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Donor Connect – September 2026

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Imagine the future.

Your community foundation helps bring your charitable goals to life.

Early bird planning for year-end, major financial milestones, and redefining “big” inheritances

Updates from Your Community Foundation Team for September 2026

Hello from the community foundation!

As summer winds down and fall begins, it’s a natural time to look ahead. Whether you’re thinking about year-end charitable giving, celebrating an important financial milestone, or considering the legacy you’d like to leave for future generations, a little planning today can make a big difference tomorrow. The community foundation is always happy to share trends and practical ideas to help you get ahead of the busy season—and so much more related to charitable giving! 

Early birds, “bunching,” and planning for year-end

Year-end giving often works best when planning starts long before the holidays. Learn why now is the perfect time to review your charitable plans, explore the benefits of “bunching” charitable gifts, and consider how your donor-advised fund at the community foundation can help you maximize both your impact and potential tax benefits.

From success to significance: Opportunities after a major financial milestone

Major life events often inspire us to think differently about what comes next. Whether you’ve sold a business, received an inheritance, retired, or crossed another important milestone, the community foundation can help you discover how thoughtful charitable planning can translate financial success into lasting community impact.

A “big” inheritance may not be all financial

The Great Wealth Transfer we’ve all been watching is about so much more than passing along assets to your heirs. The community foundation team welcomes conversations about generosity, shared family philanthropy, and thoughtful estate planning to help ensure that your values—and not just your wealth—continue to make a difference for generations to come.

As always, thank you for allowing the community foundation to be part of your charitable giving journey. We are honored to help you turn today’s generosity into tomorrow’s lasting impact. Please reach out anytime!

Early birds, “bunching,” and planning for year-end

When “back to school” enters your vocabulary, you know the rest of the year will go by in a flash! That’s why it’s important to check in on your charitable goals for 2026 before fall gets into full swing. Otherwise, you may find yourself scrambling to synchronize tax planning, financial planning, and gifts to favorite nonprofits. 

In particular, a technique called “bunching” is important to consider as you get a jump on your year-end charitable giving plans.

Even just a few years ago, not many people had heard of “bunching.” That’s because the standard deduction (which itself has an interesting history) under the Internal Revenue Code’s income tax rules was much lower than it is now. Many donors easily met the criteria to itemize deductions—including their charitable contributions—on their income tax returns. That changed after the Tax Cuts and Jobs Act of 2017 significantly increased the standard deduction starting in 2018. 

Further changes to the charitable deduction rules under 2025’s One Big Beautiful Bill Act increased the complexity of charitable deduction thresholds because the new law, effective for 2026, imposes a 0.5% of adjusted gross income (AGI) floor for itemized charitable deductions and, for taxpayers in the highest tax bracket, a 35% cap on the tax benefit of those deductions. All of this means that thoughtful charitable planning is more important than ever.

What you need to know is that “bunching” charitable gifts may be useful to you, and it’s something you ought to discuss with your tax and financial advisors as soon as you can. The essence of bunching is that, rather than making similar-sized charitable donations every year, you would combine two or more years of charitable gifts up front into a single tax year. The reason this is useful is because by concentrating gifts into one year, you may be able to accumulate enough deductions to make itemizing more beneficial than claiming the standard deduction and achieve a greater tax benefit than you would by making smaller annual gifts and taking the standard deduction. 

A donor-advised fund at the community foundation makes bunching especially attractive. For example, you can contribute several years’ worth of charitable gifts to your donor-advised fund this year, generally be eligible to claim an income tax deduction for the current year, subject to applicable limitations, and then recommend grants to your favorite nonprofits over several future years. This allows your favorite organizations to continue receiving steady support while simultaneously maximizing your own tax benefits.  

Remember, too, that your donor-advised fund at the community foundation accepts appreciated securities, which may provide additional tax advantages in the right circumstances. That’s because you may be able to avoid capital gains tax on the highly appreciated stock you contribute to your donor-advised fund. 

The takeaway here is that now is the time to begin conversations with your tax and financial advisors about bunching and about your charitable plans in general. Please loop in the community foundation team! We are honored to serve as a sounding board as you carry out your charitable wishes. The community foundation is your home for charitable giving, and we always welcome a conversation! 

From success to significance: Opportunities after a major financial milestone

Life’s big milestones cover a lot of ground! Some are deeply personal, such as welcoming a grandchild, retiring after a long career, or celebrating a significant birthday. Other milestones are financial: selling a business, receiving an inheritance, exercising stock options, selling a valuable piece of real estate, or realizing a financial gain following an initial public offering involving stock you’ve owned for years.

Whether financial or personal, major milestone moments often bring a sense of accomplishment. They can also bring something else: an opportunity to pause and reflect—and be smart about the next big move. For many people, that’s when the questions start changing. At some point along the way, instead of asking themselves, “What’s my next big thing?” they shift to “What matters most?” and “What kind of impact do I want to leave behind?” That’s one reason so many charitable conversations begin after a significant financial event, which is why significant financial events often lead to high-profile philanthropy announcements, as recently occurred in connection with the sale of the Seattle Seahawks. 

