Crowdfunding: raising money for yourself or someone else

Start with the person’s goal and other support

A personal appeal might raise money towards equipment, a course, a holiday or another goal chosen by the person. Work out the real cost and whether suitable support, an assessment, a grant or an existing charity could help. Crowdfunding is optional and success is not guaranteed. An unsuccessful appeal does not show that a person’s needs matter less. If applying for grants too, tell each funder about the other money and check its terms before accepting or spending it. Ask which costs can be combined and what happens if the same cost is funded twice.

Be clear: personal appeal or charity appeal

Raising money for yourself, a relative or a friend is usually a personal cause. Say so clearly; a fundraising page does not make it a registered charity appeal. If supporting a charity, check its identity and agree any particular project with it first. Do not use its name or number to suggest it controls a personal appeal. Gift Aid, a tax scheme for qualifying charitable donations, is not available simply because a personal cause is worthwhile. Wording that raises money for charitable purposes can create legal obligations even without a registered charity.

Agree consent and any legal authority

Help the person understand the appeal, publicity and money decisions using their preferred communication. A learning disability does not automatically remove their ability to decide. Agree the purpose and what can be shared before publishing. If they cannot make a particular decision despite support, get advice about capacity, best interests and who has legal authority for that decision. A relative or support worker is not automatically authorised. DWP appointeeship concerns benefits; it does not itself authorise management of all crowdfunding money. For a child, involve the person with parental responsibility and the child appropriately, and check the platform’s age, guardian and payment rules.

Decide who receives the money and who owns it

Write down who the appeal benefits, whose account receives payments, who can authorise spending and what happens if that person cannot continue. These roles may be different. Receiving money on someone else’s behalf does not make it freely available for the organiser’s own expenses. Ask an adviser to check legal ownership, any restrictions and authority to manage it. A separate account can help with records but is not an automatic exemption from benefits or care rules. Do not put money in a friend’s account or create a trust expecting that alone to protect entitlement.

Check benefits and care charges before launching

Ask a welfare rights adviser about the full household circumstances and proposed payment arrangement. DWP says crowdfunding money received personally is generally capital for Universal Credit. Ordinary rules reduce awards above £6,000 and usually prevent entitlement above £16,000, with exceptions. Saving for equipment or medical care does not automatically protect the money. Ask when funds count, including money held on your behalf. Other benefits differ: PIP is not reduced because of income or savings. For adult social care charges, a one-off voluntary payment is generally capital; regular payments have different rules. Ask the council’s finance team for a written explanation. Report required changes; moving or giving away assets can still affect assessments.

Check tax separately

A benefit decision does not decide the tax position. Calling a payment a gift or donation does not settle how HMRC treats it. Payments connected with work or a business can be taxable; offering goods or services can introduce additional tax and platform issues. A genuine personal gift is different from payment for work, but do not promise that every appeal is tax free. Ask HMRC or a tax adviser where needed, especially for a large or complex appeal. Record the purpose and any conditions attached to donations.

Explain the target and what happens if plans change

Prepare a simple budget showing the item or activity, related costs, fees and any organiser expenses. Say what donors are helping to pay for, the target and any time limit. Explain what you propose if too little or too much is raised, the cost changes, a grant arrives or the activity cannot happen. Check that the plan is lawful and allowed by the platform before promising refunds or alternative uses. Do not quietly redirect donations. Charity appeals restricted to a particular purpose have their own legal rules; ask the charity before changing the use.

Example platform: check GoFundMe’s current rules

GoFundMe is an example, not a requirement or a recommendation over other platforms. Its UK personal-fundraiser transaction fee currently shown is 2.9% plus 25p per donation; optional donor tips are separate. Check current fees and international-payment terms. An invited beneficiary can receive money directly, but must meet age, bank and identity requirements; their displayed name appears publicly. Transfers need verification by the notified deadline or donations may be refunded. Verification can take seven working days or longer, followed by two to five working days after a transfer is sent. Do not promise immediate access or spend against money not yet received.

Protect privacy, dignity and choice

Describe the person’s goal respectfully, with their involvement. They do not need to be portrayed as helpless or share intimate care details to deserve support. Agree any photographs and updates; public copies may remain after a page changes. Keep identification, bank information, benefit letters, addresses and confidential records off the appeal. Use official platform routes for necessary checks. Watch for fake support messages, demands for upfront fees or promises of guaranteed donors. Let people decline donations or sharing without pressure. If another person controls the appeal against your wishes, seek independent advice and report concerns to the platform.

Keep records and close the appeal properly

Keep a private record of donations received, fees, transfers, spending and remaining money, with receipts where possible. Give donors honest updates without exposing the person’s private information. Check how the platform deals with refunds before transferring money out; a refund may need support-team involvement once funds have moved. On GoFundMe, deleting a fundraiser does not automatically refund donors or stop verified transfers, and a summary may remain public. If the purpose changes or money is disputed, pause new donations where appropriate and seek advice. Finish with an agreed update and account for any unused funds.

Raising money with an online appeal

Choose and agree your appeal

Check money, benefits and care costs

Fees and payment plans

Privacy, safety and records

What you can do next

More useful links