Many booster clubs’ annual budgets are fulfilled through student payments and fundraising. Typically, families are asked to make an up front, out-of-pocket payment and to fundraise throughout the year.
The IRS has set high expectations for booster clubs’ fundraising. They require 501(c)(3) nonprofit organizations to distribute funds equally among all participants. Specifically, no student may be denied the opportunity to participate due to their [in]ability to pay student fees or to participate in fundraising. I explain this in more detail in my recent post, Should Students Who Don’t Fundraise Get to Participate?
What can a booster club do?