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How is Zeffy free?
How is Zeffy free?
Zeffy relies entirely on optional contributions from donors. At the payment confirmation step - we ask donors to leave an optional contribution to Zeffy.
Verdict: PayPal's donate button is fast to set up and familiar to donors, but fees, missing tax receipts, and off-site checkout are real drawbacks — especially if you haven't applied for Confirmed Charity status.
What works: Quick HTML embed, donor brand recognition, international payments, secure PCI-compliant processing.
What doesn't: Donors leave your site to give, no automated IRS-compliant tax receipts, fees apply to every gift (2.89% + $0.49 standard; 1.99% + $0.49 only with Confirmed Charity status), limited donor data ownership.
Best for: Nonprofits with an existing PayPal donor base who want a familiar, low-setup giving option.
Worth considering if: You want 100% of every donation to reach your mission — Zeffy charges $0 in fees and still accepts PayPal as a donor payment method at checkout.
Upgrade to a PayPal Business account (free), then build a Donate button at paypal.com/buttons.
To get the 1.99% + $0.49 charity rate, you must apply for PayPal Confirmed Charity status with your 501(c)(3) docs. Without it, you pay the standard Donate Button rate of 2.89% + $0.49.
Embed the generated HTML on WordPress, Wix, Squarespace, Shopify, or any custom site.
Common issues: button not displaying, charity verification delays, mobile rendering, missing tax receipts (PayPal doesn't send them).
Zeffy completely replaces your PayPal donation button and covers all transaction fees, so 100% of every gift reaches your mission.
The PayPal donate button is one of the fastest ways for a nonprofit to start accepting online donations. Donors recognize the brand, the embed is a copy-paste job, and PayPal handles the payment processing. But the setup has a few quirks, and the fees you actually pay depend on a status most nonprofits don't realize they need to apply for separately.
This guide walks you through creating a PayPal donate button in six steps, embedding it on the most common website builders, fixing common issues, and understanding what you'll really pay. At the end, we'll show you how Zeffy offers a $0-fee parallel, including for donors who still want to pay with PayPal.
A PayPal donate button is a button you embed on your website that routes donors to a PayPal-hosted checkout to complete their gift. PayPal processes the transaction, deducts its fee, and deposits the remainder in your PayPal Business or Charity account.
It's familiar to donors and quick to set up, but it has tradeoffs: donors leave your site to give, you don't get IRS-compliant tax receipts automatically, donor records live inside PayPal (not a CRM you control), and the fee you pay depends on whether PayPal has confirmed your 501(c)(3) status. We'll cover all of that below.
How to create a PayPal donate button in 6 steps
PayPal's Donate button works with all major credit and debit cards and can be placed anywhere on your website. Once it's built, donors are routed to PayPal's checkout to complete payment.
1. Create or upgrade to a PayPal Business account
You need a PayPal Business account to create a Donate button. If you currently have a personal PayPal account, upgrade it (it's free) — personal accounts cannot generate Donate buttons and using one for nonprofit donations creates tax and compliance problems.
Go to PayPal.com and click Sign Up, or log into your existing account and select Upgrade to Business Account.
Choose Business Account and enter your nonprofit's legal name, EIN, address, and contact details.
If you're a registered 501(c)(3), separately apply for PayPal Confirmed Charity status. This is the gate to the discounted 1.99% + $0.49 charity rate. Without it, your Donate button charges the standard 2.89% + $0.49 — see the fee section below.
Charity confirmation requires uploading your IRS determination letter and can take a few weeks. Start it before you launch the button if fee savings matter to your budget.
Sign in with the Business account you just created or upgraded.
Select Donate from the list of button types.
3. Choose the button style
Pick your country and language so donor checkout shows the right currency and copy.
Select one of PayPal's pre-designed donate buttons, or upload a custom image (PNG, JPG, GIF, or BMP). A button that visually matches your site usually converts better than the stock PayPal pill.
Click Continue.
4. Set up the donation page
Upload your organization's logo and a cover image. These appear on the PayPal-hosted checkout your donors will see.
Add a short description of your nonprofit's purpose (optional but recommended — donors landing on PayPal want reassurance they're in the right place).
