866-930-4774 x142
or [email protected].
About ParishSOFT
ParishSOFT offers a complete suite of church and diocesan
management software to connect people and the church and to reduce
administrative work. As of press time (May 2012), more than
900 churches using ParishSOFT’s Online Giving system were slated to
receive an estimated $85.3 million in direct-deposited, annualized giving.
Those numbers continue to grow daily. For more information about
ParishSOFT’s products and services, visit www.parishsoft.com or contact
Mike Cusick, Vice President of Sales and Marketing, at 866.930.4774.
825 Victors Way, Suite 200
Ann Arbor, MI 48108-2830
Web: www.parishsoft.com/onlinegiving
Phone: 866.930.4774
PubM877-MAY-2012
4 Why Online Giving Holds the Key to a Healthier Offertory