06/15/2026
Helping Catholic Worker Houses and Farms survive and flourish.
Austin TX – 6/12/2026 - “Hi Michael, it was nice to talk to you just now. If I send the donation this way, is it to a 501(c)(3)? And do I make it out to the Dorothy Day Foundation? I am trying to make a pre-tax contribution to Mustard Seed Community Farm from my Required Minimum Distribution (RMD) money. If you are not familiar with this, once you get into your 70’s, the government requires that you start taking money out of retirement funds like 401Ks. If you donate it to a charity, then they don’t tax you on it. So, this is a great way for us oldies to stretch our charitable donations. ANYWAY, just trying to make sure I’m following the right procedure.” – S.C.
Did you know? Despite traditional Catholic Worker Movement resistance some Catholic Worker Houses and Farms choose to incorporate as 501(c)(3) nonprofits or partner with separate 501(c)(3) fiscal sponsors for survival.
To accommodate donors making Qualified Charitable Distributions (QCDs), Mustard Seed Community Farm (MSCF) https://www.mustardseedfarm.org/ partnered with 501 (c)(3), Dorothy Day Foundation (DDF) - https://www.dorothydayfoundation.org/ , an eligible fiscal sponsor to facilitate donations requiring donor acknowledgement and a tax receipt.
The fiscal sponsor must have 501(c)(3) tax-exempt status to receive donor IRA/401K QCDs. However, holding a 501(c)(3) status alone is not enough; the organization must also be a public charity eligible to receive tax-deductible contributions. To verify eligible charities:
https://www.irs.gov/charities-non-profits/search-for-tax-exempt-organizations
In this scenario with MSCF, as their fiscal sponsor, DDF accepts, processes the donor’s RMD, creates and mails a tax receipt, a donor acknowledgement, and remits 100% of the RMD donation to Mustard Seed Community Farm.
Disclaimer – Dorothy Day Foundation does not provide legal or tax advice. The information herein is general and educational in nature and should not be considered legal or tax advice. Tax laws and regulations are complex and subject to change, which can materially impact investment results. Consult an attorney or tax professional regarding your specific situation.
Dorothy Day Foundation – viable, vibrant CW houses and farms.