Choose between a pop-up or full-page donation experience. Pop-ups keep donors on your site visually; full-page redirects to PayPal.
Click Continue.
5. Customize donation details
Set the primary currency.
Configure preset donation amounts (for example, $25 / $50 / $100 / $250) and decide whether to allow a custom amount.
Enable recurring monthly donations if you want donors to be able to opt in.
Toggle fee coverage — letting donors voluntarily add a small amount to offset the processing fee.
Optionally let donors designate their gift to a specific program or fund.
Click Build It and then Save.
6. Get the embed code
Copy the generated HTML snippet to paste into your website (next section walks through each builder).
Grab the shareable URL for use in social posts, email signatures, and newsletter campaigns.
Download the QR code for print collateral, event signage, and direct-mail appeals.
How to add your PayPal donate button to your website
PayPal generates a standard HTML
snippet. Every modern website builder accepts it, but the steps differ. Here's how to embed it on the platforms most nonprofits use.
WordPress
If you're on the block editor (Gutenberg): add a Custom HTML block to the page or post where you want the button, paste the PayPal snippet, and preview. The button renders on the front end, not in the editor.
If you're on a classic theme or want it in a sidebar / footer, paste the snippet into a Custom HTML widget under Appearance > Widgets. Several free PayPal Donations plugins exist if you'd rather configure the button inside WordPress, but for a single embed the Custom HTML block is the simplest path and doesn't add a plugin dependency.
Wix
In the Wix editor, click Add Elements > Embed Code > Embed HTML. Paste your PayPal HTML into the Custom Code window, click Update, then drag the embed box to position and resize it. Publish the site for the button to go live — embeds don't render in the editor preview.
Squarespace
Edit the page where you want the button and add a Code Block (Insert > Code). Make sure the language is set to HTML and the "Display Source" toggle is off. Paste the PayPal snippet and save. The button appears immediately on the published page.
Shopify
Shopify is built for product checkout, so embedding a PayPal Donate button is less common, but it works. Add a Custom Liquid section to the page where you want it (Online Store > Pages > Add Page, or edit your theme), and paste the PayPal HTML. If your theme strips form tags, paste the snippet into a Custom HTML block instead.
Custom HTML or static sites
Open the HTML file for the page where you want the button, paste the PayPal snippet anywhere inside the where you want the button to render, and deploy. No additional libraries or dependencies needed — PayPal hosts the checkout, your site just hosts the button.
What you'll actually pay: PayPal donate button fees
This is the part most setup guides get wrong. PayPal advertises a 1.99% + $0.49 nonprofit rate, but that rate only applies if two things are true: your organization has been granted PayPal Confirmed Charity status, and donations flow through PayPal's charity checkout. Without confirmed-charity status, the standard PayPal Donate Button rate is 2.89% + $0.49 per transaction.
What that means in practice, assuming a $50 average gift:
$10,000 raised at the 2.89% + $0.49 standard rate $387 in fees (roughly 200 transactions $0.49 plus 2.89% of $10,000).
$10,000 raised at the 1.99% + $0.49 confirmed-charity rate $288 in fees.
$10,000 raised with Zeffy: $0 in fees. The full $10,000 reaches your mission.
To model your own numbers: a nonprofit raising $25,000 annually saves $547 by using Zeffy instead of PayPal at the confirmed-charity rate — and more than $700 compared to the standard rate.
Heads up: if you signed up with a regular PayPal Business account and never separately applied for Confirmed Charity status, you're paying 2.89% + $0.49 — not the charity rate. Check your account verification page and submit your 501(c)(3) determination letter to PayPal if you haven't.
Pros of using a PayPal donate button
Donor familiarity and trust. Hundreds of millions of people have a PayPal account. Seeing the logo at checkout reduces hesitation, especially for first-time donors who don't recognize your organization.
Fast setup with no developer needed. Build, copy, paste. No code beyond a single HTML snippet.
Secure and PCI-compliant. PayPal handles fraud detection, encryption, and card data — none of that liability sits with your site.
