Fundraising Ideas for Islamic Schools

Islamic schools raise money in communities where giving is a religious obligation and a central part of religious life, which is a strength and a responsibility. Donors will ask whether the school can accept zakat, some fundraising formats raise questions of their own, and the calendar runs on prayer times and Ramadan. Here are the ideas that fit and the questions to settle with your scholars first.

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Short answer: Islamic schools raise the most from an annual fundraising dinner, a focused appeal in Ramadan, a tuition assistance fund and a general sadaqah campaign for programs and buildings, plus a family event such as a weekend walk-a-thon. Whether zakat can support a school is a question scholars answer differently, so adopt a written zakat policy approved by the scholars your school follows, keep zakat in its own fund, and tell donors how it is used. Check paid raffles with your imam and with state law before planning one.

Islamic schools are a small part of American private education. In the 2023–24 Private School Universe Survey, NCES counted 347 Islamic private schools, 1.1% of all private schools, enrolling 68,209 students, 1.3% of private school enrollment, or about 197 students per school, above the private school average of about 167. Some share space, leadership or donors with a masjid, which shapes both the calendar and the appeals, and which of the usual school fundraising ideas fit.

Fundraising basics that apply to every private school, from the annual fund to receipts, are in the private and faith-based school guide. This page covers what is particular to Islamic schools: zakat and sadaqah, formats that raise religious questions, and the calendar.

Zakat, sadaqah and the school

Donors give to Islamic schools in two broad ways. Zakat is the obligatory alms, owed by eligible Muslims and due only to the categories of recipients named in Islamic law. Sadaqah is voluntary charity, and it can support any good purpose, including education. The Zakat Foundation of America urges Muslims to support their communities' educational work generously through sadaqah. The harder question is whether a school can accept zakat itself.

Scholars answer it differently:

  • The majority view, as one zakat charity describes it. The same organization writes that "schools, mosques, public works, and other good works of benefit to people do not qualify for Zakat," that "the most prominent position remains that Zakat cannot be used for educational purposes," and that the great majority of scholars reject the broader reading. It adds that an individual student who belongs to an eligible category, such as a poor orphan, may receive zakat and use it for education.
  • A broader view. A 2006 fatwa from the Assembly of Muslim Jurists of America (AMJA) treats spending on Islamic schools as falling within the categories of zakat recipients, noting that many contemporary scholars include such work under "in the cause of Allah" (fi sabeel-el-laah), though earlier scholars did not favor that view. It adds a condition: if the community can fund the school from money other than zakat, it should; if it cannot, accepting zakat for the school's purposes would be acceptable.

Your school doesn't need to settle a scholarly debate, but it does need a policy. Before the next appeal, ask the scholars your board follows to approve a short written zakat policy that answers four questions: whether the school accepts zakat at all; if so, for what (for example, tuition assistance for families who qualify, or school operations); who decides which families qualify; and how zakat is kept apart from other money. Then say it plainly on every pledge card and giving page, so donors can give with confidence.

Receipts for zakat gifts. For tax purposes a zakat gift to a tax-exempt school is acknowledged like any other gift, under the same donor acknowledgment rules. Note the zakat designation on the receipt as well, so the donor has a record of how the gift was given and your treasurer can match it to the zakat fund.

Routing gifts at an Islamic schoolA gift arrives and the donor's designation decides where it goes. A gift marked zakat goes to a separate zakat fund, used only as the school's scholar-approved policy allows, for example tuition assistance for families who qualify. A gift marked sadaqah or general goes to the general fund. A gift for a named purpose, such as the building fund, goes to that restricted fund. Each fund is reported separately to donors and the board.Every gift goes where the donor designated itGift receivedMarked "zakat"Sadaqah or general giftFor a named purposeSeparate zakat fundused only as the approvedpolicy allowsGeneral fundprograms, salaries, operationsRestricted fundbuilding, library, programReport each fund separately. If a gift arrives without a designation, ask the donor rather than guessing.
Your school's own policy decides what the zakat fund may pay for.

Ideas that fit an Islamic school

1. An annual fundraising dinner

One evening a year, with a speaker, student performances or recitation, a short presentation of what the school needs, and a pledge appeal, can become the event the whole community plans around. Most schools will want halal catering; agree on the standard the school accepts before booking. Set the program so it pauses for prayer at the right time, and make the ask specific: a classroom, a year of a teacher's salary, a number of tuition awards. Guests whose ticket includes a meal should get a statement of the deductible part of the price. Venue, run of show and pledge-card logistics are covered in school auctions and galas.

2. A Ramadan appeal

If your community gives most generously during Ramadan, plan the year's main appeal for it rather than competing with it. A short campaign with a clear goal, a community iftar where the school shares its needs, and a nightly update on progress all fit the month. Coordinate with the masjid so the school's appeal and the masjid's don't land on the same nights.

3. A tuition assistance fund

Donors who want to help families afford an Islamic education can give to a pooled tuition assistance fund that the school awards under its own criteria. If your zakat policy allows zakat for qualifying families, this is where it belongs, in its own account with its own records. A donor can't direct a deductible gift to a named child's tuition; the private school guide explains why.

4. A sadaqah campaign for a building or program

A building, a library, a science lab or an Arabic and Quran studies program is a purpose donors can picture. Run it as a restricted fund with a public goal and a timeline. If your board prefers to avoid interest-bearing loans, plan the campaign so most pledges are paid before construction starts, and settle where pledge money will be held before the appeal begins. A named-brick or plaque program, covered in brick and paver campaigns, can carry a building campaign's smaller gifts.

