FAQ's. |
1. What is the purpose of pooling our zakat funds?
BACG seeks to amplify the footprint, scope and impact of our giving by pooling our funds into collective zakat gifts. For instance, a pooled zakat donation of $50,000 to an organization will go much further than an individual zakat donation of $5,000.
2. What is project-based giving?
BACG’s collective zakat funds are not donated into an organization’s general zakat fund, but rather used to support zakat-eligible projects within an organization. Thus giving BACG a direct hand in steering the growth and development of programs that address specific needs within our community. We found that this is the most effective way for BACG to target niche projects that we are passionate about.
3. Do you accept solicitations of funds from organizations that qualify?
Yes. As of the 2020 giving year, BACG is giving organizations an opportunity to pitch their zakat-eligible projects in need of funding to our group directly.
4. Why does BACG only pool zakat instead of sadaqa?
Since Muslim households are obligated to give zakat annually, pooling a portion of our zakat (money that would be donated annually anyway) simply harnessed the already existing giving momentum surrounding zakat. It is possible that we may seek to pool our Sadaqa for a separate vertical of giving in the future. However, our immediate priority is to continue to focus on amplifying the impact of our zakat by working together to give greater dollar amounts to specific projects.
5. Is BACG registered as a non-profit or foundation?
No. BACG is not registered as a non-profit or foundation. However, we partner with American Muslim Foundation, a registered 501(c)(3) community foundation.
6. Is there a cap on the number of households that can join BACG?
No. There is no cap on the number of voting or non-voting members of BACG. However, there is a cap on the number of households that can sit on BACG's steering committee. The steering committee facilitates BACG's annual giving and informs short and long-term goals. For the 2020 giving year, there are three households serving on the steering committee for two-year terms. These households have all been a part of the collective giving group since its inception. Moving forward, and as the group grows, the processes surrounding running for or, alternatively, appointing one’s self to the steering committee will further be formalized.
7. Who determines the zakat eligibility of the projects funded?
During our 2018 and 2019 giving cycles we relied upon the opinions of Imam Tahir Anwar of the San Francisco Bay Area when determining zakat eligibility of each project that was funded. In 2020 we began relying on the internal mechanisms in
place at the American Muslim Fund in determining the zakat eligibility of the projects that we seek to fund.
8. Can a household secure more than one vote in BACG by giving a greater multiple of the required $5,000 annual zakat donation?
No. there is only one vote allocated per household for those households serving in either the steering committee or voting member groups. The non-voting members do not get a vote but are also obligated to donate $5,000 of their zakat annually to the
projects selected by the giving group. Any household can, of course, donate more than the required $5,000 of zakat.
9. Why are there three tiers of membership?
In the 2020 giving year, BACG decided to respond to the different levels of preferred engagement that our members expressed by creating three tiers of membership. The Steering Committee provides a platform for those members that sought a greater level of engagement and interpretive control of BACG's growth and impact. Voting Members are the second tier of membership and the largest group. Voting Members, are members that want to receive a minimum number of emails but still want to play a role in interfacing with finalist organizations and deciding where BACG’s zakat will go. Non-voting Members are the third tier of membership. Non-voting membership is for those households who appreciate the collective impact that we have and simply want to participate by making their monetary contribution.
10. Is all voting anonymous?
Yes. All voting is anonymous.
11. Does BACG limit the geographic footprint of its giving?
Although there is no formal practice in place, all of BACG’s past gifts have gone to projects based in the greater Bay Area or Northern California. BACG members have demonstrated a palpable desire to benefit our surrounding community. We
anticipate that this preference will continue to resonate and manifest as we grow and continue our work.
12. Why has the collective partnered with AMF?
As of the 2020 giving year, BACG’s Steering Committee made the decision to partner with AMF to streamline the administration of BACG’s giving. During our first two years of giving, individual households donated directly to the organizations. These zakat gifts had to be tracked by both BACG and the donee organization, resulting in a significant administrative burden for all involved. AMF facilitates with pooling BACG's funds, donates to the chosen organizations directly and provides BACG's members with confirmation once the donations have been processed. As a registered 501(c)(3) non-profit, AMF also provides each household with a letter confirming the donation. Furthermore, AMF has a built-in process to verify zakat eligibility of programs that we are considering funding and has amassed a near-comprehensive list of zakat-eligible projects in the Bay Area and beyond.
13. Where can I learn more about AMF?
BACG seeks to amplify the footprint, scope and impact of our giving by pooling our funds into collective zakat gifts. For instance, a pooled zakat donation of $50,000 to an organization will go much further than an individual zakat donation of $5,000.
