Are you considering establishing a charitable foundation of $1.5 million or more? If so, a supporting organization may be an alternative to consider.
A supporting organization is a tax concept that allows a private foundation to enjoy the privacy, flexibility and tax advantages of a donor advised fund.
Here are some of the benefits:
- The option to maintain the investment management with your current financial advisor, through our Investment Partners Program, or the ability to take advantage of the foundation’s professional investment management.
- No administrative responsibilities with a fund. GGBCF handles all administration — accounting, due diligence on grantees, grants follow-up & IRS reporting.
- No start-up costs.
- More tax advantages — tax treatment of all gifts is more favorable (for example: Receive up to 50% of AGI with cash donation, as opposed to 30% with a private foundation).
- No 2% excise tax on earnings.
- Maintain name of private foundation & advisory capacity.
- Minimum payout not required.