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| Field of Interest Fund | |
| What is it? | A
fund created and named by an individual or a family to simplify and
consolidate their charitable giving over time. Assets transferred
into the fund are income tax deductible, and the donor defines a "field
of interest" for grantmaking. The Foundation's knowledgeable
staff then selects charities performing the most effective work in
your field of interest to receive grants from your fund. Sample fields of interest include:
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| When is it used? | When
a family or individual has an opportunity to set aside, on a tax-favored
basis, a portion of their net worth for charitable purposes, and has
identified an issue to support, but would like assistance in making
grants. Many times these funds are established under the terms of
a will or revocable trust, or as the ultimate fund established by
a charitable remainder trust or charitable
gift annuity.
Most often, Field of Interest Funds are endowed so that grants can continue to make a difference forever. The flexibility of Field of Interest Funds is well suited to permanent commitments, as the most pressing needs in the field of interest can continue to be met despite changes in society, the economy, or specific charities. |
| How does it work? | A
Field of Interest Fund can be created with an income tax-deductible
contribution of $10,000 or more. Minneapolis Foundation staff will
select appropriate charities and make grants from the income of the
fund. Grants will be made with a cover letter acknowledging the name
of your fund.
The Minneapolis Foundation invests the assets of your fund in a diversified portfolio called the Master Fund. The investment managers hired by the Foundation retain a net fee of approximately 0.6%. The Foundation's administrative fee is 1% annually, based on the value of your fund. There is no additional cost for setting up the fund, or for routine grantmaking from the fund. You will receive a quarterly statement summarizing the activity in your fund, including additional contributions, grants, fees, and investment gains or losses. At year-end, you will receive a 12-month summary of grants from your fund. The Foundation also provides educational resources for donors, including issue briefings, seminars, a newsletter, and individual consultation. |
| We're happy to help you find the charitable giving or estate planning option that works best for your situation. We can work directly with you or through your professional advisor. Call us today at (612) 672-3874 or e-mail us at development@mplsfoundation.org. |