Raffle Laws in Wisconsin (2026): Rules That Catch People Off Guard

Most people think raffles are simple fundraisers. Just sell some tickets, draw a winner, done. But in Wisconsin, raffle laws are way more strict than you’d expect. Seriously strict. Break them, and you could face criminal charges. Let’s break down exactly what you need to know.

What Is a Raffle in Wisconsin?

A raffle is a game of chance where you sell tickets and draw winners randomly. Sounds simple, right? But here’s the catch. In Wisconsin, raffles are considered gambling. Yep, gambling. That means they’re illegal unless you follow very specific rules.

Three things make something a raffle. First, consideration. That’s anything of value someone pays to enter. Cash, canned goods, literally anything. Second, a prize. Money, gift cards, a new TV, whatever. Third, chance. The winner is picked randomly, not based on skill.

Who Can Actually Run a Raffle?

Hold on, this part is important.

Only certain organizations can legally run raffles in Wisconsin. We’re talking about local charitable organizations. Churches, veterans groups, school PTOs, fraternal organizations. They need to be tax-exempt and operating locally in Wisconsin.

Individuals cannot run raffles. Businesses cannot run raffles. National organizations cannot run raffles in Wisconsin. Period. If you’re thinking about raffling off your car or your house to raise money, forget it. Totally illegal.

The organization must have been around for at least one year. Or they need to be part of a state or national group that’s been around for at least three years. The state wants to make sure you’re legit before letting you run what’s technically gambling.

Basic Raffle License Requirements

You need a license. Always. No exceptions.

Wisconsin offers two types of raffle licenses. Each costs $25 and lasts for one year. You can conduct up to 365 raffles during that year. Wait, it gets better. If you want to run both types of raffles, you need both licenses. That’s $50 total.

Class A Raffle License

This is for raffles where you sell tickets in advance. Could be weeks or even months before the drawing. The tickets must be pre-printed with all the required info. Name of your organization, license number, prize details, drawing date and location. All of it.

Winners don’t have to be present to win. That’s a big deal. You can sell tickets to someone across town, and they can still win without showing up to the drawing.

Ticket prices can’t exceed $100 each. Honestly, most raffles charge way less than that. But the law sets a maximum just in case.

Class B Raffle License

This is for same-day raffles. You sell all the tickets on the day of the drawing. Think 50/50 raffles at festivals or bucket raffles at fundraising dinners.

You can use generic raffle tickets. No need for all that pre-printed info. Makes things simpler. Ticket prices max out at $10 each. And here’s the catch. Winners generally need to be present at the drawing. If they’re not there when their number gets called, tough luck.

Sound complicated? It’s actually not.

What You Can’t Do

Progressive raffles are illegal in Wisconsin. You know those Queen of Hearts raffles where the jackpot rolls over each week until someone wins? Not legal. When you draw a ticket, someone wins the prize. Done. No rolling jackpots.

You cannot pay anyone to run your raffle. Volunteers only. The law is crystal clear on this. All profits must go to your charitable purpose. None of it can go to individuals running the event.

You can’t mail raffle tickets. Federal law prohibits using the US Mail or carriers like UPS and FedEx to send raffle tickets, payment, or ticket stubs. You have to sell tickets face-to-face. In person only.

Internet sales have strict limits. You can advertise online, sure. But actually selling tickets and collecting money electronically? The rules get complicated fast. You need physical paper tickets. The purchaser fills out their portion face-to-face with someone from your organization.

Penalties for Breaking the Rules

Okay, pause. Read this carefully.

Running an unlicensed raffle is illegal gambling. It’s a Class B misdemeanor in Wisconsin. That means you could face up to 90 days in jail and fines up to $1,000. Most people don’t realize how serious this is.

If you’re making money from illegal gambling, the penalties jump way up. Commercial gambling is a Class I felony. We’re talking up to $10,000 in fines and 3.5 years in prison. Plus you get a permanent felony on your record.

Operating gambling equipment carries even heavier penalties. Equipment can be seized. Fines can hit $10,000. The state doesn’t mess around with this stuff.

Think you can just say you didn’t know? Doesn’t matter. Ignorance of the law isn’t a defense. If you run an illegal raffle, you can face criminal charges whether you meant to break the law or not.