Many people in this situation find they have the time and flexibility to think more intentionally about the causes, organizations, and communities that have shaped their lives—especially now that they have the financial resources to act on their intentions. Some want to express gratitude for opportunities they’ve received. Others hope to create opportunities for future generations or honor family members. Still others simply want to make sure the success they’ve enjoyed continues benefiting others for years to come.

As you look ahead in your life and anticipate big milestones, consider taking steps early so that you’re prepared to implement a philanthropy plan. For example, here are a few things you can do even years before a significant liquidity event:

—Consider establishing a donor-advised fund at the community foundation so you can get familiar with the mechanics and the resources available at the community foundation. You’ll be able to set aside charitable dollars while taking the time to thoughtfully consider which organizations you would like to support over the months and years ahead, especially following a financial transaction.

—In addition to your donor-advised fund, you might also want to establish one or more designated funds to provide lasting support for the specific organizations you care about. These funds can provide support during your lifetime or receive an estate gift under your will or trust.  

—Some people also establish a field-of-interest fund at the community foundation as part of their charitable giving “portfolio” to address particular community needs, as well as unrestricted funds that allow the community foundation to respond to the area’s greatest opportunities for generations to come.

Remember, in the case of private business interests, from a capital gains perspective, you may be far better off establishing charitable arrangements well before a transaction is underway. Please consult your tax advisors and the community foundation team as you think about an exit plan for your closely held business. Of course, if you’ve recently experienced a liquidity event and haven’t yet established a charitable plan, it is not too late!   

Whether you’ve already experienced a significant financial event—or expect one in the future—we’d love to talk. The community foundation can help you explore charitable options that reflect your values, support the causes you care about, and create a legacy that extends far beyond a single moment of success.

A “big” inheritance may not be all financial

Welcome to the Great Wealth Transfer! This much-cited era, happening right now, is reportedly the time when trillions of dollars will pass from one generation to the next over the coming decades in various forms, ranging from cash and stock to real estate and business interests.

Understandably, most conversations and commentary about this transfer focus on the assets themselves. Who will inherit the family business? What will happen to the investment portfolio? How should the estate plan be structured? Naturally, those are important questions! But many families are beginning to ask something deeper: “What values do we want to pass along, too?”

A recent Kiplinger article exploring the Great Wealth Transfer makes the point that the strongest family legacies are built not simply by transferring assets, but by intentionally passing along values of generosity through shared charitable experiences and conversations. It encourages families to involve younger generations in philanthropy early, making giving a collaborative, multigenerational experience rather than a one-time financial transaction. 

For many people, philanthropy is one of those values. If you’re among them, here’s food for thought:

—A charitable legacy isn’t simply about the gifts that are made after you’re gone. It’s also about helping your children and grandchildren understand why giving has been important throughout your life. In many ways, the conversations, traditions, and shared decisions surrounding philanthropy can become just as meaningful as the financial inheritance itself. 

—Now is a great time to begin mapping out your legacy if you’ve not done so already. For starters, August is widely recognized as Make-A-Will Month, in large part because the downtime of late summer offers a perfect window to address open estate planning issues.

—According to the latest Giving USA report, charitable bequests totaled more than $62 billion in 2025, increasing nearly 20% over the previous year. Bequests were the fastest-growing source of charitable giving, underscoring how important estate gifts have become to nonprofit organizations and the communities they serve. 

—A charitable bequest can be surprisingly simple. You might leave a specific dollar amount or a percentage of your estate to your donor-advised fund, or designate another type of charitable fund at the community foundation, to continue supporting the organizations and community priorities that matter most to you.

—For example, by naming your children or other loved ones as successor advisors of your donor-advised fund at the community foundation, you’re inviting them to continue the family’s tradition of generosity by recommending grants to the organizations and causes they believe will make a difference. This opportunity is itself a meaningful inheritance! 

—For individuals and couples with especially large estates, charitable planning also may reduce the federal estate tax ultimately borne by the estate, helping preserve more of the remaining assets for heirs. This consideration applies to relatively few families because the federal estate tax exemption is $15 million per individual in 2026, but when it does apply, it really matters because gifts and bequests to qualified charities generally are deductible in determining the taxable estate. Your attorney, CPA, and financial advisor can help determine whether estate tax planning is relevant to your particular circumstances. 

—Even when estate taxes are not a concern, a charitable bequest can still become one of the most meaningful gifts you make. You may, of course, provide for family members while also supporting the causes and organizations that have mattered throughout your life.

Estate plans are designed to transfer wealth. A charitable legacy has the power to transfer something even more lasting. The community foundation would be honored to work with you and your estate planning advisors to arrange charitable bequests, establish a donor-advised or other charitable fund, and build a legacy your family can continue long into the future.

The team at the community foundation is honored to serve as a resource and sounding board as you build your charitable plans and pursue your philanthropic objectives for making a difference in the community. This newsletter is provided for informational purposes only. It is not intended as legal, accounting, or financial planning advice. Please consult your tax or legal advisor to learn how this information might apply to your own situation.

Ignite Rural Philanthropy – Grant Feature

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The Dick and Dorothy Miller Hands-Up Grant is a Godsend for the recipients of this fund. This funding is dedicated to keeping families with children from becoming homeless. The families helped have been single mothers with children; single fathers with children; intact families; grandparents who are, unexpectedly, raising grandchildren.

