Why a Community Foundation

Why Advise Your Client to Give through a Community Foundation?

There are many reasons for your clients to invest in the Community Foundation of Southeastern Mass. Since 1995, we’ve been an invaluable resource for advisors like yourself as you help your clients achieve their philanthropic goals. Through visionary, diverse, and inclusive philanthropy, our Community Foundation has become a catalyst for significant community change. We can help you make a lasting impression with your clients while they make a positive impact on and leave a lasting impact in our community.

For many donors, investing with the Community Foundation is like having their own private foundation-without the expense and the administrative hassles. The Community Foundation offers several advantages to its donors, and offers distinct benefits over private foundations and commercially sponsored gift funds:

Private Foundation vs. Community Foundation

Factors                     

CFSEMA

Private Foundation

Commercially Sponsored

Gift Funds

Initial Contribution                        

$10,000

$5 million to be cost-effective

$10,000 plus

Start-up costs

None

Legal and accounting fees

None

Annual administrative fees

1%

On-going legal and accounting fees

1%-1.75%

Max. Tax deduction for cash gifts (% adj. gross income)

 

50%

 

30%

 

50%

Max. tax deduction for gifts of appreciated securities

 

30%

 

20%

 

30%

Excise tax on investment income

 

None

 

Yes

 

None

Pay out requirement

None

Yes

None

Requires donor time and expense

 

No

 

Yes

 

No

Grantmaking consultation

Yes – no charge

Must hire staff or consultant

 

 

None

Access to community-wide knowledge base

Yes – no charge

 

No

 

No

Research and evaluation on charitable organizations

Yes – no charge

 

Must hire staff

 

No

Anonymity

Yes – full anonymity if desired

 

No

 

No

Full range of planned giving opportunities

Yes – no charge

 

Additional legal fees

 

Limited