A $10 million gift to the University of San Francisco did more than fund a single year of scholarships. The gift created endowed scholarships, supported a student leadership institute, and expanded opportunities for students preparing to serve their communities (University of San Francisco) [1]. That is the basic idea behind lasting philanthropy: one gift can meet an immediate need, strengthen an organization’s ability to plan, or create a funding stream that continues long after the original check is deposited.
This guide is for Oakland donors, families, business owners, and community-minded people who want to understand what their giving actually makes possible. It solves a practical problem: how to choose between a one-time gift, monthly giving, an endowment, or a locally focused investment. MFFCE Staff sees this question as central to community philanthropy because Oakland’s changemakers need both resources for today and patient support for tomorrow.
Start with the job you want your gift to do
There is no single “best” kind of charitable gift. The right choice depends on timing, flexibility, and the kind of change you want to support.
| Giving pathway | What it can support | Why it matters |
|---|---|---|
| One-time gift | Current grants, scholarships, supplies, staffing, and urgent community needs | Helps a nonprofit respond now |
| Monthly gift | Predictable operating support throughout the year | Makes planning and retention stronger. Monthly giving represented 27% of online revenue in 2025 (M+R Benchmarks) [2] |
| Endowment gift | A fund invested for long-term support | Many institutions use a 3% to 5% annual payout based on a multi-year rolling average, although policies vary (NACUBO) [3] |
| Donor-advised fund gift | A contribution made now, with recommendations for future grants | Offers a structured way to direct charitable resources over time (Internal Revenue Service) [4] |
The point is not to make your giving fancy. It is to make it intentional.
One-time gifts keep today’s work moving
Immediate gifts pay for the work people can see and feel right now: a youth mentor’s time, a neighborhood arts project, technical assistance for a small business, or flexible support that lets a grassroots organization respond to changing conditions.
Giving USA reported that total charitable giving in the United States reached $617.20 billion in 2025, the first year it exceeded $600 billion. Individuals contributed $394.2 billion, making personal giving the largest source of charitable support (Giving USA Foundation and Indiana University Lilly Family School of Philanthropy) [5].
At MFFCE, local investment means directing resources toward organizations, leaders, artists, youth programs, small businesses, and community development efforts rooted in Oakland and the greater Bay Area (McFadden Finch Foundation for Community Enrichment) [6]. A current-use gift gives those partners room to act without waiting for a distant funding cycle.
Monthly giving makes the future less fragile
Monthly giving is not merely a smaller donation split into installments. It creates a dependable revenue base that can help an organization plan staffing, partnerships, programs, and services with less financial whiplash.
M+R Benchmarks found that 71% of monthly sustainers remained active after 12 months, compared with 24% retention for new one-time online donors. Prior one-time donors had a 66% retention rate (M+R Benchmarks) [2]. Those figures do not guarantee results for every organization, but they show why recurring support is valuable.
A monthly gift can help a neighborhood organization keep a mentor employed, maintain a community space, or continue technical assistance for a local entrepreneur between grant cycles. It is steady support, and steady support is not boring. It is often what keeps good work from becoming a short-lived pilot.
Endowments create staying power
An endowment is a fund invested for long-term use, with a portion of its value generally spent each year while the remaining assets continue working. The Uniform Prudent Management of Institutional Funds Act, commonly called UPMIFA, guides how charitable institutions invest and spend endowed funds. It emphasizes prudent investment, diversification, donor intent, inflation, institutional needs, and the long-term purpose of the fund (NACUBO) [3].
The tradeoff is straightforward. Endowment dollars are less flexible for immediate needs, but they can provide a durable source of support for scholarships, leadership development, arts access, or other defined priorities. MFFCE maintains an endowed scholarship at the University of San Francisco supporting student leaders, according to MFFCE Staff records [7].
That kind of fund says something powerful: Oakland’s future leaders deserve support not only this year, but in the years after today’s headlines have moved on.
