Short answer: In a new school's first year, decide who can accept money before you ask for any: the district, through its gift policy, or a parent group that has its bylaws, EIN and bank account in place. Then keep the plan small: one founding-family campaign tied to something visible, one community event that starts a tradition, and a few local sponsors. Record what each fundraiser cost and raised, because year two will be planned from those numbers.
New schools open every year. NCES's selected findings for school year 2015–16, an older count but the one that reports openings and closings side by side, recorded 1,253 public schools that had opened for the first time, while states reported 1,160 schools that had closed since the year before. Openings and closings run together, so a new school is often built from families who came from somewhere else, each with their own idea of how fundraising should work. Most school fundraising ideas assume a donor list and last year's numbers; a new school has neither.
This guide covers district schools opening a new building or campus, schools formed by merging two or more schools, and new private schools. New charter schools have extra considerations covered in the charter school year-one plan.
The first three years at a glance
Before the doors open: who can take money?
Families at a new school often want to help months before opening day. Someone offers to sell shirts, a business offers a check, a grandparent wants to buy library books. The first question is not what to raise money for, but who is allowed to receive it.
| Who receives it | When it works | What to confirm |
|---|---|---|
| The district, for a public school | From the start, once the district accepts gifts for the new school | The district's gift policy, who signs acceptance, and how the gift is held until the school has its own accounts |
| A new parent group | Only after bylaws, officers, an EIN and a bank account are in place | That the principal recognizes the group, and what it can tell donors about deductibility |
| An existing school foundation or district foundation | If it agrees to hold a fund for the new school | That the fund is named for the school and how it will be released |
| The school itself, for a private school | Once the school's nonprofit is set up | Its tax-exempt status and how it acknowledges gifts |
| A parent's personal account | Never | Hold the money until one of the options above is ready |
For donors, the difference matters. IRS Publication 526 lists a political subdivision of a state, such as a school district, as a qualified organization, so a gift to the district can be deductible when it is to be used solely for public purposes. A gift to a parent group is deductible only if that group itself qualifies, which usually means its own 501(c)(3) recognition or coverage under a state PTA's group exemption. (The Form 1023-EZ instructions note that a group whose gross receipts are normally $5,000 or less a year may be treated as a 501(c)(3) organization without applying.) Until that is settled, ask the district's business office or an accountant what to tell donors.
Setting up a parent group early
The setup steps for a brand-new PTO or PTA are in what a new parent group needs before it collects a dollar. Two points matter more than usual at a new school. First, the IRS lists the basic order: decide the legal form under your state's law, gather governing documents, check state registration requirements, then get an EIN. Second, timing affects the effective date of any tax exemption.
The IRS instructions for Form 1023-EZ say that if an organization files within 27 months after the end of the month in which it was legally formed, and the application is approved, the exemption is generally effective from the formation date. File later and it generally starts from the date you filed. A group formed the spring before opening should put that deadline on the calendar. Form 1023-EZ is limited to smaller organizations that pass an eligibility worksheet, and the full Form 1023 has its own rules. Ask an accountant which applies before telling donors their gifts are deductible.
What a new school should raise money for
Ask the district or the school's leadership exactly what the opening budget covers before you set a goal. Families sometimes raise money for things that are already ordered, while the real gaps, such as library depth, a shade structure, playground extras or furniture for a family room, go unfunded. A short list of three or four specific, visible items works best in year one, because families can see the result by spring. For a newly built school, raise money for opening-day extras the district won't fund, such as furniture for a family room, only after the district has signed off on accepting them under its gift policy; items installed in a district building usually become district property and may have to meet district specifications. Larger items such as a shade structure are capital projects with their own approval steps; see fundraising for school renovations and buildings.
Choose at least one item that will still be there in ten years. A founding gift that the school's first families can point to builds the habit of giving more than any amount raised.
Fundraisers that suit a school's first years
1. A founding-family campaign
Invite every family in the first year to become a founding family at any level, with a lasting recognition: names on a wall, a tree, a mural tile or a page in the first yearbook. Recognize everyone who takes part the same way, whatever they give, so the campaign builds participation, not just totals.
Example A new school of 500 students has about 360 families. The campaign's goal is a reading nook and new library shelves costing $12,000. If 45% of families take part, that's 162 families. Two local sponsors at $1,500 each cover $3,000, which leaves $9,000, or about $56 per participating family on average. The same names-on-the-wall recognition goes to a family giving $10 and one giving $200.
