From Donor Advisors to Donors in Movement.
Leveraging funding for the movement.
Donor-Advised Funds were originally created to be a mutually beneficial solution for donors to get tax breaks and nonprofits to get funding. But, because there is no legal requirement to ensure those dollars get to nonprofits, the funds simply sit and grow.
As of 2020, more than $1 trillion dollars have been parked in donor-advised funds and family foundations, lying dormant across the nation. Last year, more than 76% of DAF dollars never went anywhere, all while DAFs nationwide grew by more than $8 billion from 2019 to 2020. It’s clear that donor-advised funds aren’t doing what they were created to do.
With the racial wealth gap growing, and the rights of our communities and our environment under constant attack – we need a better solution. At Seeding Justice, we’ve reimagined Donor-Advised Funds with a new program where donors AND community benefit.
How our Donor-in-Movement Funds are different
We know there are people who want to use their wealth to advance social justice movements and don't want to participate in an extractive, wealth-centered DAF system. This is why we created Donor-in-Movement Funds.
Our Donor-in-Movement Funds are an alternative to traditional donor-advised funds, and are set up for donors with vision who want to ensure their giving is in alignment with their progressive values. They were created to make actionable and long-lasting change within Oregon’s social justice movements, and built to spend down donations, not hold them in perpetuity. In addition, Donor-in-Movement Fund advisors know that Seeding Justice is uniquely suited to connect donors with the emerging, grassroots movements in Oregon whose work moves the needle toward a more just, democratic, and equitable world.
Each year, 50% of a DMF is allocated to our grassroots Grantmaking Committee. Their expertise within and knowledge of the grassroots, social justice landscape ensures these DMF funds will reach the groups and projects working to make the biggest impact across the state.
Another 40% of the funds in a DMF is distributed to groups of the donor’s choosing that are in alignment with Seeding Justice’s values and are led by the communities most impacted — Black and Indigenous folks and people of color (BIPOC); women and LGBTQ+ folks; people with disabilities; people living on low incomes; youth; and immigrants and refugees.
And 10% goes to Seeding Justice to provide operational support and keep us on the forefront of seeding justice in Oregon.