Frequently Asked Questions
Why should my client establish a named fund at The Spartanburg County Foundation?
The Spartanburg County Foundation can help you, and your clients, accomplish personal philanthropic and estate planning objectives in a cost-effective fashion. There is virtually no limit to the type of charitable goal that can be accomplished through The Spartanburg County Foundation.
How is a community foundation different from a private foundation?
A community foundation is a collection of named funds all operating under the administrative umbrella of a single, publicly-supported entity. Community foundations typically operate broad-based grant making programs. They also distribute specific grants as defined by original donor agreements.
Donations to a community foundation generally qualify for higher tax deductions. A single audit and a single 990 form cover all funds operating within a community foundation. Community foundations also pay no tax on their earnings. There are no minimum payout requirements and funds can accumulate for some future charitable purposes.
While professional advisors vary on the specific amount, many will agree that private foundations are not cost-effective for donations of $1 million or less.
The end result of this pooling of funds is the saving of administrative costs; making more funds available for deserving charities.
Is The Spartanburg County Foundation for clients interested in giving now or through an estate plan?
Your clients have the ability to do both with The Spartanburg County Foundation. There are currently over 800 different named funds operating within the Foundation. Some are endowed to provide perpetual support for causes or organizations favored by the original donors. It is also possible to create funds that distribute part, or all, of the original gift over a period of time.
How do my clients create a fund?
The Spartanburg County Foundation uses a “Letter of Agreement” format to establish a fund. This simple document outlines the purpose of the fund so that the donors’ intentions are clear. Funds can be created in a matter of minutes with no costs. The Spartanburg County Foundation is happy to provide professional advisors with sample documents. If you would like copies of specific fund agreements, please contact Joan Moore, donor services/development associate.