Tracking donations of money, produce, grain, livestock, or other agricultural products is essential for keeping accurate farm records and understanding your farm or ranch's community impact. FarmRaise Tracks makes it easy to account for donations by creating custom categories, whether they’re for tax-deductible business purposes or personal charity contributions.
Below, we’ll guide you through how to set up and track these donations.
Step 1: Decide How You Want to Categorize the Donation
Before you add a donation to FarmRaise Tracks, determine the type:
Business or Farm Donation
If you’re donating products you’ve grown or raised (like grain, produce, or livestock), you should create a custom category under Agricultural Sales.Personal Charity Donation
If the donation isn’t related to your farm operation (e.g., a cash donation from personal funds), categorize it under Other / Personal.
Step 2: Estimate the Value of Donated Goods
For agricultural donations (like produce or grain), you’ll need to estimate the sale value. This helps you track the financial value of your generosity, even if no cash was exchanged.
Estimate what you would have sold the product for in a typical market scenario.
Add this as an expense in FarmRaise Tracks to reflect the cost/value of the donation.
Step 3: Create a Custom Category
There are two easy ways to create a custom category in FarmRaise Tracks:
Option 1: From the Transaction Screen
When entering a new transaction, click on the Category field.
Scroll down and select “Add new category”.
Enter a name like Donations/Charity.
Choose the appropriate category group:
Select Agricultural Sales if the donation is farm-related.
Or choose Other / Farm Expenses if it’s a cash donation from the business.
Leave it as Other / Personal for non-business charitable giving.
If it’s a farm or business donation, toggle the setting to mark it as a Schedule F category so it can appear on your tax-related reports.
Option 2: From the Custom Categories Page
Navigate to Custom Categories in your FarmRaise Tracks dashboard.
Click the “Add” button in the top right corner.
Enter the category name (e.g., Donations/Charity).
Assign the category under:
Agricultural Sales or Other / Farm Expenses for farm donations.
Other / Personal for personal contributions.
If needed, toggle on the Schedule F option for tax reporting.
Step 4: Track Donations Throughout the Year
Once you’ve set up your donation category:
Continue logging donation-related transactions under this category.
You’ll be able to track the total estimated dollar value of your donations over time.
Use this data to report contributions for year-end reviews or grant and aid applications.
Tax Tip: Check with Your Accountant
Every farm’s situation is different. Before claiming a deduction or categorizing a donation as a business expense, consult your tax professional. They can help you:
Confirm which donations are tax-deductible.
Understand the implications of claiming produce, livestock, or cash donations on your Schedule F.
Ensure your records meet IRS guidelines.
By creating and using a custom “Donations/Charity” category, you can clearly see your farm’s charitable impact—whether it’s food given to a local pantry or a 4-H fundraiser contribution. FarmRaise Tracks helps make your generosity visible in your records, and keeps your bookkeeping tidy and tax-prep ready.