Donahey attended the public schools of Tuscarawas County, and left in his junior year to receive training as a printer; he worked at the "New Philadelphia Times" from 1893 to 1905, and advanced from journeyman to foreman to associate editor before becoming owner of his own printing company. He served as Tuscarawas County Auditor from 1905 to 1909 while at the same time serving on New Philadelphia, Ohio's Board of Education. After serving as a delegate to the 1912 Constitutional Convention, Donahey served as state auditor from 1912 to 1921. He did not seek re-election in 1920, running instead for governor.