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Gift Entry Question

  • 1.  Gift Entry Question

    Posted 08-01-2022 02:26 PM
    I've received a check from "ABC Community Foundation" on behalf of "XYZ" Foundation on behalf of Mr and Mrs. ______.
    How would you suggest I record and soft credit?
    Thank you for any guidance!

    ------------------------------
    Donna Stoetzner
    Advancement Associate
    Indian Mountain School
    donna_stoetzner@indianmountain.org
    ------------------------------


  • 2.  RE: Gift Entry Question

    Posted 08-01-2022 02:31 PM
    I suspect this is a DAF gift - although possibly a family (private) foundation.  Call the community foundation and ask them!

    I doubt this gift is from the individuals.  The community foundation can tell you the legal name of the account.  Record the gift on a record with the same name, and give the individuals mentioned soft credit.

    John

    John H. Taylor 
    919.816.5903 (Cell/Text)

    Big Ideas; Small Keyboard





  • 3.  RE: Gift Entry Question

    Posted 08-01-2022 02:43 PM
    So here's how the letter attached reads " Please find enclosed a grant from XYZ Foundation, a fund of ABC Foundation on the recommendation of Mr. and Mrs. Blank"
    The XYZ Foundation is a family foundation of Mr. and Mrs. Blankd

    ------------------------------
    Donna Stoetzner
    Advancement Associate
    Indian Mountain School
    donna_stoetzner@indianmountain.org
    ------------------------------



  • 4.  RE: Gift Entry Question

    Posted 08-01-2022 02:50 PM
    XYZ Foundation - the Family Foundation - is the donor.

    John H. Taylor 
    919.816.5903 (Cell/Text)

    Big Ideas; Small Keyboard





  • 5.  RE: Gift Entry Question

    Posted 08-01-2022 02:55 PM
    Thank you!

    ------------------------------
    Donna Stoetzner
    Advancement Associate
    Indian Mountain School
    donna_stoetzner@indianmountain.org
    ------------------------------



  • 6.  RE: Gift Entry Question

    Posted 08-03-2022 02:11 PM
    John, in a similar situation, we received a gift from US Charitable Gift Trust indicating it is a grant from the XYZ Charitable Foundation, a DAF of US Charitable Gift Trust. So our practice is to record the git on US Charitable Gift Trust' page and soft credit the XYZ Charitable Foundation. What's missing is a soft credit to the individuals who own this fund so that it shows up on their "timeline" (our database's language) and we can show a comprehensive listing of their giving (even soft credits) at end of year. But I don't think there's a way around that. I'm having questions asked of me if we can consider US Charitable Gift Trust a pass through, like a bank, but that is not my understanding of their role. Am I missing anything here that you would suggest for consideration?

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    Laura Young
    Finance and Fundraising Assistant
    The Lift Garage
    laura@theliftgarage.org
    ------------------------------



  • 7.  RE: Gift Entry Question

    Posted 08-03-2022 02:41 PM
    Laura, you could have the hard credit go to US Charitable Gift Trust, and the soft credit to the individual advising the gift. There are several methods to still capture the XYZ Charitable Foundation name, depending on your database, but one of the simpler ways to do it is to capture it as a nickname or recognition name in the individual donor's record. The soft credit has no legal meaning, so you're best off asking yourself how to use it in a manner that's consistent with other soft credits you assign, and that provides insight in your reporting. Typically, soft credit tells us who drove a gift, so in this situation I would want it applied to the individual, not to the family foundation. 


    Thank you,
    Isaac Shalev
    Data Strategy Expert
    Sage70, Inc.
    (917) 859-0151
    isaac@sage70.com

    Schedule a 30-minute consultation now:







  • 8.  RE: Gift Entry Question

    Posted 08-03-2022 02:46 PM
    That is very helpful direction. Thank you!

    ------------------------------
    Laura Young
    Finance and Fundraising Assistant
    The Lift Garage
    laura@theliftgarage.org
    ------------------------------



  • 9.  RE: Gift Entry Question

    Posted 08-03-2022 02:54 PM
    I would need to contact US Trust.  Either they or the XYZ Charitable Foundation is the legal donor.  In one case, US Trust is a pass-through.  In the other, XYZ is only a fund name within a larger DAF.

    Whichever is the legal donor is the only record you should hard credit.  I do not issue soft credits to pass-throughs nor to funds held within the DAF.  Instead, I give legal credit to the legal donor and soft credit to the individual who recommended the grant.

    I realize that some organizations will create a record for "The John Taylor Fund" within a DAF (like Fidelity).  However, that is not a separate legal entity.  It's just a fund name.  Creating a record for that seems to me unnecessary work for my staff.  What is most important is the individual who made the grant recommendation.

    John

    John H. Taylor
    Principal
    John H. Taylor Consulting, LLC
    2604 Sevier St.
    Durham, NC   27705
    919.816.5903 (cell/text)

    Serving the Advancement Community Since 1987







  • 10.  RE: Gift Entry Question

    Posted 08-04-2022 08:46 AM
    Thanks John. I will call them to inquire. This is a helpful conversation to move me in the direction of always calling to confirm who is the legal donor rather than taking the way they present the information as some sort of clarity.

    ------------------------------
    Laura Young
    Finance and Fundraising Assistant
    The Lift Garage
    laura@theliftgarage.org
    ------------------------------