Types of Funds
We offer a wide range of options for donors considering establishing a fund, from ways you can give right now to ways you can give later.
Presently the Community Foundation manages 46 committee advised and donor advised funds. These funds provide philanthropic vehicles for families and groups to distribute grants and gifts to charities they care about. In several instances these funds were established as alternatives to or successors to private foundations.
- Establishing an Advised Fund at the Community Foundation offers many benefits that include:
- maintaining your role in choosing the recipients of your grants and scholarships
- managing your administrative activities including meetings and correspondence
- assisting you with the review and evaluation of scholarships applications, grantee proposals and performance
- providing investment management and oversight
- eliminating accounting, filing and management fees
- providing technical assistance in fundraising, marketing, and Board development.
Donor Advised: The donor may recommend that grants be made from the income and/or principal of the fund for nonprofit purposes. While tax laws require that the Community Foundation not be bound by the donor’s suggestion, the Distribution Committee is pleased to have the opportunity to consider grants to recommended beneficiaries whose needs are consistent with its distribution policies. Such advice can include ideas for support of a specific nonprofit organization and/or programs of interest to the donor. This fund is the choice for individuals and family groups who want to work with the Community Foundation staff to develop and implement tailored giving programs.
Committee Advised: The largest Committee Advised Fund, the Acushnet Foundation Fund, merged into the Community Foundation in 2005 after a 50 year existence as an independent private foundation. The Acushnet Foundation Fund currently has more than $8 million in assets.
For more information regarding establishing an Advised Fund at the Community Foundation, please contact the John Vasconcellos at 508-996-8253 ext. 201.
Designated Funds: For the donor who wishes to provide permanent support to a particular nonprofit organization or a number of nonprofit organizations. Principal and income can be distributed in accordance with the donor. However, the IRS requires the Community Foundation’s board to give final approval for all distributions. This fund is selected by people who wish to provide annual support to one or more designated charitable organizations in perpetuity. For many, this is a way to endow their annual giving to organizations they have supported over the years
Field of Interest Funds: The donor may specify a particular area of concern or interest but not an organization. This frees the gift from restrictions if not relevant or practical in the future. The Distribution Committee advises the donor on disbursement of the funds, and selects the most appropriate program within the fields specified by the donor. This fund appeals to people who prefer to direct their contributions for specific areas of interest or concern such as support for the homeless, public education, or the performing arts.
Organizational Endowment Funds: A number of Southcoast nonprofit organizations have entrusted the Foundation with management of their endowments and receive regular grant distributions from their fund
Scholarship Funds : Scholarship funds are accepted by the Community Foundation to develop support of, and participation in, the philanthropic interests and activities of the Foundation and the greater Southeastern Massachusetts community We currently manage 65 scholarship funds. They are a means of encouraging endowment support, stimulating interchange of ideas between donors and the Foundation, promoting educational opportunity and providing funds to extend the charitable programs of the Foundation. The Foundation encourages donors to create scholarship funds that will remain as permanent endowments in the Foundation.
Bequest by Will: You can designate a gift or portion of your estate to your community foundation and, in some cases, receive a substantial reduction in federal gift and estate taxes.
Charitable Gift Annuity: You can make a gift of cash or property to your community foundation now, get immediate tax benefits, and ensure that you or a loved one receive fixed quarterly or annual income payments for life.
Charitable Remainder Trust: You can place cash or property in a trust that pays annual income to you (or another named beneficiary) for life. After your death, the remainder of the trust transfers to your community foundation and is placed into a charitable fund you have selected. You receive income tax benefits the year you establish your trust.
Charitable Lead Trust: You can place cash or property into a trust that pays a fixed amount to your community foundation for the number of years you select. Once this period ends, the assets held by the trust are transferred to the beneficiaries you name. In some cases, you receive a substantial reduction in federal gift and estate taxes.
Individual Retirement Account (IRA): Naming the Community Foundation of Southeastern Massachusetts as beneficiary of your IRA reduces your estate taxes and avoids taxes if given to heirs.
Gift of a Real Estate: You may donate a residence or other land as a gift. To learn more, contact John Vasconcellos at 508- 996-8253 extension 201.
Gift of Life Insurance: Life insurance provides a simple way for you to give a significant gift to charity, with tax benefits that you can enjoy during your lifetime.
Visit the Professional Advisor section for a list of Estate Planning Tools.
For information about Charitable Remainder Unitrusts, please contact Pam Evans or call 508-996-8253 extension 204.