Last summer, a young woman, (call her Sara) working full-time at a local assisted living facility, contacted BHI looking for financial assistance. This is a hardworking single mother of a school aged boy. Sara’s cousin needed to attend an inpatient drug treatment program and was raising two boys of her own. Sara offered to take in her cousin’s boys while the cousin attended the treatment program. Sara did not realize how much more expensive it would be to care for the extra children. By the time she reached out to BHI, she had already maximized advances from her employer. She had managed to keep her utilities paid, but was behind on her rent. Her dedication to her extended family was close to causing her and her son to be evicted from their home of nine years.

Using the Dick and Dorothy Miller Hands-Up Grant, BHI paid Sara’s arrears in rent and one more month rent. This allowed her to stay caught up with utilities and continue to care for her cousin’s children. This young woman had never asked for help before this incident and has not asked for financial assistance since. She works hard, budgets her income, and cares for her family and those she serves at her place of employment.

The Miller’s set up this fund to help people like Sara. People who are working diligently to care for their families, then a hardship causes them to be strapped financially. The kindness of the purpose of this grant is overwhelming when you hear the sigh of relief from the recipients. Recipients, like Sara, who feel both shame for asking and blessed for receiving.

Ignite Rural Philanthropy – H4C

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Marion County is a rural community in central Kansas that is home to roughly 11,800 individuals. Of these individuals, there are approximately 700 residents under six years of age (Child Care Aware of Kansas). The County has identified the top three challenges residents face as the following: child care, housing, and workforce.

The Hillsboro Community Child Care Center (H4C) Board has been addressing the child care crisis in Marion County, Kansas since 2019. It was initially presented as a workforce issue due to the lack of available child care for employees. According to Child Care Aware of Kansas, Marion County is only meeting 40% of the demand for child care. Within the USD 410 School District, there is one in-home provider and one child care center that offer a combined total of two infant spots. The current child care center wishes to merge with Hillsboro Community Child Care Center upon opening.

The H4C Board conducted a Community Needs Assessment in partnership with K-State Research and Extension in July of 2021. The Board reported the following findings from the Community Needs Assessment: need for infant care, weekday care for birth to five years, and school age care. In addition, the Board reported feedback indicating the lack of child care as a workforce issue, “Many (families) are not able to work or have moved from the community to find available child care elsewhere.” In addition, the feedback indicated the “Lack of child care a deterrent to new young families looking to move into the USD 410 School District.”

Upon reviewing the findings from the Community Needs Assessment, H4C began to devise a plan that would include establishing a child care center for up to 99 children birth through 5 years of age. In January of 2022, the plan began to come to life as H4C was gifted a building from Trinity Mennonite Church with the intent to establish a child care center. In addition to the child care center, the facility would include office space for community entities that support families and youth.

H4C’s short-term goal is to renovate the facility into a child care center. The child care center would not only decrease the need for child care in the USD 410 School District, but across Marion County as a whole. The cost for the renovation is estimated to be over $3 Million.

When looking at the long-term outcomes of establishing a child care facility, up to 99 children would have the opportunity to be engaged in high quality early learning. In addition, the availability of child care could lead to an increase in economic development as more families are able to reside in the community. In turn, this would allow for more families to become invested in the workforce. Overall, the establishment of a child care center in Marion County would benefit not only the families seeking care but the County as a whole.

To date, the H4C board has raised roughly 75% of the total estimated cost for renovation. Over $1.2 million of said funds have been provided by the local community through private donations. The remaining funds have been raised through extramural funding sources including: Child Care Capacity Accelerator Grant from the Kansas Children’s Cabinet and Trust Fund, Community Development Block Grant from the Kansas Department of Commerce, and the Child Care Community Partnership Grant through Child Care Aware of Kansas.

The Hillsboro Community Child Care Center (H4C) has truly been a community lead initiative. The need for child care was brought the City of Hillsboro’s attention by the businesses and industries within the community. The understanding and value of child care has only grown since that initial meeting in 2019. Over the past five years, the work has shifted and grown from a group of 15 to 20 passionate community members, to a steering committee, to an official 501 (c)(3) not-for-profit governing board. The H4C Board represents various sectors of our community including: Civic, Education, Public Health, Religious, Business, Parent Representative, Hillsboro Community Foundation, and a Child Care Provider.

The H4C Board has scheduled bi-monthly meetings to ensure progress is being made on the initiative. H4C has hired a General Contractor and is excited to begin renovations this Summer. The renovation is expected to be completed by Spring of 2025.

Ignite Rural Philanthropy – Slate Creek

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Slate Creek Elementary School in Newton is home to the severely multiply disabled (SMD) classroom for the entire Harvey County Special Education Cooperative. SMD students from the cities of Newton, Hesston, and Halstead attend school here from kindergarten through 6th grade. Many of Slate Creek’s SMD students use mobility devices, such as wheelchairs and walkers, and the school’s playground offered them no opportunity to be included in outdoor play with their peers.

