Nebraska Raffle Laws: Can Nonprofits Sell Raffle Tickets Online in 2026?

Quick Answer

Yes. Nebraska allows qualifying nonprofit organizations to conduct lotteries and raffles, and Nebraska law now expressly permits certain licensed organizations conducting raffles to sell raffle tickets through their own websites.

A major change became operative on July 1, 2026. Nebraska Revised Statute § 9-431 now states that a licensed organization conducting a raffle under the Nebraska Lottery and Raffle Act may sell raffle tickets or stubs on its website and at events. The statute also expressly allows those tickets to be purchased online using a debit card. Nebraska also expanded its charitable gaming laws in 2026 to permit qualifying nonprofit organizations to conduct progressive jackpot lotteries or raffles with multiple drawing dates, including games such as Queen of Hearts. Those organizations may use qualifying vending or dispensing devices for ticket sales, subject to the state's requirements.

There is one especially important distinction for nonprofits interested in cash raffles or 50/50 fundraising: Nebraska law does not use the terms "raffle" and "lottery" interchangeably. Under Nebraska law, a traditional raffle generally requires at least 80% of the prizes to be merchandise prizes that cannot be redeemed for cash through the organization. A cash-prize drawing generally falls within Nebraska's definition of a lottery instead.

That distinction matters because Nebraska's new statutory language expressly authorizing website sales refers specifically to a licensed organization conducting a raffle. For nonprofits considering an online cash 50/50, that means the existence of legal online raffle sales in Nebraska should not be interpreted as blanket authorization for every type of online cash drawing.

Nebraska Raffle Laws at a Glance

RaffleGives Compliance Tip

Do not assume that the word "raffle" means the same thing in every state. Nebraska makes a meaningful legal distinction between merchandise-prize raffles and cash-prize lotteries. Before choosing a platform or beginning ticket sales, determine which Nebraska charitable gaming category your fundraiser actually falls under.

Nebraska's Raffle Laws Changed Significantly in 2026

For many nonprofit organizations, raffle laws can feel like they were written for a fundraising world that no longer exists.

Supporters use mobile phones to donate. They pay for event tickets online. They register for programs digitally. They expect secure electronic payments and immediate confirmation. Yet charitable gaming laws in many states still revolve around paper tickets, physical sales locations, checks, cash, and rules developed long before modern online fundraising became commonplace.

Nebraska took a significant step toward changing that in 2026. LB 1001 made several changes to the state's charitable gaming framework, including new provisions for progressive jackpot games, multiple drawing dates, ticket-dispensing technology, and online raffle ticket sales. For nonprofits, the practical result is meaningful. Nebraska law now expressly acknowledges that a qualifying raffle can involve a nonprofit's website and electronic payment technology. But that does not eliminate the need to understand the details.

The biggest mistake a nonprofit could make after reading about the 2026 changes would be to conclude that Nebraska has simply legalized every conceivable type of online raffle.

It has not. Instead, Nebraska has modernized specific parts of an existing regulatory system. Understanding that system is the first step toward using the new opportunities responsibly.

Are Nonprofit Raffles Legal in Nebraska?

Yes.

Nebraska maintains both the Nebraska Lottery and Raffle Act and the Nebraska Small Lottery and Raffle Act. The Nebraska Department of Revenue's Charitable Gaming Division administers and regulates charitable gaming activities, including qualifying nonprofit lotteries and raffles. Eligible nonprofit organizations can conduct these fundraising activities when they satisfy the requirements applicable to their particular game.

The important question is therefore not simply:

"Are raffles legal in Nebraska?"

They are.

The more useful questions are:

What kind of raffle are you conducting?

What prizes are being offered?

How much money will the campaign generate?

Will tickets be sold online?

Will the winner receive merchandise or cash?

Does the organization need a license?

Those details determine which Nebraska rules apply.

What Is the Difference Between a Raffle and a Lottery in Nebraska?

This is one of the most important concepts in Nebraska charitable gaming law. In everyday conversation, nonprofits frequently describe almost any ticket-based drawing as a raffle. Nebraska law is more specific.

Under Nebraska Revised Statute § 9-509, a raffle involves participants providing something of value for an opportunity to win, sequentially numbered tickets, and a random drawing. Importantly, at least 80% of the prizes generally must be merchandise prizes that are not directly or indirectly redeemable for cash through the nonprofit organization or its agent. Nebraska separately defines a lottery under § 9-411. A lottery also involves participants paying something of value for a chance represented by a ticket and a winner determined through a random drawing, but it is not subject to the merchandise-prize requirement that defines a raffle.

