The award for Age Concern Jersey is the highest given to voluntary groups by the Queen.
The charity, which supports the elderly and campaigns on their behalf, said it was "absolutely thrilled" volunteers had been recognised "by the most prestigious award".
It will receive the accolade at the Queen's birthday reception at Government House later this month.
Daphne Minihane, from the charity, said: "We couldn't manage without our volunteers.
"Not just the present ones, but the ones who have been with us since we started 26 years ago. They've all been fantastic.
"It is indeed a great honour."
The charity has dozens of volunteers helping in its charity shop, as well as drivers delivering meals to elderly people.

After a two-hour storm delay in Ipoh before Saturday's 2-2 draw with India, Sunday's kick-off was put back an hour because of further bad weather.
GB wasted no time when the match began, goals from Barry Middleton, David Goodfield and Sam Ward putting them 3-1 ahead.
With 11 minutes left, Japan were only 4-3 down - Tom Carson scoring GB's fourth - but Alan Forsyth settled it.
Japan were considered the outsiders as the lowest-ranked team - at 16th - in the event but claimed a 1-1 draw with hosts Malaysia on Saturday.
GB now have four points from two matches, level with India, who recorded a comfortable 3-0 win over New Zealand earlier on Sunday.
The six-team tournament comprises round-robin, four-quarter matches and, for the first time, video referrals are available.
Defending champions Australia, who drew with New Zealand in their opening match, thrashed Malaysia 6-1 and top the table ahead of Britain and India on goal difference.
Britain's next match is against Malaysia on Tuesday.
The British side will revert to individual nations in June for the World Cup qualifying tournament in London, with England and Scotland in action.
Find out how to get into hockey with our special guide.

9 December 2014 Last updated at 16:43 GMT
Mrs Mujuru, once seen as a future possible leader, has denied plotting against the president.
State media and Mr Mugabe's wife, Grace, have conducted a campaign against her for months.
BBC Africa reviews the demise of Mr Mugabe's main opponents - in 90 seconds.
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Patients often have a catheter fitted, either to drain urine stuck in the bladder or to monitor urine output.
But these flexible tubes can harbour nasty bugs and cause infection.
Scientists at University of Southampton have shown in the lab that diluted honey stops some common bacteria from forming sticky, hard-to-remove layers on surfaces such as plastic.
In theory, a honey solution might be useful for flushing urinary catheters to keep them clean while they remain in the bladder.
Many more trials would be needed to check it would be safe to use in humans, however.
Honey has been used for centuries as a natural antiseptic. People have used it to treat burns and wounds and many companies now sell a range of "medical grade" honey products that comply with regulatory standards.
The laboratory work, published in the Journal of Clinical Pathology, looked at two common bacteria that can cause urine and bladder infections - E. coli and Proteus mirabilis.
Even at low dilution - about 3.3% - the honey solution appeared to stop the bacteria from clustering together and creating layers of known biofilm.
Dr Bashir Lwaleed's team used Manuka honey (made by bees that feed on the nectar of the manuka tree) in their study because this dark-coloured honey from Australia and New Zealand is known to have bacterial-fighting properties.
They say other types of honey might work too, but they have not tested this.
Dr Lwaleed said: "Nobody knows exactly how or why honey works as an antibacterial. And we don't know how well honey would be tolerated in the bladder. We are the first to propose this."
Prof Dame Nicky Cullum is an expert in wound care and has looked at the evidence around honey as a treatment.
She said: "This work from Southampton is at a very early stage so we shouldn't get too excited. But it is an interesting avenue that is worth pursuing.
"Obviously, we'd need more studies to check that it wouldn't irritate the bladder or cause any other problems.
"People like things that are natural but they are not always more effective."
A charity has won a Queen's Award for Voluntary Service in Jersey.
[NEXT_CONCEPT]
Great Britain beat Japan 5-3 at the Sultan Azlan Shah Cup in Malaysia.
[NEXT_CONCEPT]
President Robert Mugabe of Zimbabwe has sacked his Vice-President, Joice Mujuru, after accusing her of plotting to kill him.
[NEXT_CONCEPT]
Honey and water might be a useful weapon against urine infections in hospital patients, say UK researchers.