Gifts of Grain
Here’s how one Minnesota farmer turned his crops into resources for the community.
Cash and stocks aren’t the only ways to support causes you care about. You can also give back by donating goods and non-cash assets. For one farmer, this meant donating gifts of grain.
“It was very difficult to find somebody that wanted to handle grain,” said John*. “That’s the primary reason I started a fund. I’d been donating for a while through the grain elevator, but I found a much easier way by donating grain to the Saint Paul & Minnesota Foundation.”
By opening up a donor advised fund (DAF) with the Foundation, John was able to support different charities, something that was difficult for him to do through his local grain elevator.
“I didn’t want to make the elevators have to process lots of different checks in order for me to give,” John said. “The Foundation offered me a simpler way to do it, especially since I wanted to give to many different places. By doing it this way, I can actually build a fund and generate some disbursements later.”
Farming Tradition
John comes from a line of farmers. His father and uncle began farming when they were in high school. John recently retired and his brother now carries on the family tradition with John's nephews.
On a farm in southern Minnesota, the family grows corn and soybeans, crops John explained the area is known for. While today he no longer works long hours, he still helps out.
“The grain bins are right on my side of the property,” John said. “So I see everything that goes on.”
Living near a small town, John is close to both the corn and soybean processors, which has helped him in gifting grain to his DAF.
“I’ve always found this to be a much simpler process,” said John. “I just call Aurea [his relationship manager at the Foundation].”
The proceeds are used to fund John’s DAF, which allows him to recommend grants to his favorite local nonprofits. Since establishing the fund with the Foundation, he has been able to support his church as well as organizations that address health-related issues. In addition to casting a wider giving net, he has also received tax benefits from giving.
“That's why partnering with the Foundation works so well, because it gives the effect of a tax deduction,” John said. “You don’t have to pay social security on the grain that was given away, and for retiring farmers that tend to have grain leftover to sell in the coming year, it's great to not have to worry about any expenses. Grain generates a lot of tax if you don't have anything to do with it.”
“I’d been donating for a while through the grain elevator, but I found a much easier way by donating grain to the Saint Paul & Minnesota Foundation.”
John, fundholder
John’s DAF, initially established in conjunction with his mother, is currently advised by him and his brother. In his free time John helps out with his mother, who has dementia; he also loves to spend time with his grandkids.
To learn more about donating grain, farm equipment or livestock or other non-cash assets to open a DAF or support an existing fund, contact your philanthropic advisor or another member of our Philanthropic Services team.
*Name has been changed for the donor's anonymity.
The Saint Paul & Minnesota Foundation does not provide tax, legal or accounting advice. Please consult your own tax, legal and accounting advisors regarding your individual situation before engaging in any transaction.
More Stories
Investing in the Future: Supporting Nonprofit Sustainability and Capacity Building
Investing in nonprofit sustainability is one of the most generous and strategic choices a donor can make.
Read part four
Inspiring Generosity in the Arts
At a recent Giving+Together event, art leaders addressed the economic and cultural benefits of the arts in our lives.
See the Highlights
Beyond the Check: Leveraging Your Voice to Advocate for Nonprofits
Whether you’re new to advocacy or looking to deepen your engagement, your personal advocacy matters — and you have many ways to get started.
Read part three
Amplifying Your Impact: Thoughtful Strategies for Increased Giving This Year
If you want to explore how your donor advised fund or other assets can have greater impact, the Saint Paul & Minnesota Foundation is here to support you.
Read part two
Understanding the Landscape: Identifying Urgent Needs in Our Community
Welcome to Activating in Critical Times, a four-part series from the Saint Paul & Minnesota Foundation.
Read part one
Dr. Eric Jolly's Parting Retirement Gift: Real Estate Gift Benefits the Community
Learn how our former Foundation President & CEO and his wife are using a gift of real estate to support agents of change.
Read the story
A Reparative Approach to Affordable Housing and Wealth Building
Learn how this Black-led land trust is creating homeownership and economic opportunities in Saint Paul.
Watch the video
Giving Time & Resources: Tanya & Lee’s Commitment to Affordable Housing
Learn how one couple’s partnership with Habitat for Humanity has helped build more than just homes.
Meet Tanya and Lee