2. What is project-based giving?
BACG’s collective zakat funds are not donated into an organization’s general zakat fund, but rather used to support zakat-eligible projects within an organization. Thus giving BACG a direct hand in steering the growth and development of programs that address specific needs within our community. We found that this is the most effective way for BACG to target niche projects that we are passionate about.
3. Do you accept solicitations of funds from organizations that qualify?
Yes. As of the 2020 giving year, BACG is giving organizations an opportunity to pitch their zakat-eligible projects in need of funding to our group directly.
4. Why does BACG only pool zakat instead of sadaqa?
Since Muslim households are obligated to give zakat annually, pooling a portion of our zakat (money that would be donated annually anyway) simply harnessed the already existing giving momentum surrounding zakat. It is possible that we may seek to pool our Sadaqa for a separate vertical of giving in the future. However, our immediate priority is to continue to focus on amplifying the impact of our zakat by working together to give greater dollar amounts to specific projects.
5. Is BACG registered as a non-profit or foundation?
No. BACG is not registered as a non-profit or foundation. However, we partner with American Muslim Foundation, a registered 501(c)(3) community foundation.
6. Is there a cap on the number of households that can join BACG?
No. There is no cap on the number of voting or non-voting members of BACG. However, there is a cap on the number of households that can sit on BACG's steering committee. The steering committee facilitates BACG's annual giving and informs short and long-term goals. For the 2020 giving year, there are three households serving on the steering committee for two-year terms. These households have all been a part of the collective giving group since its inception. Moving forward, and as the group grows, the processes surrounding running for or, alternatively, appointing one’s self to the steering committee will further be formalized.
7. Who determines the zakat eligibility of the projects funded?
During our 2018 and 2019 giving cycles we relied upon the opinions of Imam Tahir Anwar of the San Francisco Bay Area when determining zakat eligibility of each project that was funded. In 2020 we began relying on the internal mechanisms in
place at the American Muslim Fund in determining the zakat eligibility of the projects that we seek to fund.
8. Can a household secure more than one vote in BACG by giving a greater multiple of the required $5,000 annual zakat donation?
No. there is only one vote allocated per household for those households serving in either the steering committee or voting member groups. The non-voting members do not get a vote but are also obligated to donate $5,000 of their zakat annually to the
projects selected by the giving group. Any household can, of course, donate more than the required $5,000 of zakat.
9. Why are there three tiers of membership?
In the 2020 giving year, BACG decided to respond to the different levels of preferred engagement that our members expressed by creating three tiers of membership. The Steering Committee provides a platform for those members that sought a greater level of engagement and interpretive control of BACG's growth and impact. Voting Members are the second tier of membership and the largest group. Voting Members, are members that want to receive a minimum number of emails but still want to play a role in interfacing with finalist organizations and deciding where BACG’s zakat will go. Non-voting Members are the third tier of membership. Non-voting membership is for those households who appreciate the collective impact that we have and simply want to participate by making their monetary contribution.
10. Is all voting anonymous?
Yes. All voting is anonymous.
11. Does BACG limit the geographic footprint of its giving?
Although there is no formal practice in place, all of BACG’s past gifts have gone to projects based in the greater Bay Area or Northern California. BACG members have demonstrated a palpable desire to benefit our surrounding community. We
anticipate that this preference will continue to resonate and manifest as we grow and continue our work.
12. Why has the collective partnered with AMF?
As of the 2020 giving year, BACG’s Steering Committee made the decision to partner with AMF to streamline the administration of BACG’s giving. During our first two years of giving, individual households donated directly to the organizations. These zakat gifts had to be tracked by both BACG and the donee organization, resulting in a significant administrative burden for all involved. AMF facilitates with pooling BACG's funds, donates to the chosen organizations directly and provides BACG's members with confirmation once the donations have been processed. As a registered 501(c)(3) non-profit, AMF also provides each household with a letter confirming the donation. Furthermore, AMF has a built-in process to verify zakat eligibility of programs that we are considering funding and has amassed a near-comprehensive list of zakat-eligible projects in the Bay Area and beyond.
13. Where can I learn more about AMF?
- AMF Overview: https://amuslimfund.org/donors/presentation/
- AMF Presentation by Muhi Khwaja: www.youtube.com/watch?v=Pdl5TyARktY&feature=youtu.be
- List of AMF Funded Organizations: https://amuslimfund.org/nonprofits/funded/
- Additional AMF Background for Donors: https://amuslimfund.org/donors/