SPECIAL PASS THROUGH FUNDS
What is it?
A pass-through fund is like a charitable checking account. The fund provides a conduit through which charitable contributions flow towards a specific project, program, or area of interest. A pass-through fund offers philanthropists the opportunity to give directly to one or several charitable organizations, using all available funds. The fund is not considered an endowment fund. The fund is short term and distributions may be made upon request up to the full balance of the fund.
A pass-through fund releases you from the burden of charitable giving paperwork including receipting donors, depositing donations, and posting contributions. The fund is held under the 501c3 umbrella of the Foundation, eliminating the need for the fund to apply for a nonprofit status. The Foundation invests and manages donations to the fund and manages the cash accounts. Fund financial responsibilities such as IRS 990 preparation are included in the Foundation account records.
Charitable organizations can also open a pass-through fund to maximize donations for a capital campaign.
To learn more about pass-through funds, contact the Foundation at 330-655-3580.