A local investment should come with a feedback loop
Donors deserve to know where resources go and how organizations learn from the work. MFFCE’s model combines grantmaking, lending, and capacity building for community-based organizations, small businesses, and local leaders. Its reported impact includes $4.3 million in flexible funding to BIPOC-led organizations, support for more than 150 grassroots groups, and assistance to more than 300 small businesses (McFadden Finch Foundation for Community Enrichment) [8].
Local investment is not about assuming every program will produce a neat, instant result. It is about backing people closest to the issue, measuring what matters, and staying engaged when the work gets complicated.
That approach will be visible again on October 15, 2026, when MFFCE hosts an informational reception for grantee partner Youth Alive!, connecting community members with work focused on youth leadership, safety, healing, and violence prevention (McFadden Finch Foundation for Community Enrichment) [9].
Case example: what an endowed gift can build
The McGrath family’s $10 million gift to USF shows how a major gift can combine immediate opportunity with lasting infrastructure. More than half of the gift, $6 million, endowed scholarships for graduate education students. Another $3 million created a multidisciplinary institute focused on student leadership, while $1 million endowed undergraduate scholarships for international immersion courses (University of San Francisco) [1].
The tradeoff was not choosing between scholarships and leadership development. The gift supported both, but through different structures. Some resources expanded access to education, while endowed funds were designed to support students over time.
The example also shows why donor intent matters. A donor may care about a specific population, place, or issue. A strong charitable partner should explain how that intent will be honored, how funds will be managed, and how progress will be communicated.
What smart critics argue
- “Endowments can lock up money when needs are urgent.” Fair point. Endowments should complement current-use funding, not replace it. UPMIFA requires institutions to consider present needs alongside preservation and duration (NACUBO) [3].
- “Monthly giving can become an administrative burden.” Also true. Donors should be able to update payment information or cancel easily. Nonprofits need clear systems and honest stewardship, not guilt tactics (M+R Benchmarks) [2].
- “Donors cannot judge impact from a few success stories.” Correct. Stories matter, but they should sit beside financial information, stated goals, and measurable outcomes. Trust grows through transparency, not sparkle (Independent Sector) [10].
Key takeaways
- One-time gifts support current work.
- Monthly gifts improve planning stability.
- Endowments are built for durable support.
- UPMIFA connects spending decisions to donor intent and long-term stewardship.
- Local investment keeps community priorities at the center.
- Individuals remain the largest source of charitable giving.
- Donors should ask how funds are used, managed, and evaluated.
Six practical ways to give with intention
- Review a nonprofit’s mission, financial information, and current priorities.
- Ask whether your gift will be used immediately, invested, or both.
- Consider a monthly amount that fits your household budget.
- Ask how an endowment’s spending policy works before making a restricted gift.
- If you use a donor-advised fund, confirm the sponsoring organization’s requirements and documentation.
- Use the donation link in the footer to support MFFCE’s Oakland-rooted community investment.
FAQ
Is a monthly gift better than a one-time gift?
Neither is automatically better. A one-time gift can meet an immediate need, while monthly support provides recurring revenue. M+R reported stronger 12-month retention among monthly sustainers than among new one-time online donors [2].
What is an endowment in plain language?
It is an invested charitable fund intended to support a mission over a long period. The organization typically spends a portion each year and manages the remaining assets for future use [3].
Can I restrict my gift to a specific program?
Sometimes. Ask the organization before giving. Restrictions can affect how flexible the organization can be, and donor intent should be clearly documented [3].
Are charitable gifts tax-deductible?
Gifts to qualified organizations may be deductible if you meet applicable tax rules, including itemizing and recordkeeping requirements. The IRS recommends keeping written acknowledgment for qualifying contributions (Internal Revenue Service) [11].
What is a donor-advised fund?
A donor-advised fund is an account maintained by a qualified sponsoring organization. The donor may recommend grants, but the sponsoring organization legally controls the assets (Council on Foundations) [12].
How does MFFCE define local investment?
