There isn’t a right or wrong way to administer your foundation—staffed or unstaffed, paid or volunteer, consultant or employee. Choose the right model for you Volunteers Many small foundations are administered entirely by volunteers. Often, a founder or board member responds to calls, keeps records, and pays bills, just to name a few common tasks;... Read More
To develop a filing system as part of your overall records management system, first sort your documents into major categories that fit with your foundation’s operations. Foundations sort their documents in different ways; some foundations, for example, sort according to the following categories: Founding Documents Legal and Accounting Records Board Records Program Records Personnel Records... Read More
Don’t spend your days dreaming of more engaged members. Here are some ideas to get your trustees’ attention and breathe some life into your board: Communicate with your trustees–Ask them (either individually or as a group) what they want out of board service. Are they satisfied with the way things are? What would they like... Read More
From a tax law perspective, a private foundation may pay “reasonable and necessary” administrative expenses—and count them toward its annual distribution requirement—without subjecting the foundation or its managers to a penalty tax. These expenses must be (a) related to the accomplishment of the foundation’s charitable purposes, (b) related to its investments, or (c) payments of... Read More
Private foundations are subject to several sections within the Internal Revenue Code (IRC). The following list is not comprehensive but addresses eight sections that will guide foundation managers throughout the life of the foundation: Section 4940 imposes an annual excise tax on a private foundation’s net investment income. Foundations will need to pay taxes on... Read More
How do foundation trustees become a vibrant, unified team with members who are moving in the same direction? How do they become a team that respects one another’s values while passionately sharing a clear and common vision? Developing a mission statement can help trustees focus. It’s a challenge to know one’s own values and to... Read More