International donations. PayPal accepts payments in dozens of currencies and converts them, which is useful for organizations with overseas supporters.
Integrations. PayPal connects to many CRMs and accounting tools (QuickBooks, Salesforce via third-party connectors, Mailchimp through Zapier), though the depth of integration varies.
Many users find PayPal easy to use and appreciate its buyer and seller protection policies. PayPal also offers competitive exchange rates for international transactions and has integral features for businesses to accept payments online. — Sameer A., Plan General Manager
Cons of using a PayPal donate button
Donors leave your site to give. Every donor is redirected to PayPal-hosted checkout, which breaks the branded experience and adds friction. Zeffy embeds the donation form directly on your site.
Limited branding. You can upload a logo and cover image, but the checkout still reads as PayPal, not as your nonprofit. There's no way to fully customize colors, fields, or follow-up messaging.
Processing fees on every gift. 1.99% + $0.49 at best, 2.89% + $0.49 if you don't have Confirmed Charity status. Over a year, that's hundreds to thousands of dollars off your mission.
No automated tax receipts. PayPal sends a payment confirmation, not an IRS-compliant 501(c)(3) tax receipt. You have to generate and send receipts manually, or pay for a separate tool. Zeffy sends compliant receipts automatically.
No built-in donor management. Donor records live in PayPal's transaction list — not a CRM. Exporting and reconciling is manual work, and you don't get segmentation, donor history views, or campaign attribution.
Limited reporting and analytics. Basic transaction exports only. No funnel data, no source tracking, no campaign-level performance.
Recurring donation limits. PayPal's recurring options are narrower than dedicated fundraising platforms — fewer cadences, less retry logic when a card fails, and donors can cancel inside their PayPal account without notifying you.
Donor data ownership. Donor email addresses and contact info aren't always passed through cleanly. You may have donors whose only record is a PayPal transaction line.
PayPal does not allow flexibility when it comes to recurring donations. Since we are a church, many members like to pay their tithes and offerings online and several have asked for automatic giving through PayPal and they do not allow as many options as some other platforms out there. We also dislike the tighter fees when cards are processed manually (instead of swiping or using the chip). — Katelyn C., Executive Administrative Assistant
Common PayPal donate button problems and how to fix them
The button isn't displaying on my website
Usually the embed code is being stripped by your editor. Make sure you pasted it into an HTML / Custom Code / Code Block component, not a regular text block. On WordPress, check that your theme or a security plugin isn't filtering out tags. On Wix and Squarespace, the button only renders on the published site — not in the editor preview.
Donors are seeing error messages at checkout
The two most common causes are an incomplete PayPal Business account (missing verification, no linked bank) or a button that was built before the account finished setup. Rebuild the button after confirming your account is fully verified, then replace the old embed.
Funds aren't appearing in our account
Check whether donations are routing through PayPal Giving Fund. PayPal Giving Fund disburses through a separate intermediary on its own monthly schedule, which can delay funds by several weeks. Confirm in your Donate button settings that gifts are going directly to your Business account, not through Giving Fund, unless you specifically opted into that flow.
Charity verification is taking forever
PayPal Confirmed Charity reviews can take several weeks. Make sure you uploaded a clear copy of your IRS 501(c)(3) determination letter, that your legal name on PayPal exactly matches your IRS records, and that your address is current. If it's been more than four weeks, contact PayPal support directly — the queue often needs a nudge.
The button looks broken on mobile
PayPal's stock button is fixed-width and can overflow narrow containers. Wrap the embed in a container set to max-width: 100%, or upload a smaller custom button image at step 3 of the build flow.
Donors aren't getting tax receipts
That's expected — PayPal doesn't send IRS-compliant tax receipts. You have to generate them yourself, use a CRM that does, or switch to a platform that handles it automatically.
PayPal donate button vs a $0-fee alternative
If the fee math above made you wince, it's worth comparing PayPal's Donate button to a free alternative side-by-side. We'll keep this short — for a deeper alternatives comparison see our PayPal alternatives guide.
