A community foundation is a tax-exempt public trust available to individuals, companies, and organizations to facilitate fund development, fund management and grant making. Serving as the area's largest pool of charitable endowments, the Beckley Area Foundation offers ease, convenience, and expertise for parties who wish to make a lasting impact upon the charitable needs of non-profit organizations and programs.
What is the purpose of the Beckley Area Foundation?
The Beckley Area Foundation exists to build a better area in which all of its citizens can enjoy life - work, play, and retirement.
Your community foundation does this by providing grants each year in the fields of education, health and human services, the arts, public recreation and beautification.
For these purposes your community foundation accepts financial gifts which are deposited in perpetual trust funds administered by Beckley Area Foundation's trustee banks. Only the income from these funds is spent; the principal remains intact forever.
While other non-profits may ask for your gift because of what THEY want to do, the Beckley Area Foundation asks that you give because of what YOU want to do. Facilitating your charitable goals and objectives is a large measure of BAF's mission.
Who gives to the BAF?
The Beckley Area Foundation is a vehicle through which individuals, families, companies, and organizations can make current and planned gifts to benefit the community both today and for years to come. Funds can be created with a minimum gift of $2,000 and built over a five-year period, or immediately started with a $10,000 donation.
And individual, family, or business may make a contribution in any amount to an existing endowment. BAF also receives many memorial gifts; we send formal awknowledgments to both the donor and to the family of the individual remembered by these permanent gifts. Increasing numbers of donations are received in honor of birthdays, anniversaries, retirements, or some special service.
How to contribute to an existing fund: You can make a contribution of any size simply by writing a check to the Beckley Area Foundation. If your gift is for the general charitable needs of the community, it will be placed in one of the general endowments which receive memorial gifts, honorary gifts, and undesignated gifts, large and small. If you have a special charitable purpose in mind, you can direct your gift to any of our funds which meet that purpose. If you would like to assist in the work of the foundation and help defray administrative expenses, you can direct your gift to the Word-Connor Fund which was created to address these needs.
What kinds of funds can I establish?
Agency Endowments: Enable non-profit organizations to ensure their own future through the creation of an endowment to support their operation or a particular program.
Designated Funds: Support specific charities named by the donor.
Discretionary or Unrestricted Funds: Address the community's most pressing needs and promising opportunities as they change over time.
Donor Advised Funds:This fund allows the donor to remain active in the giving process. Donors may make grant recommendations to the BAF Board for specific charitable organizations and projects.
Field of Interest Funds: Benefit an area of need, such as education or the arts, rather than a specific charity.
Scholarship Funds: Provide access to education to deserving students. (Donors may define the selection criteria.)
Why should I give?
Perpetuity: Your gift to the community is administered by the foundation and becomes a perpetual trust. Its income continues through the years to satisfy your charitable purposes.
Security: Each fund's assets are managed by investment professionals at our area trustee banks according to the guidelines set by the foundation.
Tax Advantages: As a publicly supported organization, the Beckley Area Foundation offers maximum deductibility for income, gift, and estate tax purposes.
Ease: Creating a fund is simple and quick, requiring minimal paper work. The foundation manages investments through the trustee banks, processes distribution of gifts, and files all appropriate tax returns, administering the fund on your behalf.
Flexibility: You can invest many kinds of assets, select the type of fund you want, and add to any fund at any time.
Recognition or Anonymity: You may receive public recognition or remain anonymous. You may name your fund for an individual, family, group, business entity, or special purpose.
Economy: The Beckley Area Foundation operates very economically. All services of the Board of Directors are provided voluntarily. The trustee banks have generously reduced their fees for managing the Beckley Area Foundation's assets. Legal services to prepare the trust agreement are provided at no charge by attorneys who are familiar with trusts, estates, and foundation laws. (The Beckley Area Foundation 990 and Annual Audit are available for review in the BAF office.)
What kind of assets can I give?
Cash: This is the simplest and most convenient way to give and share in the work of the Beckley Area Foundation. Checks should be made payable to the Beckley Area Foundation, Inc. You receive the maximum permitted tax deduction for your contribution in the year the gift is made.
Securities: Marketable securities such as stocks and bonds can be donated to the Beckley Area Foundation. If your securities have appreciated in value over their original cost, this may be the most advantageous way for you to make your contribution. Transfer ownership of the securities to Beckley Area Foundation and avoid paying capital gains taxes while getting a tax deduction for the full market value on the date of the gift, subject only to certain percentage of income limitations; check with your accountant for further information.
Real Estate: Gifts of appreciated real estate offer tax advantages similar to gifts of appreciated securities. Real estate will usually be sold by the foundation and the proceeds reinvested according to the BAF's guidelines.
Life Insurance: If you own a life insurance policy which you no longer need for protection, you can contribute it to the foundation and receive an immediate tax deduction usually in an amount equal to the cash surrender value of the policy. If you wish to keep the policy in force, your continued payments are also tax deductible. Charitable remainder trusts and charitable lead trusts offer still other charitable giving options.
Personal Property: You can use vehicles, works of art, jewelry, antiques or other items of personal property as a gift to the Beckley Area Foundation. They must be items which can be readily sold and converted to other types of investments because the BAF is not permitted to hold assets which do not produce distributable income. Consult with your tax advisor prior to making contributions of tangible personal property.
Make a Bequest in Your Will:You can designate the Beckley Area Foundation as a beneficiary of your estate, to receive a certain dollar amount or as the residuary or contingent beneficiary. Such bequests are free of estate and inheritance taxes.
SAMPLE BEQUEST LANGUAGE
To make a gift to BAF in a will, the following language may be used:
I give, devise and bequeath the cash fund of $________ to the Beckley Area Foundation, Inc. (Foundation) (Federal Tax Number 31-1125328), a non-profit, charitable corporation under Internal Revenue Code (IRC) 501 c 3.
If adding to anexisting Fund:
The funds are to be added to (nameoffund) as an additional endowment with the income to be disbursed according to the directive of this fund.
Ifstarting anew Fund:
The funds are to be held as an endowment with the book income to be distributed annually for the benefit of (describe purpose) as permitted by IRC 501 c 3 and 170, as amended, and within the legally permitted activities of the Foundation. This fund is to be named the ____________________Fund.