MFFCE focuses on Oakland and the greater Bay Area by supporting grassroots organizations, small businesses, artists, youth leaders, and community advocates through grants, lending, and capacity building [6].
Sources
[1] University of San Francisco, “$10 Million Gift Supports Scholarships and Catholic School Educators at USF,” University of San Francisco, April 13, 2017, https://www.usfca.edu/news/mcgrath-gift, Accessed August 28, 2026.
[2] M+R, “Fundraising,” M+R Benchmarks 2026, 2026, https://mrbenchmarks.com/fundraising/, Accessed August 28, 2026.
[3] National Association of College and University Business Officers, “Uniform Prudent Management of Institutional Funds Act,” NACUBO, updated webpage, https://www.nacubo.org/Topics/Endowment-Management/Uniform-Prudent-Management-of-Institutional-Funds-Act, Accessed August 28, 2026.
[4] Internal Revenue Service, “Donor-Advised Funds,” IRS, updated webpage, https://www.irs.gov/charities-non-profits/charitable-organizations/donor-advised-funds, Accessed August 28, 2026.
[5] Giving USA Foundation and Indiana University Lilly Family School of Philanthropy, “Giving USA: Charitable Giving Rose to $617.20 Billion in 2025, Surpassing the $600 Billion Mark for the First Time,” Giving USA, 2026, https://givingusa.org/giving-usa-charitable-giving-rose-to-617-20-billion-in-2025-surpassing-the-600-billion-mark-for-the-first-time/, Accessed August 28, 2026.
[6] McFadden Finch Foundation for Community Enrichment, “How MFF Works,” MFFCE, https://mcfaddenfinchfoundation.org/about-us/how-mff-works, Accessed August 28, 2026.
[7] MFFCE Staff, “Endowed Scholarship and Partner Records,” McFadden Finch Foundation for Community Enrichment, 2026, https://mcfaddenfinchfoundation.org/education, Accessed August 28, 2026.
[8] McFadden Finch Foundation for Community Enrichment, “Proving What’s Possible,” MFFCE, https://mcfaddenfinchfoundation.org/impact, Accessed August 28, 2026.
[9] McFadden Finch Foundation for Community Enrichment, “Healing, Hope, and Opportunity: Join MFFCE for an Evening with Youth Alive!,” MFFCE, 2026, https://mcfaddenfinchfoundation.org/healing-hope-and-opportunity-join-mffce-for-an-evening-with-youth-alive-at-1200-lakeshore, Accessed August 28, 2026.
[10] Independent Sector, “Trust in Civil Society,” Independent Sector, 2025, https://independentsector.org/resource/trust-in-civil-society/, Accessed August 28, 2026.
[11] Internal Revenue Service, “Publication 526: Charitable Contributions,” IRS, 2025, https://www.irs.gov/publications/p526, Accessed August 28, 2026.
[12] Council on Foundations, “Donor-Advised Funds,” Council on Foundations, updated webpage, https://cof.org/advocacy/donor-advised-funds, Accessed August 28, 2026.
Invest in People. Strengthen Communities. Change Lives.
Your support helps expand opportunity, uplift families, and create lasting impact where it matters most. The McFadden Finch Foundation for Community Enrichment is a 501(c)(3) nonprofit organization committed to enriching lives, supporting families, and strengthening communities through purposeful giving and community-centered action. Every contribution helps create measurable, lasting change.
McFadden Finch Foundation for Community Enrichment
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Disclaimer: This content is for general informational and educational purposes only and does not constitute legal, financial, tax, nonprofit, philanthropic, or other professional advice. Reading this content does not create an advisory, fiduciary, funding, or professional relationship with McFadden Finch Foundation for Community Enrichment. Because every organization, program, and community has different needs, you should consult qualified professionals regarding your specific circumstances. McFadden Finch Foundation for Community Enrichment makes no warranties regarding the accuracy or completeness of this information and is not responsible for third-party content, links, products, services, or organizations referenced. Testimonials, examples, stories, and impact statements are illustrative only and do not guarantee similar results.