This project first began in 2021 when a group of students noticed the problem and began looking for ways to include their friends on the playground. Principal Tenae Alfaro brought a fundraising challenge to the rest of the students and staff – without any promise of trinkets or prizes, the students raised over $20,000, just because they knew ALL kids should be able to play together.

In 2023, parent volunteers Joanna Bjerum, Erin McDaniel, and Sara Rickard from Slate Creek’s PTO, and USD 373 Communications Director Carly Stavola joined Tenae to ramp up the fundraising campaign. We partnered with Newton Community Foundation an affiliate of Central Kansas Community Foundation and established the All Together Now fund to receive donations and grant funding. We then added community representative Chris Conrade, president of Conrade Insurance, to the team, and he connected us with Cunningham Recreation, one of the nation’s leading park, recreation, and playground equipment suppliers.

As we told our story, generous donations started rolling in from amazing organizations like Northview Developmental Services Endowment Foundation, Asbury Park Foundation, Sunderland Foundation, Patterson Family Foundation, NMC Health, Bunting, and many more. The outpouring of support was remarkable.

This generosity allowed us to dream even bigger and pursue a larger playground designed around the 7 Principles of Inclusive Play. It will be the only National Demonstration Site inclusive playground in the entire region. These evidence-based principles move beyond minimum accessibility guidelines to make every aspect of the playground usable for all children to the greatest extent possible. It will include smooth, spongy surfacing to ensure accessibility, ramps to play decks to accommodate mobility devices and those with climbing difficulties, adequate shading to keep people out playing longer, communication panels, cozy spots that help those quick to become overwhelmed or on the Autism spectrum, sensory-rich equipment that will benefit all children’s development, and equipment designed for children of all abilities.

When school is not in session, the playground will be open to the whole community. This playground will open up outdoor play not only for children with mobility differences, but also for parents, grandparents and caregivers. We anticipate it will quickly become a destination play space, attracting people from all over the region.

Having the opportunity to be included regardless of ability is a huge social and quality-of-life issue for children who have differing mobility needs. Numerous researchers have found play is a critical part of child development and is integral to the school environment for both social- emotional and academic development.

Commitment to these principles is what helped our small but dedicated group to raise $700,000 in 2023, and our playground is now under construction. We have all envisioned what our opening day will look like in August 2024.

From our first humble school fundraiser, with kids bringing in their own piggy banks, to our final major donations, this project has been a labor of love. To our supporters, cheerleaders and generous donors, we can’t thank you enough. You have helped us build something magical – a place where ALL children can play together. Caring for one another and striving for equal access to play and inclusion have driven this campaign, whose foundation was laid by the 5- to 10-year-olds of Slate Creek.

Donor Connection – June.24

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Hello from the community foundation!

We can hardly believe the year is nearly halfway over. It’s been such a pleasure to talk with so many donors and fund holders about all the ways you are pursuing your charitable giving plans for 2024. We’re equally inspired by those of you who have reached out to learn more about getting involved with the community foundation by setting up a donor-advised fund, field-of-interest fund, endowment fund, or bequest to align with your charitable priorities.

In this issue, we’re covering a few topics that we think are especially appropriate for summertime.

–Midyear is a wonderful time to check in on a quick punch list of “need-to-know” charitable giving tips. We’ve selected six items that every charitably-minded person really ought to be aware of, whether for purposes of current giving or future giving. You can scan our list of six items in six minutes or less!

–Summer is a great time to dive into deeper reading, while at the same time take a big picture look at industries and issues. We’re doing just that–with philanthropy. Check out our recommendations for studies and articles about the global role of philanthropy and how it hits home through the work of the community foundation.

–It’s not summer without sports! Fittingly, we’re sharing three ways to look at philanthropy as a team effort and perhaps inspire you to add an even bigger dose of collaboration to your charitable giving efforts. Supporting the community, like many worthwhile activities, is better when it’s done together.

Thank you for the opportunity to serve you and other donors and fund holders who care about our community and strive to invest in both present and future needs of our region. We are committed to growing philanthropic resources to improve the quality of life across generations.

With Gratitude,
Angie Tatro, CEO CKCF

Six for the summer: Mid-year reminders about charitable giving

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Welcome to summer! We’ve put together six tips to keep in mind as you plan your charitable giving for the coming months, years, and even decades. As always, the team at the community foundation is happy to be a resource!

Donate appreciated stock to your fund at the community foundation.

Yes, yes, we absolutely understand how easy it is to write a check when you want to boost your donor-advised or other type of fund at the community foundation. If you can remember to pause before you pull out your pen, though, it really does pay off to consider whether appreciated stock would be a better way to add to your charitable giving account. When you give shares of long-term appreciated stock, you can be eligible for a charitable tax deduction at the fair market value of the shares. Then, when the community foundation sells the shares and adds the proceeds to your fund, the fund–a 501(c)(3) charity–is not hit with capital gains tax. By contrast, if you were to sell those shares and give to your fund from the proceeds, you’d have a lot less cash to work with. Please reach out to the community foundation anytime to learn more about how easy it is to take advantage of this tax-savvy giving technique.

Plan ahead for your business exit.