This means a nonprofit giving away a donated vehicle, vacation package, electronics, sports memorabilia, or another qualifying item may be operating a raffle. A nonprofit awarding a cash jackpot may instead be conducting a lottery. For RaffleGives and organizations interested specifically in online 50/50 fundraising, that distinction is extremely important.

Can Nebraska Nonprofits Sell Raffle Tickets Online?

Yes, in qualifying circumstances.

Nebraska Revised Statute § 9-431 now expressly provides that a licensed organization conducting a raffle under the Nebraska Lottery and Raffle Act may sell raffle tickets or stubs through its website. The same provision allows raffle tickets to be sold at events. Even more importantly for modern digital fundraising, the statute states that qualifying raffle tickets may be purchased using a debit card online on the organization's website and at events, in addition to other authorized payment methods.

This language became operative July 1, 2026. That is a substantial development for Nebraska nonprofits. Instead of attempting to infer whether a decades-old paper-ticket statute could accommodate an Internet transaction, organizations now have direct statutory language recognizing online raffle ticket sales.

What Changed on July 1, 2026?

LB 1001 amended Nebraska's charitable gaming laws in several ways. For nonprofit raffles, one of the most consequential changes was the addition of explicit online raffle sales language to § 9-431. Nebraska also added provisions allowing progressive jackpot games and multiple drawing dates and expanded the methods through which tickets for those qualifying games may be distributed. Taken together, these changes show Nebraska moving toward a more modern charitable gaming framework.

They do not, however, eliminate the state's licensing, ticketing, prize, recordkeeping, proceeds, and game-specific requirements.

Does Nebraska Allow Credit Cards for Online Raffle Tickets?

The current statute specifically identifies debit cards for online raffle purchases. That wording matters. Organizations should not convert "debit card" into a broader claim that every type of credit-card payment is expressly authorized. When configuring an online raffle campaign, the payment method should therefore be evaluated against the current Nebraska statute and any applicable Department of Revenue guidance. This is another example of why a nonprofit should verify the exact fundraising structure before launch rather than assuming that a general online checkout system automatically complies with charitable gaming law.

What Are Nebraska's Small Raffle Rules?

Nebraska also provides a simplified framework for qualifying nonprofit organizations conducting smaller lotteries and raffles. Under the current version of Nebraska Revised Statute § 9-511, a qualifying nonprofit organization may conduct a lottery or raffle with gross proceeds not greater than $15,000. A qualifying nonprofit may conduct one lottery per calendar month within that limit.

The organization may conduct one or more raffles during a calendar month as long as the total gross proceeds from those raffles do not exceed $15,000 during the month. This $15,000 figure is particularly important because nonprofits may still encounter older Nebraska materials showing lower thresholds. Organizations should rely on the current statute and current Department of Revenue guidance when determining which requirements apply.

Does a Nebraska Nonprofit Need a Raffle License?

It depends on the type and size of the fundraising activity.

Nebraska separates smaller qualifying activities under the Small Lottery and Raffle Act from activities conducted through the licensed Lottery and Raffle Act framework. This distinction becomes especially important when considering online sales. The current website-sales provision in Nebraska Revised Statute § 9-431 applies to a licensed organization conducting a raffle pursuant to the Nebraska Lottery and Raffle Act.

A nonprofit should therefore not assume that because a small raffle can be conducted under a simplified statutory framework, every feature available to a licensed raffle automatically applies to that smaller activity.

Before launching an online campaign, organizations should determine whether they need to obtain a Nebraska lottery and raffle license and whether the intended sales method is authorized under the particular framework they are using.

What Are Progressive Jackpot Raffles?

Nebraska's 2026 changes also introduced an important new fundraising option. Under §§ 9-426.02 and 9-511.02, qualifying organizations can conduct lotteries or raffles that include a progressive jackpot and multiple drawing dates. The law specifically mentions Queen of Hearts as an example. In a progressive game, the prize can grow over time as drawings occur without the jackpot being won.

These formats can be particularly effective for nonprofit fundraising because they create recurring supporter engagement rather than relying on a single drawing date. Nebraska now expressly recognizes this type of charitable gaming.

What Does a Nonprofit Need to Do to Run a Progressive Game?

The new law establishes additional requirements. An organization conducting a progressive lottery or raffle must register each qualifying game with the Nebraska Department of Revenue. The rules for the game must also be publicly posted in a visible location where the game is conducted or where tickets are sold. These requirements help ensure that supporters understand how the game operates, how winners are determined, and how the jackpot progresses. The Department of Revenue also has authority to adopt additional rules and regulations governing these games.

Organizations considering a progressive fundraiser should therefore review the most current Department guidance before launch.

