Ann Lisi of the Greater Worcester Community Foundation discusses new options in charitable giving.
Are you planning to make charitable contributions in the coming weeks? If so, it is very likely that you will respond best to solicitations made by someone you know, for causes that have personally touched you, and to organizations where you’ve had a personal involvement. Ideally, you will have taken time throughout the year to evaluate what matters most to you and to learn about the impact of your chosen beneficiaries. The purpose of charitable giving, after all, is to help make good things happen that you cannot undertake yourself, a supreme act of trust in others.
There are more ways than ever to be a confident donor. Guidestar.org provides financial data on most public charities. The Catalogue for Philanthropy provides an overview of Massachusetts organizations, illustrated on its website www.cfp-ma.org by over 700 examples of nonprofits competitively selected from all fields of activity, mostly those with budgets below $3 million. Community foundations and United Ways are located in most areas of New England to support donors in their giving.
Another giving option just became available, for a limited time only. From now through 2007, any person who has reached age 70 ½ may transfer $100,000 in each of the years 2006 and 2007 directly from an IRA account to a qualified public charity, and the contribution is completely excluded from taxable income. This opportunity is made possible through the Pension Protection Act of 2006 that was recently enacted by Congress. Distributions must be made directly from an IRA account to the charity and cannot be made to a private foundation or a donor-advised fund.
Nonprofits today must demonstrate both commitment and competence in a highly demanding environment. We will address those elements in our next column. In the meantime, as you make your year-end gifts, do it knowing that you’ve chosen with care and are part of a longstanding American tradition. Use your head, and let your money give voice to your heart.
About the author
Ann Lisi is executive director of the Greater Worcester Community Foundation, appointed by the board of directors in 1992. She had previously served for three years as the foundation’s program officer. The Greater Worcester Community is a nonprofit organization with a mission to increase philanthropy and build healthy communities in Central Massachusetts. It works with donors and nonprofits to achieve this goal. The Foundation’s total endowment exceeds $110 million and it has awarded more than $50 million in grants and scholarships since its inception.
WBJ Web Partners
Most Recent
Most Recent
0 Comments