*The primary exception is gifts to the Benefactor program; such gifts are placed in an endowment that funds the Foundation's operating expenses.

Why give through the Foundation instead of directly to a charity?
Depending on the situation, there are a number of factors that can make giving through the Foundation more effective than giving directly to a chosen charity. These factors include:

• option of establishing one fund to benefit multiple purposes
• maximum tax benefits
• flexibility in the types of assets that can be gifted
• choice of gifting options/methods
• guaranteed long-term adherence to the donor's wishes
• professional management of funds
• record keeping convenience

Which communities qualify?
Gifts through the Lincoln Community Foundation can benefit charitable causes in any community anywhere in the United States. If, for example, John Doe wants to honor his parents by establishing a scholarship fund for the benefit of students in his parents' hometown of St. Paul, Minnesota, the Lincoln Community Foundation can do it. The Foundation also has donors who reside in other states and whose gifts are benefiting communities throughout Nebraska.

Which charitable causes qualify?
A gift through the Lincoln Community Foundation can benefit any charitable cause as long as the receiving organization is identified by the IRS as a 501(c)(3) public charity (which is not a private foundation), described in sections 509(a)(1)-(4) of the Internal Revenue Code and is not providing anything of value to the donor. That means your gift through the Foundation can go to the benefit of:

churches^** • schools • health organizations • social agencies • arts organizations

recreational projects • environmental groups • scholarships • and more.

**Discretionary gifts cannot be used for religious purposes.

Does the full gift amount flow directly to the designated charity?
It can, if the donor has set up a Donor-Directed Depository. This option has 100% of its fund balance available for distribution, following a short waiting period. An Expendable Advised Fund, on the other hand, has 99% of its fund balance available for immediate distribution.

Most often, however, individuals establish an endowed fund. The principal of the gift is held and managed by the Foundation in perpetuity and then periodic grants are made to the designated charity or cause in accordance with the donor's wishes. These grants are funded by part of the investment returns on the gift.

Can a gift be for general community betterment?
Yes. Gifts do not have to have a designated charity or project as beneficiary. The donor may simply express a field of interest (such as education, or the environment, or music, or even something as broad as general community betterment) and leave it to the Foundation's grantmakers to select the specific recipients. In fact, undesignated gifts are strongly encouraged because community needs change over time and undesignated gifts allow the Foundation to meet these needs for maximum long-term effect.

How is a gift handled?
When you give through the Lincoln Community Foundation, the Foundation establishes a separate fund to receive and hold your gift and to distribute grants according to your wishes. That means we provide fund management, investment oversight, IRS reporting, annual audits and the awarding of grants in the fund's name. In cases where the donor has requested Foundation assistance in choosing grant recipients, the Foundation also has experienced grantmakers who know the community, its needs and its organizations.

Does the donor have continuing responsibilities?
No, in most cases the donor has no continuing responsibilities. Once the gift is made and the fund established, the Foundation does all the work and record keeping. The one major instance where a donor does have continuing involvement is in the case of a Donor-Directed Depository account or an Advised Fund where the donor has chosen to remain active in the selection or recommendation of different grant recipients each year.

To learn more:
To learn more about the convenience and effectiveness of giving through the Lincoln Community Foundation or about how to establish a fund, please contact us by phone at (402) 474-2345, toll free (888) 448-4668 or by e-mail at lcf@lcf.org.