Can Nebraska Nonprofits Use Raffle Ticket Vending Machines?

For qualifying progressive games, Nebraska now expressly permits certain ticket sales through a vending or dispensing device.

That is another significant technological change. However, a vending or dispensing device should not be confused with unrestricted Internet sales. They are separate concepts addressed through different provisions of Nebraska law. A nonprofit should not use the state's authorization of a physical ticket-dispensing device as evidence that any electronic ticketing method is automatically legal.

For ordinary licensed raffles, the more important online authority is the separate website-sales language contained in § 9-431.

Are 50/50 Raffles Legal in Nebraska?

This question requires more nuance than a simple yes or no. A traditional 50/50 raffle typically collects ticket revenue into a pool and awards approximately half of the applicable proceeds as a cash prize. Nebraska, however, legally distinguishes between a raffle and a lottery. Because Nebraska's statutory definition of a raffle generally requires at least 80% of prizes to be qualifying merchandise prizes, a traditional cash 50/50 does not neatly fit the ordinary Nebraska definition of a raffle.

A cash drawing may instead fall within Nebraska's lottery framework.

Nebraska's new progressive-game provisions are also notable because § 9-427 provides that a lottery or raffle conducted under the progressive jackpot provision only needs to use 50% of gross proceeds for awarding prizes, rather than the 65% generally applicable under the licensed framework. That creates an interesting statutory structure for qualifying progressive games, but it should not be interpreted as universal authorization for every type of online 50/50 fundraiser.

Can a Nebraska 50/50 Be Sold Online?

This is where nonprofits need to be particularly careful. Nebraska's current § 9-431 expressly authorizes website ticket sales for a licensed organization conducting a raffle. The statute does not use equally broad language authorizing online sales for every cash lottery. Because a traditional cash 50/50 may fall under Nebraska's lottery definition rather than its raffle definition, nonprofits should obtain confirmation that their exact 50/50 structure and online sales method are permitted before accepting Internet payments.

For RaffleGives, this means Nebraska presents a potentially significant opportunity for online nonprofit fundraising, but we should not currently represent the state as providing blanket online 50/50 authorization based solely on the new raffle website-sales language.

RaffleGives Expert Tip

Start with the prize, not the technology. If your Nebraska organization wants to conduct an online fundraiser, first determine whether the prize structure makes the activity a raffle, lottery, progressive game, or another regulated format. Once you know which legal category applies, you can determine which licensing, ticket-sales, payment, and technology rules apply to the campaign.

How Must Nebraska Raffle Proceeds Be Used?

Nebraska regulates how proceeds from licensed lotteries and raffles are distributed. Under Nebraska Revised Statute § 9-427, gross proceeds must be used for lawful purposes, prizes, and allowable expenses. For ordinary licensed lotteries and raffles, at least 65% of gross proceeds generally must be used for prizes, while no more than 10% may be used for allowable operating expenses.

Different rules can apply when prizes are donated.

Progressive games conducted under § 9-426.02 have a different prize requirement. Those games require only 50% of gross proceeds to be used for prizes. Smaller nonprofit games operating under the Small Lottery and Raffle Act must use proceeds according to the charitable or community betterment requirements applicable to that framework. These rules should be incorporated into the fundraiser's financial model before ticket sales begin.

Nebraska Nonprofit Raffle Compliance Checklist

Common Mistakes Nebraska Nonprofits Should Avoid

One of the biggest mistakes in 2026 is relying on outdated Nebraska raffle information.

The law has changed. A webpage, legal summary, nonprofit handbook, or fundraising article written before July 1, 2026 may not reflect Nebraska's new progressive jackpot provisions or the current website-sales language.

Another mistake is assuming that because Nebraska permits online raffle ticket sales, all online charitable gaming is now permitted.

It is not.

The authorization applies within a specific regulatory framework. Nonprofits should also avoid using "raffle," "lottery," and "50/50 raffle" as though they are legally identical terms. They may sound interchangeable to supporters, but Nebraska law treats them differently.

Finally, organizations should not build the campaign first and investigate compliance afterward. Prize structure, expected revenue, payment methods, ticketing technology, drawing mechanics, and use of proceeds can all affect the legal analysis.

What Do Nebraska's Changes Mean for Schools and Booster Clubs?

The changes are particularly interesting for schools, foundations, booster clubs, churches, veterans organizations, community groups, and other volunteer-driven nonprofits. Traditional raffle administration can create significant work. Paper tickets must be distributed. Money has to be collected. Volunteers need to reconcile sales. Supporters outside the immediate community may struggle to participate.

