What is a Soft Credit?

A soft credit is a way to recognize someone who played a role in a donation, even though they weren't the person who actually made the gift.

The Basics

When a donation is made, there's always a primary donor - the person or organization whose name is on the check or credit card. This is the "hard credit." But sometimes, someone else deserves recognition for that gift happening. That person receives a "soft credit."

Common Soft Credit Scenarios

• Spouses and Partners: John writes a check from his personal account for $500. His wife Mary shares in the family's giving decisions, so she receives a soft credit for $500 even though the hard credit goes to John.
• Corporate Matching Gifts: An employee donates $100, and their company matches it with another $100. The company is the hard credit donor for the match, but the employee receives a soft credit because they're the reason the company gave.
• Donor Advised Funds (DAFs): A community foundation sends you a $5,000 grant from a donor-advised fund. The foundation is the legal donor (hard credit), but the individual who recommended the grant from their DAF receives a soft credit.
• Family Foundations: The "Smith Family Foundation" makes a gift. The foundation gets the hard credit, but individual family members might receive soft credits.
• Third-Party Giving Platforms: A donation comes through Facebook Fundraisers or a crowdfunding platform. The platform may be the technical donor, but the individual who gave receives the soft credit.
• Workplace Giving: United Way or a payroll giving program sends a consolidated check. The organization is the hard credit donor; individual employees receive soft credits.

Why Soft Credits Matter

• Relationship Context: The donation itself shows who brought the gift in, not only whose name was on it.
• Donor Recognition: A record of who deserves your thanks for a gift they did not personally write.
• Solicitation Strategy: Know who influenced past gifts when planning asks.
• In Argenta: The soft credit is recorded on the donation, in Soft Credit Constituent on its Donation Details page, and read back there. It is not added to that person's giving history and no report totals or filters on it, so build recognition lists from the donor on the gift.

Important Distinction

Soft credits do not affect your financial totals. If you receive a $1,000 donation with a soft credit, you still only received $1,000 - not $2,000. The soft credit is purely for relationship tracking and recognition purposes.