Fundraising Profit Calculator

| Added in Business Finance

What is Fundraising Profit and Why Should You Care?

Fundraising profit is the amount remaining after subtracting all event costs from the total money raised. It measures the true effectiveness of your fundraising efforts.

Understanding your profit helps evaluate strategies, plan budgets, and maximize the impact of future campaigns.

How to Calculate Fundraising Profit

The formula is straightforward:

$$\text{Profit} = \text{Total Earned} - \text{Total Costs}$$

Where:

  • Total Earned is all income from the fundraising event
  • Total Costs is every expense incurred to run the fundraiser

Calculation Example

Example 1: Charity Bake Sale

  • Total Fundraising Earned: $8,000
  • Total Fundraiser Costs: $2,500

$$\text{Profit} = 8000 - 2500 = 5500$$

Example 2: Community Talent Show

  • Total Fundraising Earned: $12,000
  • Total Fundraiser Costs: $4,800

$$\text{Profit} = 12000 - 4800 = 7200$$

Event Comparison

Event Type Raised Costs Profit Margin
Bake Sale $8,000 $2,500 $5,500 68.8%
Talent Show $12,000 $4,800 $7,200 60.0%

Frequently Asked Questions

Include all expenses such as venue rental, marketing materials, food and beverages, staff time, permits, decorations, and any supplies or equipment used for the event.

Reduce costs by seeking donated goods and services, using volunteers, leveraging free marketing channels, and choosing cost-effective venues. Increase income through corporate sponsorships and matching gifts.

Aim for a profit margin of at least 50 percent, meaning you keep more than half of what you raise. Galas typically achieve 40-60 percent while product sales may be lower at 20-40 percent.

Tracking profit helps evaluate which events are most effective, guides future planning decisions, and ensures you maximize the impact of your fundraising efforts for your cause.