What Are Designated Funds?
Designated funds are endowment funds that produce passive income through their investments that support specific organizations.
We manage 11 designated funds in the Columbia Valley for 10 different organizations.
Benefits
- Easy to Maintain Once a fund is created, it produces income and pays for its own management.
- Sustainable Independent Funding The income distributed to the benefiting organization is unrestricted; it can be used for anything the organization needs – including operating expenses. A designated endowment fund can help insulate organizations from shifts in granting organization priorities.
Funds In Action: Columbia Basin Environmental Education Network
“Having a designated fund has allowed our organization to maintain a higher level of sustainability, knowing that we can rely on these funds to support our charitable programs and initiatives, now, and in the long-term. It has also allowed our donors to know that their contributions will make a positive difference in perpetuity, allowing them to leave a ‘living legacy’.”
Duncan Whittick, Executive Director, CBEEN
Eligibility
- A donor or charity can start a fund with any amount of money, but it won’t distribute any earnings until the total reaches $10,000
- Money that is used to create a fund (the fund’s principal) cannot be withdrawn and used for other purposes
- Donations to the fund can be made by anyone – individuals, an organization, or both, and are tax-deductible.
Once a fund’s principal is more than $10,000, it will distribute between 3-5% of the total amount to the designated organization every year.
How to Start A Designated Fund
Meet with our Executive Director to review organizational eligibility and make sure your priorities and our mission are aligned.
Once you’ve met with the Executive Director, your fund will be presented to the board. Once they approve, your fund can start receiving donations and earning income.
Open a Fund
Do you have a registered charity in the Columbia Valley you would like to support through a designated fund?