Why it matters
Restricted gifts are a promise. Spending them on something else, even for a good reason, can damage trust and create problems with your auditor. Track each restriction from the day the money arrives until it is fully spent.
Too many restricted gifts can also squeeze your operating budget. When you can, invite donors to give where the need is greatest, and save restricted asks for projects you were going to run anyway.
How Steward shows it
In Steward, a fund can be marked restricted when a donor or grant restricted it. Every gift carries a fund, and restricted money shows what was received, what was spent and what remains, with any overspend shown plainly.
Related terms
- Unrestricted gift An unrestricted gift is a donation with no limits on how it is used. Your organization can spend it wherever the need is greatest, including salaries, rent and programs.
- Gift acceptance policy Gift acceptance policy means a board-approved document setting out which gifts a nonprofit will accept, which it will refuse, and who decides the unusual ones, such as property, stock, vehicles or gifts with conditions.
- Capital campaign Capital campaign means a fundraising effort with a set goal and deadline to pay for something big and lasting, such as a building, a major renovation or an endowment, usually on top of the annual fund.
The free Lost & Found audit reads a giving export in your browser and shows your lapsing donors and what they used to give. Nothing is uploaded. Then bring the same file to a 20-minute demo.