Advisor FAQs
Establishing a New Fund
What are the benefits to my client using the Community Foundation of West Texas?
The Community Foundation of West Texas makes your client’s philanthropy simple and effective. We handle all of the administration, record keeping, and issuance of financial statements. If your clients are uncertain about what charities or causes they wish to support, our knowledgeable staff can assist them in determining their philanthropic goals, suggesting charities of which they may not have been aware.
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The foundation is equipped to handle a wide variety of gifts such as real estate, publicly traded and closely held stock, and life insurance.
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How can my client learn about establishing a fund at the Community Foundation of West Texas?
If your client would like to learn more, we can send you and/or your client information with additional detail on the types of funds we offer. We would be delighted to speak in person or over the phone regarding the establishment of a fund. Feel free to contact Michelle Tosi-Stephens at (806) 762-8061 or by clicking here.
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What are the minimum amounts for setting up a fund at the Community Foundation of West Texas?
The minimum amount to establish a donor-advised, field-of-interest, designated, or unrestricted fund is $5,000. The minimum amount to establish a scholarship fund is $10,000.
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How long does it take for a fund to be set up?
A fund can be set up as quickly as one or two days. The process is very simple, and we need only to have a signed fund agreement from your client to set up a new fund. The fund will be formally established and available for grantmaking after the charitable gifts have been transferred to the foundation for one year.
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What are the fees for setting up a fund?
We do not charge any fund startup fees. However, there are administrative fees charged by the Community Foundation of West Texas and investment fees charged by the investment advisor. Investment fees are tiered based on the type and size of the fund.
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Are there sample documents from which I can set up a fund for my client at the Community Foundation of West Texas?
We have sample template document which can be used to set up a fund at the foundation. You can find these documents on our Fund Types page. You can also contact Michelle Tosi-Stephens at (806) 762-8061 or by clicking here to obtain these documents.
Donor-Advised Funds
How does a donor-advised fund work?
A donor-advised fund may be established with a minimum gift of $5,000. At that time, your client will receive a charitable tax deduction for the gift. Your client is then free to make grant recommendations to 501(c)(3) charitable organizations from the established fund.
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Can charitable funds of the Community Foundation of West Texas benefit geographic areas other than the South Plains?
As a philanthropic partner, we help our donors work toward their charitable goals. Consequently, they are free to make grant recommendations outside of the South Plains area However, grants can only be made to foreign organizations if they have a United States affiliate or fiscal agent through which the grant can be made.
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Can my clients involve their children in the grantmaking process?
Yes, children can be named as successor advisors to a donor-advised fund and can continue the family tradition of recommending grants. Upon the death of the successor advisors, the foundation’s board of directors will continue to make grants from the fund in accordance with client wishes.
Gifts to the Community Foundation of West Texas
What types of assets can my client use to make a gift or start a fund?
The foundation has the ability to accept a wide range of assets, including cash, checks, stocks or bonds, real estate, life insurance policies, and personal property (such as jewelry or artwork).
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Does the Community Foundation of West Texas work with legal counsel on complex gifts?
We do work with our own legal counsel on complex gifts to ensure that they are properly documented, transferred, and valued. We encourage potential donors to partner with us by involving their own counsel in the gift process where complex assets are concerned.
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Does the Community Foundation of West Texas accept contributions from individual retirement accounts?
The foundation does accept assets from individual retirement accounts, including those gifts that would be considered qualified charitable contributions under the Pension Protection Act of 2006. Feel free to contact Michelle Tosi-Stephens at (806) 762-8061 or by clicking here if you have questions about making such a gift.
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What if my client wishes for a gift or fund to remain anonymous?
We are sensitive to our donors’ wishes to remain anonymous. At your client’s request, we can establish a fund, accept a gift, or make a grant in an anonymous manner.
Planned Gifts
What types of gifts does the Community Foundation of West Texas accept?
The foundation offers a variety of planned giving options, including charitable gift annuities, charitable remainder trusts, charitable lead trusts, and retained life estates. Please feel free to contact Michelle Tosi-Stephens at (806) 762-8061 or by clicking here if you or your client have questions about such a gift.
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Does the Community Foundation of West Texas accept other types of planned gifts?
Yes, the foundation gratefully accepts bequests from wills and trusts, and proceeds from life insurance policies.
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What are the minimum amounts for a planned gift?
There is no minimum for a bequest.
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What if my client wishes to make a bequest to the Community Foundation of West Texas? Is there standard language that should be used?
We offer Sample Bequest Language,a resource about drafting wills and trusts, to assist you, or you can contact Michelle Tosi-Stephens at (806) 762-8061 or by clicking here.
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Is there any obligation to set up a split interest gift once the calculations are prepared?
Not at all. While we would like to work as a philanthropic partner with you and your client, we see our role as a resource in order to ensure that your client is comfortable with long-term charitable plans.
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Can my client specify what they want a planned gift to support once it matures?
Yes, your client can state in a will or trust document what specific charities or general fields of interest he or she wishes the remaining assets of the planned gift to support.
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What are the fees involved with planned gifts?
The foundation charges no setup fees for planned gifts. Additionally, there are no administrative fees charged for bequests, insurance gifts, retained life estates, or charitable gift annuities.
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What if my client wants a planned gift to remain anonymous?
We are sensitive to our donors’ wishes to remain anonymous. At your client’s request, any planned gift or resulting fund can be established in an anonymous manner.
Miscellaneous
How would I be able to learn more about the Community Foundation of West Texas if I feel it is a good option for my client's charitable interests?
We would be happy to speak to you in person or over the phone. Just contact Michelle Tosi-Stephens at (806) 762-8061 or by clicking here. If you wish, we can send you information to answer any questions you have about our history, the funds and planned gift programs we offer, or our grantmaking efforts in the South Plains area.