Creating a new fund through the Community Foundation of Washington County is a "piece of cake," Executive Director Bradley N. Sell said.
Individuals, families, corporations, financial institutions, probate courts, bequests, private foundations and charitable organizations can establish endowment funds and choose how the funds are distributed.
The establishment of a new endowment fund requires a $1,000 cash or property donation with the intent of growing the fund balance to $5,000 in five years.
To start a new fund:
- Define your charitable and financial objectives. How do you want your gift to be used? Do you want future family members involved? Do you want income from a trust during your lifetime? How involved do you want to be in making grant choices?
- Select the type of fund that matches your charitable interests.
- Decide how much you want to contribute to the charity for this year or over the next several years, or determine how much you might set aside as a permanent fund to generate annual income for charitable giving.
- Choose a name for your fund.
- Determine which asset you will use in creating your fund: cash, securities, real estate or such personal property as art or jewelry.
- Decide if a charitable trust would benefit you. You can provide income for a certain number of years to yourself or someone you choose. You can also give your favorite charities gifts in perpetuity after the death of the last beneficiary.