You asked, and we have answers. Many people have reached out to One4All via Facebook, Twitter, and email wanting to know more about how it works (keep those questions coming!). We piqued your interest with our flashy new Corvette of a social giving website (okay, more like a Hybrid), and now you want to take a look under the hood. So we developed frequently asked questions about One4All.
Can I ask you some questions?
What is One4All?
That, my friend, is a good question. The quick answer is that we’re a social giving website where individuals can manage their donations via their own personal charitable fund.
How are you different from some of the other giving sites like Causes or Crowdrise?
Hopefully it’s obvious when you jump into the site, but the basics are this:
- Most giving sites are focused on helping people raise money with campaigns. We believe that you don’t have to be an active fundraiser to be a good person. Of course, many of our users are very active givers. They fundraise a ton, they mobilize their friends, etc., but not all of us are like that. So, we built One4All for all of us, not just the active givers.
- Also, we put you in the center of the conversation. We believe the world of philanthropy revolves around you. This is your giving account.
- One4All is not simply a one-time fundraising website. We believe that sustained giving equates to sustained happiness, which equates to more empathy and a better society.
- We also think it’s pretty cool to say “I’m a philanthropist,” which means capturing all the different ways you give.
Got it. So, are you a non-profit or a for-profit?
We are both. There are two separate companies involved in One4All: (1) One4All, Inc. (a for-profit company), and (2) the One4All Charitable Fund (a company pending nonprofit status).
Why two companies?
One4All, Inc. exists because we believe we can build the next great social media company around the core human need of giving to others.
The One4All Charitable Fund was formed as a separate company to administer the distribution of donations for One4All account holders, as well as to focus on educating donors on effective giving, etc.
Okay. So how do I use One4All?
We’re glad you asked. We think the best way to give to charity is to make a commitment on a monthly basis. How much is up to you. We don’t judge. So the first step is to fund your One4All account.
When you fund your account, the money goes into the One4All Charitable Fund. The Fund is a Donor Advised Fund (or as they are called in the world of philanthropy, a “DAF”). DAFs are very popular giving tools for wealthy people. They are administered by your local community foundation (like Silicon Valley Community Foundation or The Seattle Foundation). You can also open a DAF at Fidelity Charitable Fund or Schwab Charitable Fund, for example.
What if I don’t want to fund my account and just want to give gifts when I feel inspired?
You can do that.
Are my donations tax deductible?
In practice, yes. When you make a deposit into your One4All account, that full amount is deductible. That said, the One4All Charitable Fund is waiting for the IRS to approve its tax exempt status. As long as that happens in 2013, funds deposited into your account this year are tax deductible.
If the Fund does not get its tax deductible exemption, you cannot write off your donation. However, 100% of your donation is still going to the charities of your choice. If you are interested in a primer on how one should think about charitable giving and tax deductions, here’s a great article from Smart Money.
I funded my account – what’s next?
This is where it gets fun. The One4All Charitable Fund is waiting for you to advise it on which nonprofit(s) will receive the money. We have every single 501(c)(3) nonprofit in One4All (about 1 million), and we update the list on a monthly basis directly from the IRS. So your favorite local charity is here.
We help you discover charities and fundraisers that are trending in your local communities or by types of causes (animals, the environment, homelessness, etc.). You follow your friends and discover new giving opportunities through them, too.
What are different ways to make donations to charities?
There are several ways you can give…
- Set up automatic monthly donations to your favorite nonprofits.
- Or donate directly to any nonprofit on-the-fly, in increments as little as $5. Simple, one-touch giving.
- Donate to friends’ fundraisers that they run in One4All.
- You can even tell the fund to defer your choice of charity to a friend in the form of a gift. “Jessica, it’s your birthday. Here’s a gift of $20 to give to any charity you want!”
What’s the smallest donation I can make?
Currently, we go as low as $5 and up to $11…(just kidding on the $11. You can donate as much as you’d like).
When I make a gift to a nonprofit, are they going to start marketing to me?
