No topic in private foundation rules generates more questions than self-dealing. These rules are designed to ensure that foundation assets are used for charitable purposes, not private benefit, by prohibiting certain transactions between the foundation and its insiders (called disqualified persons). The rules are strict: Even minor transactions, or ones that seem to benefit the... Read More
New legislative developments in Washington are adding fresh challenges for funders and foundations. The “One Big Beautiful Bill Act” recently passed the House and now heads to the Senate, where further debate is expected. Thanks to strong sector advocacy, harmful provisions, such as revoking nonprofit status and taxing nonprofit branding, were removed before the final... Read More
Federal funding is a critical lifeline for many nonprofits, including those supported by Exponent Philanthropy members. When disruptions arise—whether from policy shifts, executive orders, or legal challenges—nonprofits may encounter delayed payments, uncertainty about future grants, and cash flow challenges that threaten their programs and operations. For leanly staffed foundations, staying informed isn’t just about awareness—it’s... Read More
Filing Form 990-PF can feel like a daunting task, but with the right preparation, it doesn’t have to be overwhelming. Whether you’re managing the filing process yourself or working with a professional, staying organized throughout the year will save time and reduce stress. This guide will walk you through how to categorize expenses, keep essential... Read More
Your board is responsible for ensuring adherence to legal standards and ethical norms. Trustees must ensure that the foundation follows its articles of incorporation, bylaws, and policies, complies with federal and state requirements, and holds to its purpose to serve the public good. The board also serves as the foundation’s moral compass, protecting it from... Read More
A private foundation must make annual charitable expenditures, called qualifying distributions, equal to at least 5% of the fair market value of its previous year’s endowment. Thus, a foundation with average assets of $5 million in fiscal year 2022 must make roughly $250,000 of qualifying distributions by the end of its next fiscal year, or December... Read More