Nebraska's express recognition of website raffle sales can create a much easier experience for qualifying licensed organizations conducting legally compliant raffles. Instead of asking every supporter to locate a volunteer with a paper ticket book, an organization may be able to direct eligible supporters toward its online campaign. For organizations already communicating through email, social media, websites, newsletters, QR codes, and digital school communications, that can dramatically simplify promotion. The important point is that convenience comes after compliance. A school foundation or booster organization should confirm its own nonprofit eligibility, applicable school or district policies, licensing requirements, prize structure, and sales method before launching.

Why Nebraska's 2026 Changes Matter

Nebraska's changes are significant because they demonstrate something happening across charitable fundraising more broadly. State governments are beginning to recognize that nonprofit fundraising technology has changed. Supporters expect digital access. Nonprofits need easier administration. Volunteers should not have to spend hours manually reconciling a fundraiser when secure technology can help automate the process.

Nebraska has now expressly recognized website raffle sales, online debit-card purchases for qualifying raffles, progressive charitable gaming formats, and certain ticket-dispensing technology. That is meaningful modernization.

It is also an example of why charitable gaming compliance cannot be reduced to a single question such as:

"Are online raffles legal?"

A better question is:

"Which online fundraising activities does this state authorize, for which organizations, under which conditions?"

That is the question nonprofit leaders should be asking.

Official Nebraska Raffle Resources

Before launching a raffle or lottery, nonprofits should verify current requirements directly with the Nebraska Department of Revenue Charitable Gaming Division and the Nebraska Legislature.

Important official resources include:

Nebraska Department of Revenue Charitable Gaming Lottery/Raffle Resources
 

The state's central resource for lottery and raffle regulations, forms, guidance, and legislative notices.

Nebraska Lottery and Raffle Act
 

The statutory framework governing licensed nonprofit lotteries and raffles.

Nebraska Small Lottery and Raffle Act
 

The statutory framework applicable to qualifying smaller nonprofit games.

Nebraska Revised Statute § 9-431
 

Contains the current ticket requirements and express website-sales provision for qualifying licensed raffles.

Nebraska Revised Statutes §§ 9-426.02 and 9-511.02
 

Contain the new progressive jackpot and multiple-drawing provisions.

LB 1001 (2026)
 

The legislation responsible for several of Nebraska's latest charitable gaming changes.

Modern Technology Is Changing Nonprofit Raffle Fundraising

Nebraska's 2026 changes create an important opportunity. For qualifying nonprofit raffles, online ticket sales are no longer something organizations need to infer from outdated rules. Nebraska law now expressly recognizes website raffle sales within the licensed framework. At the same time, the state demonstrates why nonprofit fundraising platforms need to take compliance seriously. A merchandise raffle is not necessarily treated the same as a cash lottery. A progressive game is not necessarily treated the same as an ordinary raffle. A legal website raffle does not automatically make every online 50/50 structure legal. Understanding those distinctions protects the organization, the fundraiser, and its supporters. Technology can then do what it is supposed to do: make fundraising easier.

How RaffleGives Helps Nonprofits Simplify Digital Fundraising

RaffleGives was built specifically for nonprofit organizations. Our completely self-service platform helps organizations move through raffle setup, campaign management, payment processing, promotion, and fundraising without requiring volunteers to become technology experts. The redesigned RaffleGives experience makes it easier for nonprofit teams to understand where they are in the process and what comes next, while automating much of the administrative work that traditionally makes raffle fundraising difficult.

For organizations in states such as Nebraska, where the law increasingly recognizes digital raffle technology, that creates exciting possibilities. Compliance still comes first. Before launching any Nebraska campaign, an organization should confirm that its nonprofit status, prize structure, game type, licensing, payment methods, and sales process comply with the rules applicable to that fundraiser. Once those pieces are established, technology can help turn a complicated manual fundraiser into a much simpler experience for both the nonprofit and its supporters.

Related Reading

Raffle Laws by State

Nonprofit Raffle Software

School Raffle Platform

Online 50/50 Raffles

10 Features Every Nonprofit Raffle Software Platform Should Have

How to Build a 30-Day Marketing Plan for an Online 50/50 Raffle

Ready to Explore Modern Raffle Fundraising?

If your Nebraska nonprofit is considering a raffle, start by determining exactly which type of charitable gaming activity you plan to conduct and reviewing the current requirements from the Nebraska Department of Revenue. The July 1, 2026 changes create new opportunities, particularly for organizations interested in merchandise raffles, online ticket sales, and progressive fundraising formats. Once you understand the rules that apply to your campaign, RaffleGives can help simplify the technology behind modern nonprofit fundraising.

Visit RaffleGives to learn more about our completely self-service nonprofit raffle platform.

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