If you own all or part of a private business, keep in mind that charitable giving can factor into your eventual exit strategy. You could be sitting on substantial unrealized capital gains if the business has grown a lot over time. Upon a sale, capital gains tax will be triggered, reducing the proceeds you get to keep. No capital gains tax will apply, however, to the sale of the portion of the business owned by your donor-advised or other type of fund at the community foundation. Plus, you can be eligible for a charitable income tax deduction in the year of the transfer based on the fair market value of the shares–not the cost basis, as would be the case if you’d transferred the shares to a private foundation. Keep in mind that a strategy like this only works with careful planning, so be sure to contact the community foundation team well in advance of setting a plan in motion. We are happy to work with you and your advisors to help achieve your charitable and financial goals.

Start paying attention now to the estate tax exemption sunset. 

The estate tax exemption–the total amount a taxpayer can leave to family and other individuals during their life and at death before the hefty federal gift and estate tax kicks in–is scheduled to drop, rather precipitously, after December 25, 2025. For 2024, the estate tax exemption is $13.61 million per individual, or $27.22 million per married couple, an increase over 2023 thanks to adjustments for inflation. Later this year, the IRS will issue inflation adjustments for 2025. For 2026, without legislation to prevent it, the exemption is scheduled to fall back to 2017 levels, adjusted for inflation, which would roughly total $7 million per person. That is quite a drop! This means a lot more people–maybe including you–could be subject to estate tax in the not-too-distant future. The team at the community foundation is happy to work with you and your advisors to explore how charitable giving techniques can help you avoid estate tax and leave a legacy for the community, especially if you start planning now.

If you can take advantage of the QCD, do it.

A Qualified Charitable Distribution (“QCD”) is a very smart way to support charitable causes. If you are over the age of 70 ½, you can direct up to $105,000 from your IRA to certain charities, including a field-of-interest, designated, unrestricted, or scholarship fund at the community foundation. If you’re subject to the rules for Required Minimum Distributions (RMDs), QCDs count toward those RMDs. Through a QCD, you avoid income tax on the funds distributed to charity. Our team can work with you and your advisors to go over the rules for QCDs and evaluate whether the QCD is a good fit for you.

Review your IRA beneficiary designations. 

As you review your assets and how they are titled, perhaps in connection with an annual financial and estate plan review, pay close attention to tax-deferred retirement plans such as 401(k)s and IRAs. Typically, you’ll name your spouse as the primary beneficiary of these accounts to provide income following your death or to comply with legal requirements. But as you and your advisors evaluate whom to name as a secondary beneficiary of these tax-deferred accounts, don’t automatically default to naming your children or your revocable trust. You and your advisors may determine that naming a charity, such as your fund at the community foundation, is by far the most tax-efficient and streamlined way to make gifts to your favorite causes upon your death and establish a philanthropic legacy. A bequest like this avoids not only estate tax, but also income tax on the retirement plan distributions. That’s why non-retirement fund assets may be better-suited to pass to children and grandchildren.

Embrace a holistic approach to philanthropy.

When you work with the community foundation, charitable giving is easy, flexible, and rewarding. As the hub of your charitable giving, the community foundation offers a wide range of fund types, services, and ways for you and your family to get involved with the community you love. Many of our fund holders use a donor-advised fund to organize annual giving to charities. We can also help you establish a designated or field-of-interest fund to complement the function of your donor-advised fund. A designated fund allows you to support a specific charity over the long term, while a field-of-interest fund focuses your support on a particular area of community need by leveraging the community foundation’s expertise. We’d also be honored to work with you and your advisors to structure a bequest to the community foundation in your estate plan to support important causes, as well as the community foundation’s work, beyond your lifetime. We are here to help you make the most of your philanthropic intentions, and it is an honor to work together.

Philanthropy snapshot: A global priority with local impact 

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Summertime can mean vacations, travel, a slower (or at least different) pace, and time to reflect. This year, our team is thinking quite a bit about the significant role of philanthropy across the world and how that widespread enthusiasm drives so much energy for charitable giving right here at home.

If you’re spending time this summer reflecting, you might enjoy digging into a few of the sources we found thought-provoking,

–We really like this post from “across the pond” that analyzes why people give and synthesizes a variety of research studies and articles. Altruism, ego, social dynamics, and FOMO are just a few of the reasons people are motivated to give to charity. For a broad look at the role of philanthropy across the globe, you can check out Indiana University’s research.

–Every June, Giving USA releases its annual statistics on the state of charitable giving. We are looking forward to the 2024 report and digging into the numbers from 2023. Last year’s report showed that while individual giving was down, major gifts were ticking up. We’re curious to see what’s changed!

–Some say context is everything, and that may be why we always enjoy going back to the Smithsonian’s Giving in America exhibit and online resources. Even in its semi-archived and “under construction” format, the site is captivating; every time we revisit the site, something different catches our eye. (This time, we were struck by the side-by-side images from 2014’s Ice Bucket Challenge and the collection box from the early 1800s. And by the way, how can nine years have gone by since the Ice Bucket Challenge?)

–Coming full circle back to our local community, we’d love to draw your attention to what’s going on this summer at the community foundation. View our calendar of events HERE.

As always, the community foundation is here for you! We are honored to work with you and your family as you support the causes in our region that are most important to you. You are making a difference!