5. A weekend walk-a-thon or family day

A walk on a Saturday or Sunday morning involves every student, reaches relatives in other cities and costs little to run. It also gives families who don't attend the dinner an easy way to take part. The private school walk-a-thon guide covers the event day. If your school separates boys and girls for physical activity, plan the course and the schedule around that.

6. A community bazaar

Families and local businesses rent tables to sell food, books, clothing and crafts, and the school keeps the table fees and runs a food stand. It suits the weeks before Eid or the start of the school year. Check whether your city requires a temporary food permit for the food stand.

7. Employer matching and local partners

Some employers match gifts to schools, but many programs exclude K–12 or religious organizations, so ask parents to check before you promise a match (how matching programs treat schools). Local businesses owned by school families often sponsor the dinner or the walk; see school sponsorships.

Raffles and prize drawings

A paid raffle raises a religious question as well as a legal one. In one answer published by SeekersGuidance in 2023, a raffle is described as generally a gambling competition and "impermissible," but a buyer whose real intention is to donate "is effectively not purchasing tickets, rather he is donating," provided the school makes clear that donors are giving, not buying a chance to gamble. Scholars and communities draw this line in different places, so ask your imam or the scholars your board follows before including any drawing. Many of the ideas above, such as a pledge appeal, a bazaar or an auction of donated items, involve no chance at all.

The law is separate. Even where your community is comfortable with a drawing, a raffle is regulated by the state, and many states limit who can hold one, require a license or registration, and restrict online sales. Ask your state attorney general's office or gaming regulator what applies before you print tickets.

Check locally

This page reports how some scholars and organizations answer these questions; it isn't a religious ruling. Ask the scholars your school follows about zakat and prize drawings, and confirm gaming, tax and receipt questions with your state's attorney general or gaming regulator and the school's accountant.

Plan around prayer and the Islamic calendar

  • Block Ramadan and the Eids first. Their dates follow the lunar Islamic calendar, and communities may fix them by moon sighting or by calculation, so confirm them for the coming school year before setting anything else.
  • Schedule around prayer times. Evening events should pause for prayer and provide space for it; check the times for the date, since they shift through the year.
  • Protect Friday midday. Avoid deliveries, pickups and volunteer shifts that collide with the school's or masjid's Friday schedule.
  • Coordinate with the masjid. If the school shares a community with a masjid, agree on an appeals calendar so families aren't asked by both in the same week.

The fundraising calendar maker lays out the year once those dates are fixed.

Setting the goal

Count each source at its net, after costs. Example An Islamic school of 160 families needs $150,000 in net funds this year: $90,000 for operations and $60,000 for tuition assistance. A dinner with 400 guests at a $100 ticket grosses $40,000; after $16,000 for halal catering and the venue, tickets net $24,000. The pledge appeal that night raises $76,000 in sadaqah and general gifts. A Ramadan appeal adds $35,000, of which donors designate $25,000 as zakat; under the school's policy, that goes to the zakat fund for qualifying families' tuition. A spring walk-a-thon nets $15,000. Total: $24,000 + $76,000 + $35,000 + $15,000 = $150,000, with the $25,000 in zakat tracked on its own line. The profit calculator estimates an event's net before you count on it.

Sources

  1. Characteristics of Private Schools in the United States: Results From the 2023–24 Private School Universe Survey, National Center for Education Statistics (accessed 2026-10-30)
  2. Can Zakat Be Given for Education?, Zakat Foundation of America (accessed 2026-10-30)
  3. Can zakat be given to Islamic schools in the West? (Fatwa 2050), Assembly of Muslim Jurists of America (accessed 2026-10-30)
  4. Would It Be Permitted to Buy Raffle Tickets for a School Charity Event?, SeekersGuidance (accessed 2026-10-30)

Frequently asked questions

Can zakat be given to an Islamic school?

Scholars differ. The Zakat Foundation of America describes the most prominent position as holding that zakat cannot be used for educational purposes, though an eligible student, such as a poor orphan, may receive it for education. A 2006 AMJA fatwa notes that many contemporary scholars count spending on Islamic schools among zakat's categories, and accepts zakat for a school when the community can't fund it otherwise. Follow your school's scholar-approved policy.

How should an Islamic school handle zakat donations?

Adopt a short written policy approved by the scholars your board follows, stating whether zakat is accepted and what it may pay for. Keep zakat in a separate fund with its own records, use it only as the policy allows, report it separately, and ask donors to designate their gifts clearly.

What are good fundraisers for an Islamic school?

An annual fundraising dinner with a pledge appeal, a Ramadan campaign, a tuition assistance fund, a sadaqah campaign for a building or program, a weekend walk-a-thon, a community bazaar, and employer matching. Plan each around prayer times and the Islamic calendar.

Can an Islamic school hold a raffle?

Ask the scholars your school follows first. One SeekersGuidance answer calls a raffle generally impermissible gambling but treats a payment truly intended as a donation as charity, if the school makes that clear. Separately, state law regulates raffles and often requires a license. Many formats, such as auctions and pledge appeals, avoid the question.

Are donations to an Islamic school tax-deductible?

Gifts to an Islamic school that is a tax-exempt nonprofit generally are, and the usual IRS rules apply: a written acknowledgment for single gifts of $250 or more, and a statement for payments over $75 that are partly a gift, such as a dinner ticket. Ask the school's accountant what receipts should say.