Community Foundation for Palm Beach and Martin Counties

Private Foundation Services

A private foundation can be a great vehicle for charitable giving, but sometimes the process of managing the foundation's affairs can diminish the joy of giving or become a burden to maintain. Let the Community Foundation be your philanthropic partner.

Has your private foundation been affected by any of these factors?

• The original purpose no longer applies or the philanthropic mission needs to be updated to meet changing community needs.
• Rising operational and investment management costs.
• Keeping up with new and changing government regulations, such as the 2006 Pension Protection Act or the 2001 Patriot Act, requires too much of your time.
• It is difficult to meet the annual 5% payout requirement.
• The founder prefers that the family focus on philanthropy, rather than on investments and administration.

In any of these scenarios, the Community Foundation may be the best alternative.

We offer several options:

• Option 1: Convert the foundation into a named advised fund.

Rollover your private foundation into a named advised fund or supporting organization, and let our experienced staff help you achieve your charitable goals. Your new named advised fund can maintain the same name, identity and charitable goals. Continue your charitable giving without the burdensome administrative costs, IRS requirements, compliance regulations and excise tax payments associated with a private foundation.

• Option 2: Donate the annual 5% payout into a donor advised fund OR to our Community Impact Fund to be distributed through our grantmaking strategies.

If you have trouble meeting your private foundation's annual 5% payout requirement, the Community Foundation can assist by accepting contributions from this payout. Because the private foundation's contribution to the Community Foundation is a "qualifying distribution," it counts toward the 5% payout.

The 5% payout can be placed in a donor advised fund and distributed to charity within 12 months. The private foundation makes one grant, and the Community Foundation then disburses grants to qualified agencies based on your recommendations.

You can also give your 5% payout to our Community Impact Fund, allowing our expert grantmaking staff to determine which outstanding and effective local nonprofits will receive funding.

• Option 3: Take advantage of our new Customized Philanthropy Services program.

Private foundations can take advantage of our Customized Philanthropy Services. We offer guidance on the art and science of giving effectively and provide full-service support for your administrative needs. Choose from our Menu of Services.