How to Get a Raffle License

First, make sure your organization qualifies. Check that you’re a local charitable group that’s been around long enough. Gather your documents. Articles of incorporation, bylaws, IRS determination letter if you’re tax-exempt.

Next, decide which license type you need. Class A if you’re selling tickets in advance. Class B if it’s same-day only. Need both? Apply for both. Submit separate applications with the $25 fee for each.

The application goes to the Wisconsin Department of Administration, Division of Gaming. You can apply online through their charitable gaming system or mail in a paper application. Approval takes about four to six weeks. Plan ahead. Don’t wait until the last minute.

Once you get your license, it’s valid for one year. You can renew it annually as long as your organization still qualifies. Keep records of everything. The state can audit you. They can request to see ticket stubs, financial records, prize documentation. All of it.

Special Rules for Tickets

Class A tickets must include specific information. Your organization’s name and address. The raffle license number. Description of prizes worth more than $1,000. Time and place of the drawing. Statement that the buyer doesn’t have to be present to win.

Tickets must be numbered. Both portions, the one the buyer keeps and the one that goes in the drawing container. The numbers must match. They don’t have to be consecutive, but they need unique identification.

You can sell tickets up to 270 days before the drawing. That’s about nine months. But not longer than that. And remember, all tickets must be paper. Entirely electronic raffles aren’t allowed.

Price discounts are okay. You can charge $5 for one ticket or $12 for three. Just make sure the pricing is clear on the ticket itself.

Drawing Requirements

All drawings must be held in public. You can’t do it in secret or behind closed doors. People need to be able to witness it.

Every ticket must have an equal chance to win. No rigging the system. No weighted odds. Fair and random. That’s the law.

If you cancel a raffle, you must refund all the money to ticket buyers. You can’t keep any of it. And you can’t deduct a handling fee. Full refunds only.

When someone wins, you need to provide a list of winners to anyone who asks for it. Transparency is required. Winners’ names become public information.

What About Online and Internet Sales?

This confuses a lot of people. Let me break it down.

You can advertise raffles online. Post on social media, put it on your website. That’s totally fine. But selling tickets and collecting money online is way more restricted.

Class A licenses allow limited online sales. You can offer tickets through your website or via email. But you still need physical paper tickets. You can email a copy of the ticket to the buyer instead of mailing it. The key word there is “copy.” The actual ticket still exists in paper form.

Web hosting services or software to process online sales must be donated. You cannot pay for them. Remember, you can’t pay anyone in connection with a raffle. That includes web services.

Wondering if this applies to you? Most organizations find it easier to just sell tickets in person. Less complicated. Fewer legal headaches.

Common Mistakes People Make

Calling it a “donation” instead of a ticket price. Nice try. If someone has to pay to enter, it’s consideration. Calling it a donation doesn’t change that. The state sees right through it.

Using someone else’s license. Organizations sometimes try to loan their license to help out an individual or another group. Illegal. Each organization needs its own license. Licenses cannot be transferred.

Thinking small raffles don’t need a license. Wrong. Every raffle needs a license. Doesn’t matter if you’re only selling 20 tickets at a church potluck. License required.

Raffling items you don’t own yet. You must own the prize before you start selling tickets. You can’t raffle off someone’s donated item that hasn’t been donated yet. Physical possession matters.

Sports Pools and Brackets

Many people assume Super Bowl squares or March Madness brackets are fine. They’re not. These are illegal gambling in Wisconsin. No exceptions.

You’re paying for a chance to win based on random game outcomes. That’s prize, consideration, and chance. Illegal lottery. The Wisconsin Department of Administration specifically warns about this every year during big sporting events.

Don’t be one of them.

What Happens to Raffle Profits?

All profits must support your organization’s charitable purpose. And they must stay in Wisconsin. You can’t use raffle money to support activities or groups outside the state.

Check your articles of incorporation or bylaws. Whatever your stated purpose is, that’s what the money funds. Education, community service, religious activities, whatever your mission is.

You can spend money on raffle expenses. Printing tickets, buying prizes, that kind of thing. But everything else goes to your charitable work. No salaries. No fees to other organizations. No personal profit.

The state takes this seriously. If you misuse raffle funds, you can lose your license permanently. Plus face potential criminal charges for fraud.

License Renewals

Your license expires after one year. Mark your calendar. You need to renew before it expires.

