Wamego Community Foundation
Wamego Community Foundation
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Phone: (785) 477-3277
Email: wcf@thewcf.org
To Inspire Giving and Philanthropy in a Caring Community

Personal Giving and Donor Advised Grant Making

The Donor Advised Fund 

Stated in the plainest of terms, the creation of a Donor Advised Fund is the simplest and most straight-forward personal approach to giving. Creating a permanent Donor Advised Fund with the Wamego Community Foundation is easy and requires little time to establish and has the distinct advantage of enabling donors to simplify and consolidate their charitable giving into a single, comprehensive instrument while preserving the opportunity to remain actively involved in recommending grants to nonprofit organizations and various charitable causes and projects.  Furthermore, Donor Advised Funds provide an excellent way to build a tradition of endowed charitable giving in a family which can continue for generations.  In establishing this tradition and laying the groundwork for long term family giving, donors often choose to involve their children and even grandchildren as advisors during their lifetime, including having them designated as successor fund advisors when they no longer are desire or are able to be actively involved with the fund. 

Donors who have established Donor Advised Funds may recommend that the fund make grants to any 501(c)(3) public charity located within the United States.  Both the Manhattan Foundation and the Wamego Foundation perform due diligence for the purpose of confirming that grants from funds held by these two Foundations are made to organizations that meet current 501(c)(3) IRS requirements and are in good standing thereunder.  The Manhattan Foundation Executive Board of Directors, together with the Wamego Foundation Board of Directors are legally responsible at all times for approving all grants that are made and given, and ensuring that such grants are administered in accordance with applicable IRS regulations in effect at the time the grants are awarded and given.  All administrative details in connection with conferring and giving of grants by the Manhattan Foundation and the Wamego Foundation are addressed and taken care of by these Foundations, thus enabling donors of Donor Advised Funds and other funds of the two Foundations to focus their attention on charitable giving!  Payment of grants awarded to all recipients is paid by check and each check features the name of the fund on the check from which monies have been awarded and are being disbursed.  Thus, each recipient charity clearly understands that its grant was made possible through the recommendation of the donor, unless the donor has directed that the grant is to be made anonymously.

Restrictions on Grants from Donor Advised Funds

Under current Federal Tax law, grants from amounts held in Donor Advised Funds may not, under any circumstances, be used for any of the following purposes:

  • To satisfy or fulfill the irrevocable or legally binding pledge or other financial obligation of a donor, or the irrevocable or legally binding pledge or other financial obligation of any party related to the donor which, in each case. is made or given to a nonprofit, religious or educational institution;
  • To provide support of any kind to any lobbying or political campaign activities whatsoever;
  • For the purchase of raffle tickets regardless of their purpose or  the raffle sponsor;
  • To pay an assessment for a membership or dues, or event tickets, dinner, preferred seating or parking, or any other activity that provides a direct or indirect benefit to the donor or any party related to the donor;
  • To pay or advance monies for any personal expenses whatsoever incurred by a relative or other related, including tuition and other educational expenses;
  • To provide any other substantial private benefit to any individual, or to an entity for the benefit of a specified individual, and regardless of whether or any such individual is related to the Donor

Key Benefits of Utilizing the Donor Advised Fund: 

  • Can be used to create a lasting gift in the name of the donor or in the name of a loved one designated by the donor.
  • It provides the opportunity to establish a gifting fund which acts like a private foundation, but without the administrative work, report obligations and expense incurred in creating a private foundations.
  • The Donor Advised fund enables the donor to participate in the grant making process.
  • It provides donor access at all times to the expertise and support of the community foundation's governing board, professional staff and investment managers and investment advisors.
  • The donor/advisor of a Donor Advised Fund which has been created by the donor is entitled to add monies, property and other assets to this fund at any time.
  • The donor is entitle to an immediate tax deduction evidenced by a written receipt provided by the community foundation at the time each donation is made and deposited in the Donor Advised Fund.
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