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Call the Community Foundation of Anne Arundel County today at 410-280-1102 to discuss your philanthropic goals and needs.

Click on a question to be taken to the answer below.

What is a Community Foundation?

Why philanthropy?

Why do people become donors to the Community Foundation of Anne Arundel County?

Why establish a fund with the Community Foundation instead of giving directly to a favorite charity?

Why should I set-up a fund with the Community Foundation instead of a private, family foundation?

I am frequently asked to support organizations and good causes in our community. It is hard for me to say no to people in some situations. Can the Community Foundation help me with this?

Are Community Foundations only for the wealthy?

Who governs the Community Foundation?

What are the financial benefits and tax advantages of gifting through the Community Foundation?

How can people give to the Community Foundation?

Can I/should I involve my attorney, CPA, estate planner, etc.?

What is the best way to make a gift that will meet unforeseeable needs in our community?

Is it hard to open a Donor Advised Fund?

Can I make a gift to an organization that is not a 501(3)(c) through my Donor Advised Fund?

Can I pass my Donor Advised Fund on to my children?

How do I contact the Anne Arundel Community Foundation?



What is a Community Foundation?
A community foundation is a public 501(c)(3) charity that serves as a vehicle for community philanthropy. As a tax-exempt public charity, community foundations help individuals, families, businesses and organizations establish charitable funds to which they may contribute various assets. From these funds, charitable investments/grants are made in order to support the projects that respond to the needs of the community and the philanthropic objectives of the donor. By combining gifts, contributions to the foundation can often be invested more prudently. In addition, donors receive the maximum tax benefits allowed by law for charitable contributions.

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Why philanthropy?
People have a desire to help. People want to make a difference. And they want to be a part of a process that will continue to make their community better with each generation. People give for all kinds of reasons:
• to teach their family through their good example;
• to give someone the same opportunity in life that others once gave them;
• to ensure a strong community for their loved ones;
• to be involved; and
• to share their good fortune.

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Why do people become donors to the Community Foundation of Anne Arundel County?
Donors to the community foundation are people with a strong sense of community and personal commitment to making a contribution to the communities in which they live. Some donors want to support worthwhile causes in their communities, and the community foundation, which offers considerable expertise and familiarity with the community, can help them find the best way to commit their funds. Other donors appreciate the speed, flexibility, and ease of using the community foundation. Because the legal apparatus is already in place, existing forms are available so that a fund can be established quickly and easily.

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Why establish a fund with the Community Foundation instead of giving directly to a favorite charity?
If a donor wants broader oversight and long-term benefits for a charity or a cause, he or she may set up an endowment at the Foundation managed to benefit one or more specific charities or charitable causes, forever.

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Why should I set-up a fund with the Community Foundation instead of a private, family foundation?
Often, people establish a private, family foundation because they don't know that in many cases working through a community foundation offers an easier alternative. In addition to the tax benefits, setting up a fund through the community foundation has an extremely short turn around time. Additionally, the staff of the foundation takes care of auditing and financial reporting requirements. Many community foundation donors are also pleased by the fact that community foundations have none of the annual payout requirements of family foundations. That means donors may take the time necessary to be thoughtful in recommending charities to receive grants from their fund.

Community Foundations combine the tax advantages of a public charity with the lasting quality of a private foundation. Gifts of cash and ordinary income property to a community foundation are deductible up to 50% of adjusted gross income versus 30% for a private foundation. Gifts of appreciated property can be credited for 30% versus 20% for a private foundation. There is no excise tax on community foundations as there is on private foundations.

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I am frequently asked to support organizations and good causes in our community. It is hard for me to say no to people in some situations. Can the Community Foundation help me with this?
Yes, often times with Fund Holders the Community Foundation is asked to become the screening arm of the Fund. Donors simply direct all solicitations to the Community Foundation Office and our staff fields the requests and then will pass them on to you. Once you make a decision he/she will then pass this on to the organization. We are here to serve our Fund Holders and make giving more efficient and hassle-free.

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Are Community Foundations only for the wealthy?
No, the community foundation accepts contributions of all sizes. Your contributions can be combined with those of others who share your charitable interest to provide maximum impact to the community at minimum administrative costs.

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Who governs the Community Foundation?
Anne Arundel Community Foundation is governed by a board of directors that represents broad cross-section of the community.  Our board members are selected for their knowledge of the community and its needs, their experience and skills, and their ability to contribute to the mission of the foundation.

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What are the financial benefits and tax advantages of gifting through the Community Foundation?
Because the foundation pools the assets of all of its’ funds, administrative costs and service fees for any one fund are minimized - meaning less overhead cost to a donor's fund.

The Anne Arundel Community Foundation also has a number of different types of funds to accommodate donors who prefer the long-term strategy of endowments as well as those who want to give more actively each year. Donors can choose to establish one of these funds, which allow them to recommend grants, or can choose to contribute to an existing fund that is flexible to respond to emerging needs in the community.

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How can people give to the Community Foundation?
Individuals may choose to give now, enabling them to support local charities during their lifetime and in perpetuity. This can be done with gifts of cash, stocks, real estate, or other assets.

Those who choose a deferred gift can take advantage of key elements in estate planning. These planned gifts allow for tax advantages now for the commitment of a charitable gift later. Charitable Remainder Trusts, Charitable Lead Trusts, gifts of life insurance and retirement plan assets may all be used to establish a fund.

Donors may also include provisions in their wills for contributions to an established fund or to create a new fund at the Community Foundation. A contribution may save estate taxes as well as ensure the donor's charitable interests will be supported.

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Can I/should I involve my attorney, CPA, estate planner, etc.?
The Community Foundation works with Professional and Financial Advisors regularly to assist donors in the philanthropic process. We encourage you to include any of your Advisors in exploring and deciding to establish a Gift Fund or Charitable Trust.

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What is the best way to make a gift that will meet unforeseeable needs in our community?
A contribution to the Unrestricted Fund of the Anne Arundel Community Foundation is the best way to make a gift that will address the future needs of the community. Community leaders, now and in the future, know our potential and our problems. Increasing our Unrestricted Funds will increase the health of the community in the decades to come, as decisions are made on the most informed basis possible.

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Is it hard to open a Donor Advised Fund?
No, the process is very simple and can be done in a matter of hours. It entails drawing up an agreement which the Community Foundation will provide (generic agreement) and then we ask you and your advisors to review and personalize the document. Once this is complete and signed the only other step is to either write a check, or transfer funds into the Community Foundation account.

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Can I make a gift to an organization that is not a 501(3)(c) through my Donor Advised Fund?
No, in order to maintain and preserve the tax deductibility of your contributions and those of our other Donors, we can only give to those organizations that the IRS deems non-profit.

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Can I pass my Donor Advised Fund on to my children?
Yes, not only can you pass the Fund on to your children, we encourage families to include their children on their Board of Advisors even when they are young so that they can begin to be mentored by you in the philanthropic process. Later as the Children grow they will be familiar with the process and committed to serving the community. When you decide it is time to step, back your children can take over the Fund and hopefully begin the mentoring process for their children.

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How do I contact the Anne Arundel Community Foundation?
You may contact the community foundation by calling 410-280-1102 or by e-mailing questions to info@annearundelcf.org.

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