Establish a Fund

Download the Types of Funds for Personal Giving .

Type of Fund	Unrestricted
Purpose	For the changing priority initiatives of the community as determined by the Community Foundation's board of directors
Minimum to Establish	$25,000
Minimum Distribution/Grant	NA
Administrative Fee	1% of fund balance annually; computed and charged quarterly
Investment Mix	70% equity/30% fixed
Available to grant (spending policy)	About 5% annually
Grant Process	Through application by nonprofits
Fund Agreement	Unrestricted Endowment Fund Agreement

Type of Fund	Field of Interest	Scholarship
Purpose	Particular area of donor interest	Help individuals attain educational goals
Minimum to Establish	$25,000	$25,000
Minimum to Grant	$500	$500
Fee	1% of fund balance annually, computed and charged quarterly	1.25% of fund balance annually, computed and charged quarterly
Investment Mix	70% equity/30% fixed	70% equity/30% fixed
Available to Grant	About 5% annually	About 5% annually
Grant Process	Through application by non-profits	Process established by Community Foundation
Policies and Procedures	NA	Scholarship Policies and Procedures
Fund Agreement	Field of Interest Fund Agreement	Scholarship Fund Agreement
Information Form	Field of Interest Information Form	Scholarship Information Form

Type of Fund	Donor Advised	Donor Designated
Purpose	For any variety of charitable purposes the donor wishes to support	Support specific charities designated by the donor
Minimum to Establish	$25,000	$25,000
Minimum to Grant	$250	NA
Fee	1% of fund balance annually; computed and charged quarterly	1% of fund balance annually; computed and charged quarterly
Investment Mix	70% equity/30% fixed	70% equity/30% fixed
Available to Grant	About 5% annually	About 5% annually
Grant Process	By recommendation of the donor advisor(s)	By Community Foundation annually to named grantees
Guide	Guide to Donor Advisor	Guide for the Designated Donor
Fund Agreement	Donor Advised Fund Agreement	Donor Designated Fund Agreement
Information Form	Donor Advised Information Form	Donor Designated Information Form

Type of Fund	Charitable Investor	Charitable Checking AccountSM
Purpose	Support specific charities designated by the donor	For current giving; usually from gifts of appreciated assets or cash
Minimum to Establish	$25,000	$10,000
Minimum to Grant	$250	$100
Fee	1% of fund balance annually, computed and charged quarterly	$100 annual fee
Investment Mix	Five choices: 0% equity/100% fixed to 100% equity/0% fixed	NA. Balance guaranteed
Available to Grant	Donor determined	100%
Grant Process	By recommendation of donor advisor	Upon direction of advisor to eligible nonprofits
Guide	Charitable Investor Guide	Charitable Checking Guide
Fund Agreement	Charitable Investor Fund Agreement	Charitable Checking Information and Authorization Form
Information Form	Charitable Investor Information Form	NA

Type of Fund	Organization Endowment
Purpose	Support the operations of a donor nonprofit organization
Minimum to Establish	$25,000
Minimum to Grant	NA
Fee	1% of fund balance annually; computed and charged quarterly
Investment Mix	70% equity/30% fixed
Available to Grant	About 5% annually
Grant Process	By Community Foundation annually to donor organization
Guide	Non-Profit Organization Information
Fund Agreement	Organization Endowment Fund Agreement
Information Form	Organization Information Form

Often people create a fund in memory or honor of someone special. This can be done to celebrate a special anniversary, birthday, or milestone, or to memorialize someone who has passed.

For more information, visit the create a Memorial Fund page.

The Foundation may be designated as the beneficiary of a bequest or gift by the terms of the donor’s will or by a revocable or irrevocable trust. Sample bequest language for restricted and unrestricted gifts is available to donors and their attorneys to insure that the bequest is properly designated.

The Foundation has established a pooled income fund. A donor irrevocably transfers property to the pooled income fund and retains an income interest for the life or lives of up to two income beneficiaries designated by the donor. Each income beneficiary receives a proportionate share of the net income earned by the fund. Upon termination of the income beneficiary’s interest, the remainder interest in the property is transferred to the Foundation for uses specified by the donor at the time the gift is made.

The Foundation offers charitable gift annuities. The Foundation and the donor enter into a contract providing a fixed dollar return for life to the donor and/or other beneficiaries, in exchange for a gift of cash or marketable securities to the Foundation. The amount of payment is dependent upon the age of the donor and the size of the gift. The date that income payments to the beneficiary begin may be deferred. The annuity contract is a general obligation of the Foundation. Payment rates reflect the recommendations of the American Council on Gift Annuities and are approved by the New York State Department of Insurance.

