It is type of fund that enables you to support a specific nonprofit organization, wherever it is located. It might be a group where you volunteer or one that has benefited you or a family member, or it might be a school you attended. And if, in the future, the organization no longer exists or no longer offers the programs you intended to support, the Foundation will identify another nonprofit organization that meets your charitable goals. By establishing a designated beneficiary fund, you benefit from the Foundation’s investment expertise and monitoring services, ensuring that grants will be made to the charitable organization of your choice or for the purpose you intend long into the future.
A designated beneficiary fund is a way to give that is:
Personal: You can ensure that an institution that has special meaning for you can receive support for many years to come.
Flexible: You, or others, can add to the fund whenever you want. ETCF can accept donations of almost any asset, including stock and real property.
Enduring: The fund can be an endowment, assuring that the organization you choose will receive support in perpetuity. Or, you can create an expendable fund, from which grants of any amount can be made at any time.
Efficient: ETCF keeps track of your donations and will provide a single year-end report for tax purposes. The Foundation holds, manages, and invests the assets.
Fast: A designated beneficiary fund can be set up in a matter of hours.
Who is it for?
A designated beneficiary fund is ideal for families and individuals who:
Have a special relationship with an institution that they would like to support over a long period of time.
Want to help an organization expand its funding base.
Would value seeing their charitable assets managed by the Foundation to help ensure
growth and the availability of more grant dollars.
Value knowing that even if the particular charity is no longer operating or has changed its mission, the Foundation will identify another group that meets the donors’ charitable intentions.
Donor Designated Funds are charged the greater of 1% of the fund balance, 1% of actual distributions, or $250 per year (for funds up to $1,000,000). Fees are .75% for funds $1,000,001 to $2,000,000 and .50% for funds $2,000,001 and above. In addition, each fund is charged for out-of-pocket expenses such as investment management fees, sales commissions, or other handling fees incurred directly by the fund.
There is no minimum opening gift.
The minimum amount for each grant made from the fund is $250.00.
There is no fee to establish a fund.
Funds may be endowed (ensuring that grants are made in perpetuity) or expendable (which enables you to make grants of any size at any time).
How to Get Started
Discuss a designated beneficiary fund with your financial advisor or with ETCF