No. The only thing we send them is your first and last name and the amount. You can opt to share your email address with them if you’d like. You can share as much detail as you’d like with them, but that is your choice.
Do my friends see how much I give?
No. The only time they see it is when you make a donation to a fundraiser in One4All.
Does the site track all my receipts for the end of the year?
Yes. All your donations are tracked. Here’s the cool part. Remember, when you fund your account, you’re making a donation to the One4All Charitable Fund…it’s one receipt. That receipt has all the details of the gifts you make to individual nonprofits, but for the sake of getting deductions at the end of the year, it’s one receipt. Pretty cool.
I just thought of something. How much money actually goes to the nonprofit?
We explain how we make money a few questions later. What you need to know is that we don’t make money on the donations. That being said, there are, however, transaction fees associated with allowing users to make PayPal or credit card payments.
Currently, the way we pay for the transaction fees is via a processing fee on your donation that is roughly 4%. When you put money into your account (say $100), we ask you to pay a processing fee. (So, you’d be charged $104.) The assumption is that you want the full $100 going to charity.
Wait, wait, wait. Why am I paying 4% or so to give donations?
The only way to avoid the % is if you write a check to nonprofits (however, they really don’t want to process checks of $5, $10, $20; it’s a pain for them). If you donate on their website, they have to pay the processing fees, which adds 3-4% to their operating costs. If you text to them, up to 40% will come out! If you donate to them on other giving sites, 4.5% to 15% will come out. With One4All, nonprofits receive 100%. This is huge for charities.
Now, all of this being said, we are working to get the 4% reduced to 0%. Wouldn’t it be awesome if a national foundation came in and sponsored the fee? We’re also looking at lower cost ways of getting money. Point is, this is standard stuff and we’re just as frustrated with it as you are, but that’s how the world of processing payments works right now.
Okay, when does the money actually get to the nonprofit?
We send all the donations to the charities at the end of each month. If a thousand people give $5 each to a single charity, we send $5,000 to the charity. If, however, the total amount across all our users for one charity is not at least $25, we will hold it until it gets to that amount.
How do you guys make money?
As you know from above, we don’t make anything from the donation itself. We learned that nonprofits spend around $21 billion a year marketing to all of us. They are trying to attract you as a donor. We think One4All is a much more effective way of engaging donors. Nonprofits have the option of claiming their One4All pages, which allows them to run fundraisers, thank their donors, highlight individual programs and much more.
At the same time, employers are spending billions of dollars a year with employee matching. For example, companies like Microsoft, Apple and Google will match the giving of their employees, up to $10k+ a year. We can help smaller- to medium-sized companies set up and run a matching program, and they’d pay us a fee for that capability.
The bottom line is that everyone wins and it’s all based on the idea of making this about you.
Well, I gotta say this sounds pretty cool.
We were hoping you would say that.
Can you give me the play-by-play of what you want me to do?
- Log in via Facebook.
- Search for, discover and “favorite” charities.
- Find and invite friends to join you at One4All.
- Pick an amount you want to give every month and set up automatic funding into your One4All account.
- Set up any recurring monthly gifts you want to make to your favorite charities (nonprofits love recurring/monthly donations, because it makes their cash flow more predictable).
- Explore and discover all the ways you can give throughout the month.
- At the end of each month, take some time to pat yourself on the back and know you’re making a difference.
I have a few more detailed questions…
You’re asking me to log in with Facebook. Are you going to post to my Facebook page?
No. We don’t post anything to Facebook unless you tell us to. You can post to your Facebook page when you make donations, start a fundraiser, etc., but that is up to you.
The value of signing in with Facebook is that you can invite friends, you can post if you want, you’ll be able to see all your friend’s birthdays within One4All…make your charitable side a part of your social side.
What if I want to make a $50 gift to a charity, but I only have $25 in my One4All fund?
No problem. When you make the donation, you’ll have an opportunity to add the additional funds via PayPal or a stored credit card.
Make it this far? Wow, you’re either really bored or really excited about One4All. We hope it’s the latter. Let us know how we can provide further assistance at email@example.com, Facebook, Twitter, and Google+.