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Matching funds
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== Concept == In philanthropic giving, foundations and corporations often give money to non-profit entities in the form of a '''matching gift'''.<ref>{{cite web|url=https://www.crowd101.com/essential-questions-about-corporate-matching-gifts/|title=11 Essential Questions About Corporate Matching Gifts|last=Crowd101|date=September 2020 }}</ref> Corporate matches often take the form of employee matching gifts, which means that if an employee donates to a nonprofit, the employee's corporation will donate money to the same nonprofit according to a predetermined match ratio (usually 1:1). For foundations, a matching gift is a grant made directly to a nonprofit on the condition that the nonprofit raises a set quantity of money before the grant is bestowed. The benefit of foundation matching grants is that they provide greater incentive leverage when a nonprofit is fundraising from its constituency. If a foundation approves a 1:1 matching grant, donors know that their dollars will be doubled. On the other side, foundations who give matching grants receive assurance of the nonprofit's capacity to raise adequate funds. Some companies facilitate the process, allowing employers to match the gifts of more than 18 million individual employees across the United States.<ref>{{cite web|title=5 Matching Gift Stats That All Fundraisers Should Know|date=26 May 2020 |url=https://blog.raisedonors.com/5-matching-gift-stats-that-all-fundraisers-should-know/}}</ref> A matching gift, typically a one-time charitable gift made by an employee and matched by the employer, should not be confused with an [[employer matching program]], which has to do with the employee's [[401(k)]] plan and [[retirement]].
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