A 50 50 raffle fundraiser is as simple as it sounds. Your supporters buy tickets, and at the end, one lucky winner gets half the money collected. The other half goes straight to your cause. No fancy prizes. No complicated rules. That’s what makes it one of the fastest and easiest ways for schools, teams, charities, and nonprofit community groups to raise cash when they need it.
If you’re feeling a little unsure about how to do it, don’t sweat it. Here’s a clear, step-by-step guide that’ll make doing a 50 50 raffle fundraiser feel like it’s a piece of cake.
Imagine announcing to a room full of your supporters: “Tonight’s pot is now $2,000 – which means someone in this room is gonna win $1,000 cash!” That appeal – the chance to win real money and supporting something meaningful – makes these raffles popular at everything from school fundraising events to professional sporting events.
💡 Why It Works
The genius of a 50-50 raffle is in how simple it is. With raffle tickets typically ranging from just $1 to $10, nearly anyone can play. Unlike a traditional raffle where you need to find donated prizes (and deal with the headache of finding items people actually want), the prize is actually created by your supporters.
Plus, it’s kind of cool watching the prize pool grow in real-time. As more tickets are sold, both the nonprofit and the potential winner benefit – the win-win that’s hard to match with most other fundraising methods.
Legal Requirements Before You Start Your Fundraiser
Ah, there’s always a catch. Before you start dreaming about how you’ll spend your half of the proceeds, let’s tackle the not-so-fun but absolutely critical part: making sure your raffle is legal. Oh, damn.
Check Local and State Laws
Here’s where many well-intentioned fundraisers stumble. In the United States, raffle laws vary dramatically from state to state, and yes, a 50-50 raffle is technically considered a form of gambling because you’re paying for a chance to win, and no skill is involved.
According to the National Council of Nonprofits, most states require some form of gaming license or permit even for charitable organizations. Some states are relatively lenient, while others have strict regulations or may prohibit certain types of raffles altogether.
For example:
- In New York, only registered nonprofits can legally hold a raffle, and they need a special permit
- Texas allows qualified organizations to run raffles, but limits them to two per year
- Alabama strictly prohibits most raffles regardless of charitable intent
🚨 Key Compliance Issues
Beyond basic licensing, here are crucial legal stuff you can’t ignore:
- Age restrictions: In most places, participants must be 18 or older
- Required disclosures: You must clearly state the chance of winning (if calculable), details about your organization, and how proceeds will be used
- Tax implications: Both the organization and the raffle winner may have tax reporting requirements
Tip: If swimming these legal waters sounds intimidating, consider consulting with a lawyer who specializes in nonprofit law. The few hundred dollars spent on legal advice could save you thousands in potential fines and protect your organization’s reputation.
📋 Planning Your Raffle Fundraiser: A Complete Walkthrough
🎯 1. Set Clear Fundraising Goals
Before selling a single raffle ticket, ask yourself: what are we trying to accomplish? Having a specific, tangible fundraising goal does two important things. First, it helps you determine how many tickets you need to sell. Second, it gives participants a concrete reason to buy in.
For example, “Help us raise $5,000 to fund 10 new laptops for our community library” is much more compelling than just “Support our organization.”
When people know exactly where their money is going, they’re more likely to participate generously—even if they don’t win the cash prize.
🌐 2. Choose the Right Event or Platform
50-50 raffles work brilliantly when paired with existing events where people are already gathered and in a social, generous mood:
- School sporting events
- Community festivals or fairs
- Charity galas or auctions
- Concert or theater performances
Can’t host an in-person raffle? No problem! Online platforms like RallyUp, Eventgroove, or Rafflecreator allow you to run an online raffle, expanding your reach beyond physical limitations. Creating an online event page can significantly boost your ticket sales potential.
💰 3. Budget Everything
Even simple fundraising endeavors have expenses. Plan for:
- Ticket printing: Basic tickets might cost $30-$50 per 1,000, while custom tickets with your organization’s branding will cost more
- Legal fees: Budget $100-$500 depending on your location
- Marketing materials: Flyers, posters, social media ads, and promotional emails might cost $50-$150 minimum
- Platform fees: If running a virtual event, expect to pay either a flat fee or percentage of sales
- Credit card processing fees: Typically 2.5-3% for online raffle ticket sales
💲 Best Ticket Sales Strategy: Setting the Perfect Price
🏷️ Pricing Tickets
Finding the sweet spot for raffle ticket price can make or break your fundraiser. Price too high, and you limit participation. Price too low, and you might not raise meaningful funds.
