Kesha, 28, had sought to nullify her recording contract with Sony because it brought her into contact with Dr Luke, whose real name is Luke Gottwald.
Manhattan Supreme Court judge refused to let her walk away from the six-album deal with Sony, and the man she claims raped her.
While many of her colleagues have voiced their support for her, Swift, 25, is the first of Kesha's high-profile peers to announce a monetary donation.
"In a show of support, Taylor Swift has donated $250,000 to Kesha to help with any of her financial needs during this trying time," said Tree Paine, Swift's spokesperson, in a statement.