Pledge tracking is an important aspect of fundraising, and using a nonprofit CRM can simplify the process. Donors commonly associate pledges with large capital campaigns, committing to give a set amount at regular intervals. Unlike recurring donations, nonprofits typically restrict pledges to a specific purpose and a fixed timeline.

If you are curious how a nonprofit CRM can help your organization track pledges you are in the right place. This article explores what pledges are and how tools in DonorSnap can help your nonprofit manage them effectively. 

What Are Pledges?

A pledge represents a donor’s promise to contribute a specific amount of money over a designated period. Pledges are often tied to major fundraising efforts such as capital campaigns for new facilities, renovations, or expanded programs. For example, if a nonprofit launches a one hundred thousand dollar capital campaign, a donor might pledge five thousand dollars per year for four years to help reach that goal.

Pledges provide nonprofits with a predictable revenue stream, helping them plan long term projects more effectively. However, to maximize these commitments, organizations must have a system in place to track and manage them properly.

Do Nonprofits Need to Track Pledges Separately from Donations?

Pledges should be tracked differently than standard donations. This is because they are broken out into individual payments. They differ from recurring payments in that they usually have a set end date. There are also different accounting implications for pledges vs. recurring payments. 

Tracking and managing pledges effectively ensures the success of capital campaigns. Without a clear system, nonprofits risk losing track of payments, missing opportunities to engage with donors, or jeopardizing relationships due to inadequate follow-ups. This is where a nonprofit CRM like DonorSnap becomes invaluable by offering tools that streamline the pledge management process.

How Can DonorSnap Help Track and Manage Pledges?

DonorSnap simplifies pledge management through our pledge management tools. Every donor profile has a pledge tab in their contact record. When a donor makes a pledge, it is entered as a pledge vs. a donation for the system  to accurately track relevant details. Nonprofits can easily record pledge details, including the total amount pledged, payment frequency, and due dates. The system also allows organizations to set up automated reminders, ensuring no payment or milestone goes unnoticed.

Pledge Reports in DonorSnap

Keeping track of pledges helps nonprofits run more successful pledge campaigns. Pledge reports in nonprofit CRMs allow nonprofits to maintain accurate records of the pledges and prevent errors or missed opportunities. 

DonorSnap offers the following reports to help nonprofits stay organized:

Giving Report

This report, found under the Pledge Activity reports tab, displays all one time donations, pledge payments, and anticipated pledge payments related to specific campaigns or appeals. The report includes subtotals that show actual dollars given and pledge payments outstanding. It provides a comprehensive view of a capital campaign’s progress, helping organizations assess fundraising efforts at a glance.

Pledge Aging Report

The Pledge Aging Report tracks outstanding pledge payments, categorizing them by how late they are, thirty, sixty, or ninety days past due. This allows nonprofits to follow up on missed payments promptly, ensuring donor commitments are fulfilled.

Pledge Forecasting Report

This report predicts future pledge payments, helping nonprofits plan their budget and allocate resources effectively. Understanding anticipated revenue and when those funds are expected to come in enables better financial management and strategic decision making.

Should You Remind Donors About Their Pledge Payments?

Yes! Regular reminders help donors stay on track with their pledge commitments. Even well intentioned donors may forget scheduled payments, so sending timely notifications is essential.

With DonorSnap, nonprofits can send out pledge reminders in two ways:

• Automated donor emails that send scheduled reminders directly to donors
• Internal notifications that notify team members to send personalized follow ups

Personalized reminders can be especially effective. Updating donors on how their pledge is making an impact, such as funding a new community center or reaching a fundraising milestone, can deepen their commitment and encourage continued giving.

Should You Thank Donors After Every Pledge Payment?

Absolutely. Expressing gratitude is a cornerstone of donor stewardship. Each payment toward a pledge represents a reaffirmation of the donor’s commitment to your mission. Acknowledging their contributions promptly and personally reinforces their decision to support your organization and increases the likelihood of continued engagement.

How Can You Thank Pledge Donors with a Nonprofit CRM? 

With DonorSnap, nonprofits can create personalized thank-you messages for their pledge donors. After each gift is received, the system can process a thank you letter stored as a batch code in DonorSnap. There are many ways you can customize your acknowledgments for pledge donations. Referencing how their pledges have inched you closer to your total goal and what you have accomplished so far, are great ways to personalize the message and keep supporters engaged. 

The use of our Contribution Statement reports is also a useful tool for pledge donors. Nonprofits can generate Contribution Statements, or year-end tax statements, in DonorSnap and print or email them to supporters. These statements are super helpful for your donors when preparing their taxes, especially if they have given to your organization more than once during the year. 

Final Thoughts

Pledge management is more than just tracking payments. It is about building and nurturing relationships with your donors. By using a CRM like DonorSnap, nonprofits can ensure that every aspect of the donor experience, from reminders to acknowledgments, is meaningful. This not only helps achieve fundraising goals but also fosters a loyal donor base that will support your mission for years to come.

When donors see that their contributions are appreciated and making a difference, they are more likely to renew their commitments, increase their giving, or recommend your organization to others. With the right tools and strategies in place, managing pledges can become an opportunity to deepen connections and drive your mission forward.