From Gil Fronsdal:
Dana [pronounced dahnah] refers to the act of giving and to the donation itself. The Buddha used the word cage [pronounced chagah] to refer to the inner virtue of generosity…. This use of cage is particularly significant because it also means “relinquishment” or “renunciation.” An act of generosity entails giving more than is required, customary, or expected relative to one’s resources and circumstances. Certainly it involves relinquishment of stinginess, clinging and greed. In addition, generosity entails relinquishing some aspects of one’s self-interest, and thus is a giving of one’s self. The Buddha stressed that the spiritual efficacy of a gift is dependent not on the amount given but rather on the attitude with which it is given. A small donation that stretches a person of little means is considered of greater spiritual consequence than a large but personally insignificant donation from a wealthy…