The renewal fee is $5. Way cheaper than the original $25. But you still need to submit renewal paperwork. Don’t just assume it automatically renews.

If your license expires and you keep running raffles, those raffles are illegal. Even if you’ve already printed tickets with the old license number. Wait for the new license before selling tickets.

Pro tip? File your renewal a few weeks before expiration. Give yourself a buffer. Processing can take time.

How Many Raffles Can You Hold?

Up to 365 raffles per year with a Class A license. Same with Class B. That’s a lot of raffles. Most organizations don’t come close to that limit.

But calendar raffles count differently. You can only hold one calendar raffle per year. What’s a calendar raffle? One where you have a drawing every day or week throughout the year. Like daily $25 winners for a whole month. That’s popular but limited to one per year.

A raffle where all drawings happen on the same day at the same location counts as one raffle. So if you have three different drawings at your fundraising dinner, that’s still just one raffle for the 365-raffle limit.

Record Keeping

Keep your organization’s portion of every ticket stub for one year after the drawing. The Division of Gaming can request to see them anytime during that year.

Submit financial reports within five days of your raffle drawing. Your organization needs documentation of gross receipts, expenses, and net profit. Basic accounting. Nothing too complicated.

If you conduct multiple raffles, track each one separately. Don’t lump everything together. The state wants to see individual raffle performance.

Honestly, this is the part most people miss. Good records protect you. They prove you followed the law. They help if you ever get audited.

Working With United Way or Other Umbrella Groups

Some local United Ways or community organizations offer raffle licenses that individual groups can use. This can be helpful for smaller organizations.

You still need to follow all the same rules. The umbrella organization holds the license, but you conduct the raffle under their oversight. They’ll have additional requirements. Forms to fill out. Reporting deadlines. Money to remit.

Make sure you understand the arrangement before you start. Get everything in writing. Know who’s responsible for what. Clear communication prevents problems.

Duck Races

These are surprisingly popular in Wisconsin. Rubber ducks floating down a river or stream. First one across the finish line wins.

Duck races are considered raffles. They need a Class A license. Each duck gets a number. People buy the right to a numbered duck. The winner is determined by chance.

Same rules apply. Licensed organization only. Tickets can’t exceed $100. Winner doesn’t have to be present. All the standard Class A requirements.

Pretty straightforward.

Frequently Asked Questions

Can I run a raffle as an individual to raise money for medical bills? No. Only qualified charitable organizations can run raffles in Wisconsin. Individuals cannot get raffle licenses. Consider a silent auction or crowdfunding campaign instead.

Do I need a license for a free drawing where people don’t pay anything? No. If there’s no payment required to enter, it’s not a raffle. It’s a sweepstakes. Different laws apply. You don’t need a raffle license.

Can a business sponsor our raffle by paying for the prizes? Yes. Businesses can donate prizes or money to purchase prizes. They just can’t run the raffle themselves or profit from it.

What if we only want to run one raffle all year? You still need a license. The $25 fee covers up to 365 raffles, but you can run just one if that’s all you need.

Can winners remain anonymous? Generally no. Winner information must be provided to anyone who requests it. Privacy isn’t protected for raffle winners.

Final Thoughts

Wisconsin raffle laws are stricter than most people realize. But they exist for good reasons. They protect against illegal gambling. They ensure charitable organizations actually use funds for charity. They keep things transparent.

Now you know the basics. Get your license before selling a single ticket. Follow the rules exactly. Keep good records. When in doubt, contact the Division of Gaming at 608-270-2552. They’re there to help.

Stay informed, stay legal, and happy fundraising.

References

• Wisconsin Statutes Chapter 563: Bingo and Raffle Control – https://docs.legis.wisconsin.gov/statutes/statutes/563
• Wisconsin Department of Administration, Division of Gaming: Charitable Gaming – https://doa.wi.gov/Pages/LicensesHearings/Charitable-Gaming.aspx
• Wisconsin Department of Administration: Common Questions Regarding Raffles – https://doa.wi.gov/Pages/LicensesHearings/Common-Questions-Regarding-Raffles.aspx
• Wisconsin Legislature: Chapter 945 (Gambling) – https://docs.legis.wisconsin.gov/statutes/statutes/945
• Wisconsin Charitable Gaming Application Information – https://charitable.wi.gov/raffleapply