Philanthropy: A team sport

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At first glance, you may think of charitable giving as mostly an individual act. Certainly, most of the time, the actual money or asset that constitutes the charitable donation comes from a single person, couple, or entity. Beyond that, though, it likely makes sense to think of charitable giving as a collaborative endeavor.

Here are three examples:

–Serving on the board of directors of a charitable organization is a rewarding activity for many people. And, many people complement their board service with financial support. Dialogue among board members, leveraging board members’ talents, and collective board oversight are important components of a well-run nonprofit organization. Charities are counting on board members’ objective voices in the boardroom, board members’ constructive questions, and the board’s dedication to ensuring that public trust in the charity is maintained.

–For many people, involving other family members in charitable giving is one of the most rewarding ways to instill philanthropic values and transfer these values across generations. Whether you’re teaching young children about the importance of helping people in need, or joining with siblings to develop a grant-making strategy for a family donor-advised fund at the community foundation, you’re experiencing the joy of working together to make a difference in the lives of others.

–Working with the community foundation is itself a collaborative activity. When you organize your giving through a donor-advised or other type of fund, you are working with multiple professionals on our team to help you plan your annual gifts, evaluate impact, structure tax-savvy contributions of appreciated stock, and so much more. Plus, the community foundation team often works alongside your attorney, accountant, and financial advisor to ensure that both your financial and community goals are top of mind.

Thank you for the opportunity to work together to make our region a better place for everyone, now and in the future. If you’re not yet working with the community foundation, we look forward to exploring the options! It would be an honor and pleasure to work alongside you and your family on your charitable giving journey.

The team at the community foundation is honored to serve as a resource and sounding board as you build your charitable plans and pursue your philanthropic objectives for making a difference in the community. This newsletter is provided for informational purposes only. It is not intended as legal, accounting, or financial planning advice. Please consult your tax or legal advisor to learn how this information might apply to your own situation. 

Donor Connection – Dec.2023

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Hello from the community foundation!

As you gear up for the holidays and build your year-end checklist, the community foundation is here for all of your charitable giving “to do’s.” Whether you’ve been a fund holder at the community foundation for years, or you’ve just established a fund or are considering doing so, our team can help.

In this issue, we’re focusing on three topics to help enrich your experience with charitable giving.

Beyond the donor-advised fund. Many of you have established a donor-advised fund with the community foundation or are considered doing so. Donor-advised funds are terrific vehicles and there are good reasons for their popularity. What you might not know, though, is that your donor-advised fund can serve as an important hub for all of your philanthropy and pave the way for you to expand your giving strategies into issue-specific giving, family giving, and legacy giving. Learn how the community foundation can serve as your comprehensive philanthropic partner.

Structure helps family philanthropy thrive. Families don’t always get along perfectly, which is no surprise! But there’s no need for even minor family disagreements to derail well-intentioned charitable giving that allows a family to rally around favorite causes. Remember that the community foundation can serve as a sounding board, advisor, and facilitator, whether your family organizes its giving through a donor-advised fund, private foundation, or a combination of both.

Sunset is coming. Winter days are not alone on the horizon! No doubt you are hearing more every day about the scheduled sunset of the gift and estate tax lifetime exemption. Without intervening legislation, the exemption will drop back down to 2017 levels–which means it will be cut in half. That’s huge, because many more families will find themselves potentially subject to future estate tax. Charitable giving can help, though! This is a good time to talk with the team at the community foundation about how to start planning your charitable giving to reduce the potential impact of the lower exemption in 2026.

Wishing you all the best for the holidays!

Angie Tatro, CEO

Your donor-advised fund: Think “hub,” not “autopilot”

Perhaps you established a donor-advised fund at the community foundation years ago, or you set up a donor-advised fund more recently. Or maybe you are considering establishing a donor-advised fund at the community foundation this year to help you keep your giving more organized and involve your children and grandchildren in your philanthropic priorities.

Whatever the case may be in your situation, it’s a great idea to consider a few best practices for ensuring that your donor-advised fund is making the biggest difference possible for the causes you care about. Life gets busy, the months fly by, and it’s tempting to put your donor-advised fund on autopilot. But that would be a missed opportunity.

By now, you likely know that a donor-advised fund at the community foundation offers the convenience of a one-stop-shop: You make tax-deductible contributions of cash (or, ideally, appreciated stock) to the fund, and then recommend grants to your favorite charities. Make sure you’re leveraging your donor-advised fund to execute the full range of your charitable giving each year. You’ll find it so much easier to keep track over time of where you’re giving, and how much.

As the hub of your charitable giving, the community foundation certainly makes it easy for you to use your donor-advised fund for your annual giving to charities. But that’s not all. As you work closely with the community foundation, you’re likely to discover even more ways our team can support your philanthropic activities:

–We can help you establish a designated or field-of-interest fund to complement your donor-advised fund. A designated fund allows you to support a specific charity over the long term, while a field-of-interest fund focuses your support on a particular area of community need by leveraging the community foundation’s expertise. If you are over the age of 70½ and you own one or more IRAs, your designated fund or field-of-interest fund can receive Qualified Charitable Distributions up to $100,000 per year per spouse, bypassing your taxable income.