Feature
PayPal Donate Button
Zeffy
Transaction fees
2.89% + $0.49 standard / 1.99% + $0.49 if Confirmed Charity
$0 — completely free
Setup difficulty
Easy (HTML embed)
Easy (form embed or hosted page)
Donor stays on your site
No (redirect)
Yes (embedded form)
Automated IRS-compliant tax receipts
No
Yes
Built-in donor CRM
No
Yes
Recurring donation retention tools
Limited
Yes
Best for
Orgs with existing PayPal donor base who want familiarity
Nonprofits who want every dollar to reach the mission
Why nonprofits choose Zeffy as a free alternative to PayPal
Zeffy is a 100% free fundraising platform built specifically for nonprofits. There are no platform fees, no transaction fees, and no monthly subscription. Zeffy completely replaces your PayPal donation button and covers all payment processing fees on our end — so on $10,000 raised, PayPal charges you $288 to $387 depending on your status, and with Zeffy you keep the full $10,000.
More than 100,000 nonprofits use Zeffy, and the platform has helped move over $2B to causes with zero fees deducted. Sports clubs, churches, animal rescues, food banks, and arts organizations have all replaced PayPal Donate buttons with Zeffy and reinvested the savings directly into programs. A nonprofit raising $25,000 annually saves $547 by switching from PayPal's confirmed-charity rate to Zeffy — money that goes back into programs instead of processing fees.
With Zeffy, your nonprofit gets:
Embedded donation forms (donors stay on your site)
Automated, IRS-compliant tax receipts
Built-in donor CRM with full transaction and contact history
Recurring donations with retry logic and donor-side management
Ticketing, P2P fundraising, auctions, raffles, and membership tools in one platform
Real human support, free
And if some of your donors still want to pay with PayPal? Zeffy accepts PayPal as a donor payment option at checkout — so you get the $0-fee platform without forcing donors away from a wallet they trust.
Yes. PayPal uses end-to-end encryption, PCI-compliant infrastructure, and fraud detection on every transaction. The donor-trust tradeoff is real — most donors recognize the logo. The bigger concerns are around branding, fees, and missing tax-receipt automation, not security.
Donations made directly to your PayPal Business account land in your balance immediately and can be transferred to your bank in 1 to 3 business days. Donations routed through PayPal Giving Fund (a separate 501(c)(3) intermediary) disburse on a monthly cycle and can take several weeks to reach you.
Partially. You can choose from PayPal's stock buttons or upload a custom image (PNG, JPG, GIF, BMP) at the build step. You cannot customize the checkout page itself beyond your logo, cover image, and short description.
No. PayPal sends a transaction confirmation, not an IRS-compliant 501(c)(3) tax receipt. You're responsible for generating and sending receipts manually, or for using a separate tool that does. Platforms like Zeffy send compliant receipts automatically.
PayPal.me is a personal payment link tied to an individual or business account — anyone can send you money via your custom URL. The Donate button is a structured nonprofit checkout with charity-specific features (preset amounts, recurring, fee coverage, charity rate eligibility). For nonprofit fundraising, the Donate button is the right tool; PayPal.me is for casual peer-to-peer payments.
Technically yes, but it's a bad idea. Personal accounts can't generate Donate buttons, don't qualify for charity rates, and route gifts into your personal tax picture rather than the nonprofit's. Always use a Business account, and apply for Confirmed Charity status if you're a 501(c)(3).
There's no setup fee or monthly cost, but transaction fees apply to every donation. Confirmed 501(c)(3) charities pay 1.99% + $0.49 per gift in the U.S. when using the charity checkout flow; without Confirmed Charity status, the standard Donate Button rate of 2.89% + $0.49 applies.
PayPal Giving Fund is a separate 501(c)(3) intermediary that lets donors give to nonprofits through PayPal, eBay, and a handful of other partners. Funds disburse on a monthly schedule and can take several weeks to reach the receiving nonprofit. It's a different flow from the standard PayPal Donate button.
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Look for people who attend related events, follow relevant Facebook groups, or subscribe to aligned newsletters.These aren’t just potential donors—they’re your future advocates.
Look for people who attend related events, follow relevant Facebook groups, or subscribe to aligned newsletters.These aren’t just potential donors—they’re your future advocates.
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