Advantages of Working with Waco Foundation

Waco Foundation Fundholders, Sam and Sharon Allison
Waco Foundation Fundholders, Sam and Sharon Allison.

Waco Foundation partners with local nonprofits and advisors, providing personalized guidance and insight to help facilitate successful planned gifts that will benefit the community for generations to come.

Our areas of expertise include:

Safeguarding of assets and charitable intent

Waco Foundation's Board of Trustees takes their role as stewards of charitable intent very seriously. They seek to maintain (1) the purchasing power of funds entrusted to their care, as well as, (2) the philanthropic intentions of those who love Waco and call it home, past and present.
The Foundation's investment policy is designed to provide growth that will maintain the value of the funds over time within risk that is appropriate for charitable endowments. In addition, a fund at Waco Foundation maintains donor intent permanently. Donors state intentions that are maintained as permanent records to advise future boards about the spirit and values behind the giving....the role of the Board of Trustees is to provide stewardship of these intentions in perpetuity.

Tax and other advantages over private foundations

As a public charity, Waco Foundation donors are able to take a tax deduction of 50% of Adjusted Gross Income as compared to a 30% deduction for a gift to a private foundation.

Knowledge of nonprofits and community need

Waco Foundation has funded charitable organizations for over 50 years, and our work requires us to constantly meet with the local nonprofit community and listen to their needs. As a result, we are highly familiar with the range of organizations serving the community. In addition, not only do we maintain records on local organization tax status and current work, we also confirm the tax status of each advised gift, providing assurance that the recipient organization has maintained its charitable tax status with the IRS.

Our Spending Policy allows for steady income from fluctuating markets

In 2008, Waco Foundation adopted the current spending policy, which is 5% of the average ending balance of the 28 trailing quarters (seven years,) to allow for relatively steady income from endowed funds during inevitable market fluctuations. Waco Foundation maintained and even increased grantmaking budgets during the past few years as a result of using this conservative spending policy.

Conversion of private foundations to donor advised funds

If your clients have their own private foundation, they may be interested in learning about the benefits of converting it to a donor advised fund at Waco Foundation. A donor advised fund offers a simple solution to individuals and families who may want to reduce administrative costs and not be subject to annual payout requirements. Additionally, this type of fund allows the philanthropist to focus on the giving instead of administration and IRS filings. This solution is also an option for family foundations that are being divided with estate transitions to accommodate multiple generation families residing in different communities.
To learn more about the advantages of working with Waco Foundation or to set up a meeting to discuss your future partnership with us, please contact Rachel Hobbs, CPA.

Phone: 254-754-3404
Fax: 254-753-2887


1227 N. Valley Mills Drive
Suite 235
Waco, TX 76710

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