Helping Agricultural Donors Give Through Gifts of Grain

Agriculture has long been at the heart of many Kansas communities. Local farm and ranch families play an important role not only in feeding our communities, but also in supporting the charitable causes that help them thrive.

For community foundations, Gift of Grain donations can open the door to meaningful conversations with agricultural donors who want to make an impact in a tax-efficient way. While many donors are familiar with giving cash or checks, fewer realize they have the option to donate grain directly to support the causes they care about.

A Gift of Grain allows farmers to transfer a portion of their harvested grain directly to a charitable organization through your foundation, which then sells the grain and directs the proceeds to charitable purposes. Because the grain is donated before it is sold, this type of giving may provide tax advantages. As always, donors should consult with their tax advisor regarding their individual situation.

For community foundations, the key is not to become a tax expert, but to help make local farmers and ranchers aware of this giving option. In many rural communities, philanthropy and agriculture have gone hand in hand for generations.

How Community Foundations Can Start the Conversation

Gift of Grain conversations do not have to feel complicated or formal. Often, a simple mention can plant the seed for future giving.

Here are a few easy ways to introduce the topic:

• Thank a farmer or rancher for their role in the community. Many agricultural families have deep roots and a strong desire to leave their communities better than they found them.

• "Did you know there are ways to give directly from the farm, including grain gifts?"

• "Some of our agricultural supporters choose to give through Gifts of Grain because it can be a tax-efficient way to support charitable causes."

• "If you would ever like information about non-cash giving options, our foundation can help walk through those opportunities."

• "Have you considered using a portion of your harvest to support the causes you care about?"

These conversations can be especially meaningful ahead of harvest season, during year-end giving discussions, while discussing estate and legacy plans, or when meeting with long-time supporters who have agricultural ties.

How the Process Works

1. The farmer delivers grain to the elevator.
2. The farmer instructs the elevator to transfer a specific number of bushels to your organization.
3. GMCF authorizes the sale of the grain and collects the proceeds.
4. GMCF provides documentation acknowledging the gift.
5. The proceeds support charitable causes within the local community.

Gift of Grain donations can support community impact funds, donor-advised funds, scholarship funds, nonprofit funds, field-of-interest funds, and many other charitable initiatives administered through GMCF and its affiliate foundations.

By simply making donors aware of this opportunity, community foundations can help create another pathway for generosity while strengthening relationships with local agricultural families. A single conversation today could lead to a lasting charitable impact for years to come.

If your foundation would like additional information about Gifts of Grain or resources to share with donors, please contact the Greater Manhattan Community Foundation at 785-587-8995 or foundation@mcfks.org.