Wondering how others are booking gifts that come in through third party pass-through companies - like Donor's Choose, Benevity, YourCause, etc. For our other donor advised funds we book to the foundation and then credit the donor. But in these pass-through situations, the donor is simply sending money using a processor. Do you still soft credit? Or book to the donor directly?
We enter those gifts directly to the donor's account. We use a custom contrib field to add more detail about the Channel, so in these cases the processor would be referenced.
Hello, generally these types of donations are also made via DAF and not a "pass-through" situation. Benevity is simply the platform, for example, and this is from Benevity's website:
Foundation Partners
American Online Giving Foundation (AOGF) is a partner Donor Advised Fund that distributes donations on behalf of Benevity and its clients in the United States. For more information, please visit: http://www.onlinegivingfoundation.org/
You may want to look into the others also.
Due to the large quantities of these we receive (Benevity is headquartered in our city, so we do a lot with them) - we enter directly to the donor, but we added them as a Source/Channel so that we can very quickly and easily reference where they are from. For community foundations, etc, we do still book to the fdn and credit the donor. In Canada we have CanadaHelps, which is similar to Donor's Choice, and we book it and Benevity the same. We just have it very well documented in our process to show why those specific gifts are done with that particular method.
Anita is correct. Many of the larger entities distribute via a donor-advised fund and therefore are not considered tax-deductible for the donor, even though they came as a pass-through gift. They should be entered as a DAF and credited to the donor as such.