–We can work with you and your attorney to help you establish a bequest in your estate plan to support your favorite causes beyond your lifetime. Many fund holders at the community foundation name their donor-advised funds, field-of-interest funds, designated funds, or even the community foundation itself, as beneficiaries in their wills and trusts, and especially as beneficiaries of IRAs and other qualified plans because doing so delivers significant tax benefits. What’s more, the community foundation offers opportunities for our legacy donors to get together and learn from each other as a group. If you’re not involved as a legacy donor already, please reach out and we’ll fill you in!

–We can help you and your family learn more about your favorite nonprofit organizations and the issues they are addressing so that you can become more informed and effective philanthropists in our community. The community foundation team’s unparalleled, deep knowledge of local issues and organizations is a real advantage for you and your family. When you better understand the needs of the community and how your favorite nonprofits are addressing those needs, you’ll be better equipped to structure your giving so that it makes a difference in measurable ways. You’ll enjoy your charitable giving a lot more, too.

We hope you’ll consider your donor-advised fund–and your connection with the community foundation–as the hub of your philanthropy. The team at the community foundation is here to help you make the most of your donor-advised fund and related strategies so that you’re not only putting your money to work to improve the quality of life in our community, but you’re also achieving financial and philanthropic goals for your overall charitable giving.

Structured philanthropy: A process relieves the pressure

Helping families create a meaningful structure for their philanthropy has long been a hallmark service of the community foundation. That structure and the resulting discipline are increasingly important as both wealth and charitable giving more frequently span multiple generations. Indeed, spontaneous and unstructured conversations around wealth and philanthropy can be a source of family discord.

By being part of the discussion–whether formally or informally, at the table or behind the scenes–the team at the community foundation can help families resolve issues and smooth out the edges around common intra-family challenges, including communication, decision-making, and charitable giving.

Here are a few of the ways the team at the community foundation can help:

–Serving as a coach to foster thoughtful, intentional, and inclusive family conversations, even if the community foundation team member is serving simply in an “ice-breaker” role.

–Offering guidance from the position of a facilitator to assure that all voices are heard, particularly as views across generations can differ.

–Helping a family structure a series of discussions that employ a phased-in or “dimmer-switch” approach, beginning with values-centered discussions to identify common ground and progressing to systematic funding and allocation conversations and decisions.

The community foundation can work with a family under a variety of circumstances. For example:

–Some families enjoy organizing their charitable giving through both a private foundation and a donor-advised fund at the community foundation. The team at the community foundation can serve as a sounding board for grant making from both vehicles and also work with a family’s tax advisors to help optimize the role and use of each vehicle.

–Many families have found that a donor-advised fund at the community foundation meets all of their charitable giving needs, and they appreciate the community foundation taking on the administrative burden associated with tax filings and administration. In some cases, a family decides to close their private foundation altogether and transfer the assets to a donor-advised fund at the community foundation.

–Some families leverage the community foundation for the full suite of its charitable giving services, often using a donor-advised fund in much the same way they’d use a private family foundation, only with increased privacy and no need to create a separate legal entity, thanks to the community foundation’s umbrella 501(c)(3) status.

By consulting with the team at the community foundation, and leaning into the structure that’s right for them, families can help their favorite community causes—and keep the peace across generations.

Three things every philanthropist must know about the gift and estate tax sunset

The shorter days of fall and winter aren’t the only sunsets creeping up on people these days. If you’ve met with your estate planning attorney and tax advisors recently, you’re probably aware that the gift and estate tax exemption–the total amount you can leave to family and other beneficiaries during life and at death before the hefty federal gift and estate tax kicks in–is about to drop, rather precipitously.

Without legislation to prevent it, on January 1, 2026, the exemption will drop from $12,920,000 per person (that’s the 2023 exemption) to about half of that amount, depending on annual inflation increases. As the date gets closer, tax planning decisions get tougher. Make aggressive moves now to activate gifts to family members? Or hold out to see if legislation intervenes to prevent the sunset?

Understandably, some philanthropists are beginning to get concerned about what their legacy might look like when (and if) the exemption drops. Add to that uncertainty the fact that a person’s date of death is among life’s great unknowns, it’s no wonder that for the relatively few taxpayers who may be impacted by gift and estate taxes—at least for now—there’s both concern and confusion.

Here’s a quick review of the facts: 

–For 2023, the estate tax exemption is $12.92 million per individual, $25.84 million per married couple, and for 2024, the exemption rises to $13.61 million and $27.22 million, respectively, adjusted for inflation, as recently announced by the IRS.

–The IRS will issue inflation adjustments for 2025, too.

–For 2026, the exemption is scheduled to fall back to 2017 levels, adjusted for inflation, which would roughly total $7 million per person.

Here are a few strategies you might consider evaluating with your tax advisors now to advance your estate plan and your philanthropy plan:

–If you are a business owner, you could explore launching a gifting program to transfer shares of your business not only to heirs, taking advantage of the higher exemption, but also to your donor-advised or other fund at the community foundation. The objective here would be to begin intentionally reducing the value of your estate, assuming that the estate tax exemption will rise, while also executing a business transition plan that meets your overall intentions regardless of the tax laws. (As with any gift of a hard-to-value asset, securing a qualified appraisal is essential, as is timing; shares can’t be gifted to a charity if a sale is effectively already in process. The IRS watches both very closely.)