Most successful fundraising raffles use this strategy:
- Single raffle ticket: $2-5
- Bundle pricing: 6 for $10 or 25 for $20
This tiered approach encourages people to spend a bit more than they might have originally planned. After all, who can resist getting “bonus” chances to win?
| Ticket Package | Price | Value Per Ticket | Savings |
|---|---|---|---|
| Single Ticket | $2 | $2.00 | – |
| 6 Tickets | $10 | $1.67 | 17% |
| 15 Tickets | $20 | $1.33 | 33% |
| 40 Tickets | $50 | $1.25 | 38% |
🛒 Where and How to Sell Tickets
In-person sales strategies:
- Put volunteers at entry/exit points
- Have sellers wander through the crowd during natural breaks
- Set up dedicated booths in high-traffic areas
- Accept both cash and mobile payment options (Venmo, Cash App, etc.)
Ways to sell raffle tickets online:
- Embed purchase tickets links in email newsletters
- Create dedicated social media posts with direct links
- Feature the raffle prominently on your organization’s website
- Send text message reminders to previous supporters
📈 Tips for High Volume Sales
Want to sell more tickets fast? Try these proven tactics:
- Incentivize sellers: Offer a small prize to the volunteer who sells as many tickets as possible
- Create urgency: “The pot is already at $3,000 – don’t miss your chance to win!”
- Visual updates: Display a real-time tracker of the growing prize pool
- Early bird bonuses: First 50 buyers get a free raffle ticket
🏆 Drawing and Awarding the Prize: Creating a Trustworthy Process
🎯 Drawing Rules
This is where being completely open becomes absolutely necessary. To maintain trust and credibility for your raffle draw:
- Use genuinely random selection methods (drawing drum, random number generator, etc.)
- Have the drawing witnessed by multiple people, preferably including someone not connected with your nonprofit
- Announce the drawing time and location in advance
- Consider livestreaming your raffle event for complete openness
💵 Handling the Payout
Once you have a winner, handle the money with care:
- Pay out immediately if possible (have checks ready or use mobile payment apps)
- For larger amounts, consider a bank check rather than cash
- Get a signed receipt from the winner
- Take a photo (with permission) for your social media announcement
- Prepare tax documents if the raffle prize amount exceeds $600 (IRS requirement in the US)
💻 How to Create an Online Raffle: Using a Fundraising Platform to Maximize Sales
📣 Promote Your Raffle Effectively
Build anticipation with smart pre-event marketing:
- Start promoting at least 2-3 weeks in advance
- Create social media posts that emphasize both the chance to win and the cause being supported
- Share stories about the impact the funds will have – make it personal and emotional
- Consider a “foundation amount” to start the pot (e.g., “Starting pot already at $500!”)
🎪 During the Event
Keep excitement going with these in-the-moment methods:
- Provide frequent updates on the growing pot size
- Use visual representations like thermometers to show progress toward your fundraising goal
- Have organizers or notable participants publicly buying tickets
- Consider “flash sales” – “Next 15 minutes: Buy 10 tickets, get 5 free!”
🎉 After the Event
Your work isn’t done when the winner is announced:
- Publicly thank everyone who participated
- Share the final amount raised
- Tell the winner’s story (with permission)
- Document how the funds were used and share updates
- Start teasing the next raffle fundraiser if applicable
⚠️ Common Mistakes in Fundraising and How to Avoid Them
📜 1. Ignoring Licensing
This is not a corner you want to cut. A Michigan PTA learned this lesson the hard way when they were slapped with a $5,000 fine for running an unlicensed raffle. Even though they were raising money for a good cause, the state gaming commission didn’t look the other way.
Solution: Research requirements thoroughly and budget for any necessary permits or licenses.
📊 2. Poor Record Keeping
Imagine announcing a winner only to realize you’ve lost track of who purchased which ticket numbers. Nightmare scenario, right?
Solution: Create a simple but complete system for tracking:
- Ticket number ranges assigned to each seller
- Names and contact information of buyers
- Which ticket numbers correspond to which buyers
- Total money collected by each seller
🥇 3. Forgetting to Promote the Winner
When you don’t publicly announce the winner, people start to wonder if there actually was one. This can damage trust for future fundraisers.
