Support specific nonprofits
If you want to create a legacy of support for the organizations you are most passionate about, then a Designated Fund may be the best solution for you.
A Designated Fund provides long-term support to one or more charities that you name so that those organizations receive a gift in your name forever. The Community Foundation invests designated funds and takes care of regularly distributing a portion of the fund’s balance to your designed charities.
You can use cash, stock, or other assets to create a named fund and qualify for an immediate income tax deduction.
Establishing a fund is as simple as signing a fund agreement and making your initial contribution. Designated Funds operate as endowed funds; therefore, we prefer a $20,000 minimum gift to establish a fund to ensure a sustainable portion of the fund’s balance can be paid to the designated organizations.
The funds that your specified charities receive depend on the value of your fund and the Community Foundation’s spending policy, which is typically between 4 and 5 percent of the average fund balance over the past three years. The grants are distributed based on a schedule you create when the fund is established.
Your fund is customized to meet your passions and needs and can name a specific program or operational expenditure. Your fund can also specify operations the fund should not support.
Designated Funds are ideal for donors who know which nonprofits they would like to support and do not feel the need to be actively involved in grantmaking. Donors who want to leave a legacy of support for specific nonprofits they are passionate about may also be interested in a Designated Fund.
Your funds are managed according to our investment policy to protect your principal, generate earnings and income, and ensure capital growth.