–Annual exclusion gifts ($17,000 per gifting spouse per recipient in 2023, increasing to $18,000 in 2024) to family members and other individuals are an effective way to reduce the value of a taxable estate without eating into the lifetime gift and estate tax exemption. Indeed, many philanthropic individuals use the annual exclusion technique as inspiration for their charitable gifts. Gifts to charities are deductible for gift and estate tax purposes (as well as for income tax purposes) and therefore also serve to reduce the value of a taxable estate without eating into the exemption. Some philanthropists report that they like the idea of making annual exclusion gifts to each family member and then using their donor-advised fund at the community foundation to make annual exclusion-amount gifts to each of the charities they support.

–Work with your tax advisors and the team at the community foundation to run various financial scenarios to determine whether the exemption sunset will affect you and if so, to what extent. If you find yourself looking at a potentially significant taxable estate in a couple of years, consider increasing your bequests to your donor-advised or other fund at the community foundation. Amounts passing to the community foundation or other qualified charity upon your death are not subject to estate tax. This means your charitable priorities will receive 100 cents on every dollar in the taxable portion of your estate, while your family and other beneficiaries could receive 60 cents on the dollar–or even less.

As always, the team at the community foundation is here to help you navigate the opportunities and pitfalls presented by changes in the tax law. It is our pleasure to work with you and your advisors to maximize your charitable goals.

This newsletter is provided for informational purposes only. It is not intended as legal, accounting, or financial planning advice.  

Holiday Week Open Hours

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From our family to yours, we wish you a happy and prosperous New Year in 2019. We are grateful for your commitment to CKCF through the year as a donor, volunteer and trusted partner, and we look forward to a successful year making a charitable difference in the communities we serve.

HOLIDAY HOURS

The office will be OPEN the following days. Please feel free to visit us or bring your end-of-year donations by during this time. 

December 26
December 27
December 28 (9 AM – 4PM)
December 31 (9AM – 12PM)

Mail donations, postmarked by December 31 to:
CKCF
301 N Main, Suite 200
Newton, KS 67114

Hillsboro Community Foundation Hires Director

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Hillsboro Community Foundation and Central Kansas Community Foundation are pleased to announce the hiring of Bonnie Darwin as the Foundation’s new Director in Hillsboro.

Bonnie replaces Cynthia Fleming who served as Hillsboro’s Director from 2015 to 2018 and oversaw the growth of the Foundations assets to the 2.5 million.  This year the Foundation distributed $64,000 in grants to various nonprofit organizations and $9,200 to individuals in scholarships.

After attending Jost family reunions in Hillsboro for the past twenty-five years, Bonnie moved to Kansas. from Sacramento, California to be closer to her extended family. During her professional career in Sacramento, Bonnie worked with rural hospitals at the California Hospital Association and served as the Chief Consultant to the Committee on Aging for the lower house of the California Legislature.

Todd Jost, President of HCF, says “We are thrilled to have Bonnie join us as we strive to expand HCF’s work to enhance and sustain our community. We will miss Cynthia’s experience and knowledge, but we are excited by the passion and different perspective Bonnie is bringing to the post.”

Angie Tatro, Executive Director of CKCF, says “We are delighted to have Bonnie join us to continue the outstanding work of Hillsboro’s Foundation and look forward to the ideas she has to help rural communities thrive.” Tatro went on to say Hillsboro Community Foundation was established to promote and facilitate charitable giving in support of project/programs that enhance the quality of life in Hillsboro, Kansas. Then ended by stating “I am confident Bonnie will contribute greatly to this purpose.”

Hot Topic: Transfer of Wealth

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What is Transfer of Wealth?

It is an estimate of the household estate wealth transferred from the current generation to the next. Researchers at Boston College conservatively estimated a $41 trillion transfer of wealth (TOW) in America from 2000 to 2050. The estimation of TOW is considered a possible future scenario for communities to consider; it is not a prediction or an absolute number about the future.

Immerse yourself in the full study, care of KACF, here.

Goessel Community Foundation Awards Scholarships

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Two Goessel High School graduates were recently awarded scholarships by the Goessel Community Foundation, an affiliate of Central Kansas Community Foundation.

Gentry Thiesen was selected to receive the Joyful Noise Community Child Care Scholarship in the amount of $850.  The JNCCC award was established to provide financial assistance to a current graduate who plans to further their education at a private or public college/university.  Gentry attends Wichita State University and is pursuing a degree in Pre-Medicine.

Joshua Schmidt was awarded the Karen Rae McIntosh Teaching Scholarship in the amount of $500 on May 10 at the annual Goessel High School Awards Program. This scholarship is designated for graduates pursing a degree in education.  Joshua will attend Kansas State University in the fall and plans to pursue a degree in Physical Education.

The Goessel Community Foundation’s current fundraising campaign seeks to raise $117,000 for it local Impact Fund by the end of the year. If you want to be a part of meeting the needs of local charities or in support of one of these scholarship funds, please send your tax-deductible contribution to Goessel Community Foundation, P.O. Box 244, Goessel, KS 67053.