Solution: With the winner’s permission, share their photo, name, and perhaps a quick quote about winning. This proves the legitimacy of your raffle and creates excitement for the next one.
💫 Advanced Ideas to Boost Raffle Entries: Fresh Fundraising Ideas to Raise More
🎰 Run a “Second Chance” Drawing
Keep everyone engaged until the very end by automatically entering non-winners into a smaller secondary drawing. The prize could be donated goods or services from local raffle prize ideas that cost your organization little or nothing.
🎁 Offer Bonus Prizes
Incentivize early participation by offering small guaranteed prizes to the first X number of buyers. These don’t need to be expensive – branded merchandise, gift cards from sponsors, or even “VIP treatment” at your fundraising event can work wonders.
🔄 Create a Matching Prize Pool
Partner with a local business to match the prize pool up to a certain amount. This creates a powerful selling point: “For every dollar in the pot, Community Bank will add another dollar up to $5,000!” This can be a great way to raise funds quickly.
❓ FAQ
How much should we charge per ticket if we want a bigger prize pool?
While it’s tempting to set a higher price for raffle tickets to generate bigger payouts, accessibility often trumps individual ticket price. Most successful raffles find that lower-priced tickets ($2-5) with volume discounts (like 5 for $10) result in higher overall sales. Remember, your goal is to sell tickets to as many participants as possible!
Can the raffle be open to people outside our state or country?
This gets tricky. Many states allow online raffle ticket sales have expanded potential reach, but gambling laws typically restrict participation to the jurisdiction where the raffle is licensed. Some states explicitly prohibit selling tickets online, while others allow you to sell raffle tickets online only to residents. Always check local regulations before expanding your reach.
What happens if not enough tickets are sold?
Unlike some fundraisers with minimum thresholds, a 50-50 raffle always works regardless of the amount of raffle tickets sold – the split remains the same. However, to avoid disappointment, consider setting a “guaranteed minimum prize” that your organization will cover if sales don’t reach expectations.
Can volunteers or staff win the raffle?
This depends entirely on your rules, but transparency is key. Many nonprofits prohibit board members, staff, and their immediate families from winning to avoid any appearance of impropriety. Whatever you decide, make the policy clear before selling begins.
Do we need to report the prize money to the IRS?
In the United States, if the prize exceeds $600, you must issue a Form W-2G to the winner and report the winnings to the IRS. The winner is responsible for including this as income on their tax return. For organizations, raffle proceeds are typically considered unrelated business income and may need special reporting.
How do we keep people from thinking the raffle is “rigged”?
Being completely open at every step is essential:
- Have neutral third parties witness the drawing
- Livestream or record the selection process
- Use truly random methods (not “the first ticket I pull”)
- Consider having a checking process for larger raffles
Can the organization keep 60% and give only 40% to the winner?
While technically you could adjust the split, I wouldn’t recommend it. The “50-50” concept is widely understood and trusted. Changing the ratio requires prominent disclosure and risks disappointing participants who expect the standard split. If you need to keep more, it’s better to cover costs separately rather than changing the fundamental prize structure.
How long should we sell tickets for before drawing a winner?
This depends on your event structure. For standalone raffles, 2-4 weeks is typical. For event-based raffles, sales might run just during the event (sporting event, gala, etc.). Longer selling periods allow for more promotion but can lose urgency; shorter periods create excitement but limit participation. Find your balance!
Can we offer electronic tickets instead of paper?
Absolutely! Digital tickets are increasingly popular and offer several advantages:
- Reduced printing costs
- Easy tracking and record-keeping
- Environmental benefits
- Instant delivery to buyers
- Simplified number generation
Just ensure your system generates unique numbers and provides buyers with clear confirmation of their entries.
🌟 Final Thoughts: Making Your Nonprofit Fundraising Raffle a Success
The beauty of a 50-50 raffle is its straightforward nature: everyone understands it, it’s easy to run, and it creates genuine excitement. When done right, it’s one of the few fundraising methods that feels more like entertainment than donation—and that’s fundraising gold.
Remember these keys to success:
- Do your legal homework
- Set clear, compelling fundraising goals
- Create systems for transparent operation
- Build excitement through strategic promotion
- Follow through with gratitude and impact reporting
Ready to watch those tickets fly? Your cause deserves this kind of enthusiastic support. A 50-50 raffle would be an excellent addition to your nonprofit fundraising strategy, providing a fun and effective way to raise funds for your mission.
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