Types of Funds

Find the fund that fits your giving

Some donors know exactly which organizations they want to support. Others prefer to stay flexible and respond to needs as they emerge. Whatever your approach, we offer a fund to match it. You can open your own named fund or give to an existing community fund.

Couple smiling while looking across a table full of papers at an advisor who is helping them make a financial decision.

Compare your options at a glance

The main difference in the types of funds available are who recommends the grants, where the money goes, and how much it takes to get started.

Comparison of fund types: purpose, who recommends grants, and minimum to open
Fund Best if you want to… Who recommends grants Minimum
Donor advised Stay active and flexible in your giving You and anyone you name $5,000
Field of interest Support a cause or community you care about Our board and staff, through competitive grants or in resopnse to emerging regional opportunities $5,000
Designated Support specific nonprofits, year after year Set by you at the time the fund is established $5,000
Committee advised Give as a family, business or group A committee, with a designated spokesperson, you appoint $5,000
Scholarship Help students pursue higher education Volunteer review committees, using your criteria $50,000
Giving circle Pool gifts and decide together with others Circle members, by vote $1,000
Agency Build long-term resources for your nonprofit The nonprofit, for its own mission $25,000
Bequest Leave a legacy through your will or trust As your estate plan directs None

Most funds can be endowed, providing support in perpetuity, or non-endowed, giving you greater flexibility to grant the full balance now.

Learn more about each fund

Open a fund type to see how it works and who it is ideal for.

Donor Advised Fund Our most popular and flexible option.

A donor advised fund is a flexible, convenient and cost-effective way to organize your giving. You receive an immediate tax deduction when you contribute, then recommend grants to the nonprofits you care about whenever you are ready. You decide the amount and timing of each grant, and we take care of the paperwork.

Our team can also help you set goals for your fund and find organizations doing strong work in the areas that matter to you.

Ideal if you want to

  • Stay active in your giving, without the paperwork
  • Choose organizations on your own timeline, or join us in high-impact initiatives
  • Involve your children and grandchildren

Minimum to open: $5,000

Start a donor advised fund

Field of Interest Fund Focus your giving on a cause or community.

A field of interest fund directs your giving to a broad area you care about, such as education, health care or a particular community in Central Virginia, rather than to named organizations.

Through our competitive grants program, we identify the organizations having the greatest impact in that area. Grants carry the name of your fund, and you decide how much publicity you would like, including giving anonymously.

Ideal if you

  • Are passionate about a specific cause
  • Trust our team to find effective organizations doing good work in that area

Minimum to open: $5,000

Designated Fund Provide steady support to the nonprofits you choose.

A designated fund names one or more charitable organizations to receive grants. Your gift becomes a steady source of support for them, growing with the fund over time.

If an organization closes or its purpose changes, we will redirect your fund to another organization serving similar needs, so your intent is always honored.

Ideal if you

  • Have a strong connection to a particular organization
  • Know where you want to give but prefer not to manage grants yourself

Minimum to open: $5,000

Committee Advised Fund Give together as a family, business or group.

A committee advised fund works much like a donor advised fund, but grant recommendations come from a committee rather than an individual. It is a good fit for a business giving program, a civic club, a memorial fund or a family that wants to make decisions together.

We handle the administration and can help your committee set goals and review opportunities.

Ideal for

  • Businesses and employee giving programs
  • Clubs, associations and memorial committees
  • Families who want to give as a group

Minimum to open: $5,000

Scholarship Fund Help local students pursue higher education.

A scholarship fund helps students reach their goals in higher education. We will work with you to set criteria that are meaningful to you. Scholarships can focus on a school or geographic area, a field of study or students of a particular heritage, and can be based on merit, need or both.

Our staff manages the entire process, from promoting the application to sending the awards, and volunteer review committees recommend recipients.

Ideal if you

  • Want to make higher education more affordable and accessible
  • Would like to name an award in honor or memory of a loved one

Minimum to open: $50,000

Giving Circle Fund Pool resources with others around a shared interest.

A giving circle brings people together to explore shared interests, pool their resources and make a greater difference together. Members contribute each year to a common fund, agree on a focus for their grants, and vote together on which organizations to support.

See our giving circles

Ideal if you

  • Want to organize around shared community interests and values
  • Enjoy connecting with others through a collective giving experience

Minimum to open: $1,000

Agency Fund For nonprofits building reserves or an endowment.

Nonprofits, churches and schools open agency funds to build long-term financial strength. An agency fund can hold reserves, an endowment, or the proceeds of an annual or capital campaign. Organizations request distributions when they need them, and we handle the fund accounting and investment management.

Learn about agency funds for nonprofits

Ideal for nonprofits that want to

  • Build their reserve funds
  • Create a reliable stream of income
  • Access professionally managed investments

Minimum to open: [$10,000 flexible, $25,000 endowed]

Bequest Fund Create a fund through your will or trust.

A gift in your will or trust is one of the most meaningful and lasting decisions you can make. Your bequest can support the causes you care about, or let us meet the most pressing needs of our region over time.

Donors who include the Community Foundation in their estate plans are welcomed into our Legacy Society, or we will honor your wish to remain anonymous. We have extensive experience with planned gifts and are glad to work with you and your advisors.

Explore planned giving

Ideal if you want to

  • Create a legacy that continues beyond your lifetime
  • Know your fund will always be used as you intended
  • Give your children or grandchildren a way to carry on your giving

No minimum

Donor advised fund or private foundation?

Both can be powerful ways to give. A donor advised fund offers many of the same benefits with far less cost and administrative burden.

Comparison of a donor advised fund at the Community Foundation and a private foundation
Donor advised fund here Private foundation
Costs
Minimum to start $5,000 Typically recommended for millions in charitable assets
Startup costs None Can be substantial, including legal work and filings
Ongoing expenses Comparatively low Can be substantial
Required annual giving None; you decide 5% of assets each year
Administration
Record keeping and filings Handled by the Community Foundation Your responsibility, including annual state and federal returns
Privacy Gifts and grants can stay private Gifts and grants are publicly disclosed
Excise taxes None [1.39%] of net investment income
Tax deduction limits
Cash Up to 60% of adjusted gross income Up to 30% of adjusted gross income
Publicly traded stock held over a year Up to 30% of AGI, at fair market value Up to 20% of AGI, at fair market value
Real estate and private business interests Up to 30% of AGI, at fair market value Up to 20% of AGI, at the lower of fair market value or cost

This comparison is general information, not tax advice. Please consult your tax advisor about your personal situation.

What your fees support

Fund fees cover grantmaking, gift and fund management, investment oversight, our annual audit and tax filings, and due diligence on every grantee. Every fund receives quarterly reports of income, expenses and grants, along with personal guidance from our team.

Because we are a nonprofit, we do not profit from your fees. They are reinvested in the Richmond region, helping to fund critical community projects, so simply having a fund here strengthens our community.

Connect With An Expert

We’re here to help you make an impact. Let’s connect and explore the possibilities.