The establishment of a Donor Advised Fund at Cummings Foundation, Inc. is the easiest way for charitably inclined individuals to accomplish philanthropic goals, without assuming the considerable burdens associated with creating their own private foundations.

Instead of spending valuable time and resources completing the administrative tasks necessary to operate a charitable entity, donors are able to concentrate on identifying deserving causes and organizations for their charitable contributions. Cummings Foundation completes all of the paperwork, tax reporting, accounting, and legal work necessary to establish and maintain a charitable fund on behalf of the donor.

Although Cummings Foundation takes care of the "back office" functions of operating a charitable fund, donors are encouraged to actively participate in all other aspects of fund management. Donors are able to name their fund, receive quarterly updates as to the investment performance of their assets, designate recipients for their charitable contributions, and participate in the allocation of such contributions.

A Cummings Foundation staff member will meet with each donor to devise a personalized plan that meets to the donor's personal wishes as to the timing, amount, and recipients of planned charitable contributions.

A Donor Advised Fund can be established with a minimum contribution of $25,000. Donors are required only to complete a simple, one-page application form. Then, donors will be contacted by a staff member from Cummings Foundation, who along with the donor's attorney or financial advisor, will facilitate the transfer of the donor's cash, securities or real property to Cummings Foundation's common investment pool.

The common investment pool is made up of the combined funds of Cummings Foundation and all other Donor Advised Funds. Third-party investment professionals manage the common investment pool, and donors receive the corresponding benefits of greater security, the prospect of higher performance, and lower investment fees. Cummings Foundation's asset base, excluding Donor Advised Funds, is currently in excess of $900 million.

Donors generally are able to take advantage of the considerable tax benefits of charitable giving immediately upon contributing assets to their Donor Advised Funds. As these benefits are not dependent upon immediate disbursement of the funds in the vast majority of cases, donors are able to take the maximum level of deductions for charitable giving while their assets appreciate in the common investment pool. As these disbursements from the Donor Advised Funds will not affect donors' tax positions, there is a high degree of flexibility in structuring the timing of charitable disbursements .

Cummings Foundation will work with all donors to achieve their philanthropic objectives. From the most actively involved, discerning donors, to those with only a general idea as to where they would like to direct their charitable contributions, the Foundation's staff will design and implement a personalized charitable giving strategy.

For example, if a donor were to approach Cummings Foundation with only a general desire to contribute to an organization that supports the protection of wildlife, Foundation staff members could identify a number of worthy candidates, work with the donor to select the appropriate charity or charities to receive the contribution(s) and then facilitate the transfer of funds. Throughout the process, Foundation staff would be available to answer questions, provide information, and research donors' areas of interest.

Donor Advised Funds provide individuals, couples, families and groups with an efficient, effective, and flexible mechanism for making charitable contributions. Let Cummings Foundation handle all of the paperwork and administrative inconveniences that take valuable time and resources away from the achievement of your charitable goals.

Become a Donor

Tax Benefits In nearly all cases, donors are able to take advantage of the considerable tax benefits associated with charitable giving immediately, and then support their favorite charitable causes by making grants into the future, all according to their own timetable. Cummings Foundation will work with each donor and his or her personal attorney or financial advisor to design the most advantageous method of donating assets for tax purposes. Donors will most likely enjoy the following considerable tax benefits from charitable giving:

• An immediate income tax deduction for contributions to the Donor Advised Fund.

• No capital gains tax on contributions of appreciated assets to the Donor Advised Fund and no assessment of capital gains tax upon the proceeds of a subsequent sale of such assets by the Fund.

• Tax exemption for any income generated by or growth of the assets contributed to the Donor Advised Fund.

• Estate tax exemption for the assets contributed to the Donor Advised Fund as they are effectively immediately removed from the donor's estate.

Growth Potential Cummings Foundation invests funds with the ultimate goal of increasing their value to provide for many years of productive charitable giving.

Flexible Giving A donor's focus should be on fulfilling philanthropic goals and deciding which nonprofit organizations, schools, or government organizations to support. Establishing a Donor Advised Fund and designating grants through Cummings Foundation make the process simple and enjoyable.

Stewardship Cummings Foundation provides consolidated record keeping, tax reporting, and detailed updates as to the investment performance of assets under management.

Longevity A Donor Advised Fund allows donors to build a legacy of philanthropy. Responsibility for the fund can be shared by a family and passed on to heirs.

Where can I find additional information?
Please call Joel B. Swets of Cummings Foundation at
781-935-8000 to request additional information.