A Designated Fund allows the contributor to specify one or more charities to receive their gifts, thereby providing the organization with a perpetual stream of income from the fund. A nonprofit organization may also establish a Designated Fund with the investment earnings distributed back to the nonprofit. A Designated Fund is endowed to last forever.
“We established the Dave & Shelley Hickman Endowment Fund for the Lenawee Community Foundation, because we knew that operating funds are more difficult to raise than those for special purposes. This Designated Fund will ensure that the Foundation has operating funds in the future to continue to assist individuals, corporations, communities, and organizations in fulfilling their charitable wishes for our community.” -Dave and Shelley Hickman
Benefits of a Designated Fund
- It’s a simple way for nonprofits to endow future financial stability. The fund is invested with earnings providing a permanent source of income for the beneficiary nonprofit.
- Economies of scale provide a diversified investment portfolio and low investment fees, typically offered to only large funds.
- Donors can give back to organizations that have touched their lives. They can leave a bequest, benefit a specific charity, or create a personal legacy.
- Donors receive federal tax deductions and Michigan tax credits for gifts to any Designated Fund.
- The Lenawee Community Foundation facilitates even the most complex gifts and handles all the administrative details, so the nonprofit can focus on its mission.
- A Designated Fund will grow over time, provide lasting support, and fulfill its charitable intent.
Reasons People Choose to Give through the Lenawee Community Foundation
- We are a local organization with broad expertise & personalized service.
- We help people invest in the causes they care about.
- We accept a variety of assets, and partner with your professional advisors to assure maximum tax benefits.
- We can multiply your impact & help you create a personal legacy to benefit our community.