A donor may contribute a personal residence or farm to the Foundation and retain the right to occupy the property until death. Upon the donor’s death, the Foundation will own the entire interest in the property. These types of gifts will be evaluated in accordance with the Foundation’s Policy and Guidelines Relating to Gifts of Real Estate.

A donor may contribute a new or existing life insurance policy to the Foundation naming the Foundation as owner and beneficiary. Upon the donor’s death, the proceeds will be used by the Foundation to create an endowed fund in the donor’s name. The donor continues to make all premium payments and they are tax deductible. 

Retirement plans owned by the donor may be gifted to the Foundation at death.  These include Individual Retirement Accounts (IRA), 401(k), 403(b), and defined contribution plans.  (Annuity plans, such as defined benefit plans, in which retirement benefits are paid out as income and principal does not accumulate, generally cannot be used for charitable gifts.) Methods for gifting retirement assets include:

• Naming the Foundation as primary, successor or contingent beneficiary for all or part of the assets upon death of either the retirement asset owner or spouse;
• Creating a testamentary charitable remainder trust with the assets upon the death of the asset owner, naming the Foundation as remainder beneficiary and non-charitable heirs as income beneficiaries.

Under a charitable lead trust, the Donor irrevocably transfers money, securities, or other property to a trustee selected by the donor. The Foundation is given an income interest in the trust assets for a period of years or the lives of one or more individuals, at the end of which time the assets of the trust are distributed to non-charitable beneficiaries designated by the donor. The trustee pays the Foundation each year: 1) a fixed amount from the trust; or 2) a fixed percentage of the net fair market value of the trust’s assets, as determined each year. As indicated below, the Foundation will not serve as trustee of a charitable lead trust.

Under a charitable remainder unitrust, the donor irrevocably transfers money, securities, or other property to a trustee selected by the donor. The trustee pays the donor (or one or more income beneficiaries designated by the donor) a fixed percentage of the net fair market value of the trust’s assets, as determined each year. The payments are made for the life or lives of the income beneficiaries or for a fixed period of years not to exceed 20 years. Upon termination of the income beneficiary’s interest, the assets of the unitrust are transferred to the Foundation. As indicated below, the Foundation will not serve as trustee of a charitable remainder unitrust.

A charitable remainder annuity trust is identical to a unitrust, except that the income beneficiary receives a fixed dollar amount annually from the trust. As indicated below, the Foundation will not serve as trustee of a charitable remainder annuity trust.

Download the General Gift Acceptance Policies and Guidelines.pdf.

Any gift of cash may be accepted by the Community Foundation. Checks should be written to: "Rochester Area Community Foundation – (Name of Fund)". Our mailing address is:

Rochester Area Community Foundation
500 East Ave
Rochester NY, 14607

Bequests, New Fund

When leaving a bequest to the Community Foundation, we suggest that you keep the language in your will as general as possible (perhaps just naming the Fund) and indicated that additional details as to the charitable purpose are contained in a letter of understanding on file with Rochester Area Community Foundation that way, you can update the letter of understanding with the Community Foundation at any time and not have to incur the expense and bother of rewriting your will. The minimum amount required to create a new fund is $25,000.

The following may be provided to your attorney:

“I give and bequeath (describe gift – dollar amount, percentage, or item) to Rochester Area Community Foundation, Rochester, New York, to establish a permanent endowment fund known as the ______________ Fund.  I direct that the income from this fund be used for ___________ (specify charitable purpose or indicate, “for community benefit at the discretion of Rochester Area Community Foundation”).

Bequests, Existing Fund

The following may be provided to your attorney:

“I give and bequeath (describe gift – dollar amount, percentage, or item) to Rochester Area Community Foundation, Rochester, New York, to add to a permanent endowment fund known as the ______________ Fund.  I direct that the income from this fund be used for charitable purposes as defined in the fund agreement.

Gifts of publicly traded stock held at a brokerage can be electronically transferred to the Foundation. Stock held in certificate form must be delivered to the Foundation office. DTC Instructions.

Real Estate must have a fair market value of $50,000 or more to be considered. In general, an appraisal, and inspection must be completed for all real estate. Please see the “Policy and Procedure for Potential Gifts of Real Estate” for more details.

In general, the Community Foundation will only accept contributions of limited partnership interests. The Foundation cannot accept general partnership interests, due to the exposure to claims of creditors and other liabilities. The Community Foundation will only accept interests in passive, investment-type partnerships, such as those holding rental real estate, stocks, bonds, and other investments. We cannot accept interests in partnerships that carry on an active, for-profit business. Please see the “Policy and Procedure for Potential Gifts of Partnership Interests” for more details

Download the Investment Policy .

Learn about our Fee Schedule.