Jul 6, 2026
In May, the Bureau of Labor Statistics reported the Consumer Price Index for All Urban Consumers (CPI-U) was up 4.2% year-over-year. This measures inflation, which has been surging, so it’s not a surprise that affordability tops the list of Americans’ biggest financial problems.
For millions of struggling Americans, it may feel really frustrating to go to the store and always be asked to round up a purchase to give to a charitable cause. But that’s exactly what’s happening with increasing frequency.
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Point-of-sale roundup campaigns reportedly nearly doubled just between 2021 and 2022. And in 2024 alone, 92 campaigns raised more than $275 million, with top campaigns at Taco Bell, PetSmart, Walmart and Petco collecting more than $190 million for charity.
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Not everyone is happy about these campaigns, though. Let’s pretend that Karen has just come home from running errands and was asked at three stops to round up her bill to donate. Karen is fed up and is wondering if this is something corporations should really be doing.
So, are point-of-sale campaigns a boon for charities or a burden for consumers?
Some Americans are fed up — and feeling shame — because of point-of-sale campaigns
For millions of shoppers, point-of-sale donation requests have become an annoyance. In fact, YouGov reported that 36% of consumers in 17 markets are unhappy about being asked to round up their bill for charity. By contrast, just 21% of people are happy about the contribution request.
For some, their anger stems from a feeling of obligation. “People absolutely feel pressured by these kinds of offerings, especially if they know they can afford a small round up; some guilt or shame may arise,” Amber Kinney, a licensed mental health counselor at Amber Kinney LLC, told Moneywise. “However, if their total already ‘feels expensive’ to them, they may feel less inclined to increase the total, even by a small amount.”
Researchers also found that the time pressure to make an immediate decision, the social pressure to donate (especially when others are present at checkout) and a perception that the requests are intrusive may all contribute to negative emotions surrounding these campaigns.
This can actually impact consumer sentiment surrounding the retailer and future donations.
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Companies may be getting a free ride on fulfilling their charitable obligations
There’s also another big issue with these campaigns: Companies get the credit for charitable giving, while passing the cost onto consumers.
“I believe stores offer to round up purchases because it promotes them as ‘doing good,’ but it really is an easy lift for them,” Michele Whetzel, president at 501 Guide, told Moneywise. “They don’t have to put up any corporate funds. They just act as a pass-through while getting all of the goodwill.”
Some Americans also incorrectly believe companies claim a tax break, but that’s not true. As the Tax Policy Center explains, the store collects and passes your dollars through. It doesn’t claim tax deductions for the donations. In fact, technically, you can claim the deduction if you get a receipt and meet the IRS requirements for deducting charitable giving (many people don’t).
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Taxes aside, many consumers may still question whether this is really the right approach. “I have also heard the sentiment that large corporations or their CEOs should be donating from the huge amount of money they make, rather than begging the average person for a few cents,” Kinney said.
There are big benefits despite the hassle
If you buy into those arguments, as Karen does, it’s easy to say stores shouldn’t be doing this. But there’s another side of the coin too — the charities getting the money can benefit.
“Point of Sale charitable giving can be very effective fundraising for a nonprofit organization,” Janetta Craven, founder and CEO of CoSpire Consulting, a consulting firm for nonprofits, told Moneywise. “I’ve worked with several nonprofits whose POS donations were upwards of $20,000 after a fairly short run, which was a significant amount. A fundraising event, or an annual appeal, might not earn much more than this, but has far more labor and expense involved.”
Craven also pointed out that national retailers who participate in these campaigns “have vetted the recipient nonprofit organization, so a donor rounding up can be confident that their donation is going to a registered, legitimate, nonprofit organization.”
Ultimately, the annoyance Karen feels could be a small price to pay for a big impact. “No one misses the extra 33 cents, but the result of many people pooling these funds can add up to sizeable donations to charities that can make a difference to them and their mission,” said Whetzel, who explained the practice acts as a giving circle, with pooled funds having a bigger impact than if each person donated a small amount independently.
jme Thomas, the executive director of Motley Zoo Animal Rescue, agrees. “As the executive director of a charity, I can say that every little bit counts, and especially if you are not giving in some other way, rounding up at the store is a pretty simple way to support organizations that need it, without even noticing the effect on your budget.”
The good news for all of these charities is that, despite the frustration of Karen and others who dislike being asked to give, the success of these campaigns means they likely aren’t going to end any time soon.
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Christy Bieber has 15 years of experience as a personal finance and legal writer. She has written for many publications including Forbes, Kilplinger, CNN, WSJ, Credit Karma, Insurify and more.