2. An event that becomes the tradition
A new school gets to choose its first tradition instead of inheriting one. A fall walk-a-thon or fun run works well because it needs no history: students do it once and it's the school's event. It reaches relatives who live far away, and it gives the school a first-year baseline to beat. The school walk-a-thon guide covers the setup.
3. Mascot, colors and the first spirit wear
The first shirts with a new school's name and mascot sell themselves. Take pre-orders so nothing is left over, and pair the launch with the mascot reveal or the first family night. The spirit wear guide covers pricing and pre-orders.
4. Opening-year sponsors
Local businesses near a new school are meeting hundreds of new neighbors at once. A sponsor package for the opening year, recognized at the ribbon cutting, on a banner and on the school's website, often gets a quick yes. Keep the offer to recognition (name, logo, a neutral description) rather than advertising, and treat newsletter placement with care: a sponsor's mention in a regularly published newsletter is handled differently under the IRS sponsorship rules than a mention on a banner or event program. The sponsorship letter guide explains the difference and has templates for the ask.
5. A grant for a defined first-year project
Community foundations and local employers like funding something that starts with their help. Apply for one defined project, such as the library collection or a garden. See the school grants guide for where to look.
When families come from several schools
A school formed by merging or rezoning brings families who each remember a different carnival, a different read-a-thon and a different way of counting money. A few rules prevent most of the friction.
- Old money stays with its group. A parent group's funds belong to that group and are governed by its bylaws. If an old school's PTA or PTO is closing, its bylaws and, for a PTA, its state PTA's rules decide what happens to the balance. Don't move money between groups informally.
- Pick traditions on purpose. Ask families which events they loved, then choose one or two for the new school. Running every old event at once wears out volunteers.
- Give everyone a seat at the start. Recruit officers and grade leads from each former school so no group feels like a guest.
- Start the calendar fresh. Build the new school's year from the ground up; the fundraising calendar guide shows a typical year.
Start the records you'll wish you had
An established school plans from last year. A new school has nothing to plan from until it creates it. Keep these from the first fundraiser on:
- A budget and an actual for every fundraiser: what you expected, what it cost, what it netted. The fundraiser budget worksheet lays it out.
- Participation: the share of families who took part, by grade if you can.
- Volunteer hours and roles, so next year's chair knows how many people the event needs.
- Sponsors and donors, with contact details and what you promised them.
- A results report to families. The results report generator in the results and thank-yous guide drafts one from your numbers.
What to avoid
- Collecting money before anyone can legally hold it. Wait for the district or the parent group.
- Raising money for things already in the opening budget. Ask first.
- Five fundraisers in year one. Two or three, done well, set the tone.
- Copying another school's goal. Set it from your own costs and families with the goal calculator.
- Skipping the thank-you. First-year donors decide in year one whether to give in year two.
Sources
- Public Elementary and Secondary Schools and Agencies: School Year 2015–16, Selected Findings (NCES 2018-052), National Center for Education Statistics (accessed 2026-10-30)
- Before applying for tax-exempt status, Internal Revenue Service (accessed 2026-10-30)
- Instructions for Form 1023-EZ (Rev. January 2025), Internal Revenue Service (accessed 2026-10-30)
- Publication 526: Charitable Contributions (2025), Internal Revenue Service (accessed 2026-10-30)
Frequently asked questions
How does a new school raise money before it opens?
Only through an entity that can hold money: the district, under its gift policy, a district or school foundation that agrees to hold a fund, or a parent group that already has its bylaws, EIN and bank account. Until one of those is ready, keep a list of interested donors and wait.
What should a new school's first fundraiser be?
Something simple with no inventory and a visible purpose: a founding-family donation campaign, or a pledge walk or fun run that can become the school's tradition. Tie it to one or two items families will see by the end of the year.
Are donations to a new public school tax-deductible?
Gifts to a school district can be, because IRS Publication 526 treats a political subdivision of a state as a qualified organization when the gift is used solely for public purposes. Gifts to a new parent group are deductible only once that group qualifies in its own right, usually through 501(c)(3) recognition or a state PTA's group exemption; a very small group may qualify without applying. Ask the district or an accountant before promising a deduction.
What happens to an old PTA's money when schools merge?
It stays with that group and follows its bylaws. If the group is dissolving, its bylaws, and for a PTA its state PTA's rules, set out what happens to remaining funds. Ask the group's officers and, for a PTA, the state PTA office before any money moves.