Types of Funds
at the Community Foundation of West Alabama

There are several ways to give through the Community Foundation of West Alabama.

You may choose from the following fund types:

• Community or Unrestricted Funds
This type of fund offers the broadest option. Unrestricted funds are used to respond to the community’s changing needs and emergencies, to support the creation of innovative responses to community problems, and to enhance the quality of life of the people of West Alabama. By creating a Community Fund, a donor leaves a living legacy that will grow and change as the community does. Income from these funds are used to support the service programs of the Foundation and are used for grants to nonprofit organizations serving communities throughout West Alabama.

• Field-of-Interest Funds
This type of fund allows donors to support broad areas of concern, such as education, scholarships, health, environment, youth services or the aged. The Community Foundation will use these funds to make grants to the most appropriate programs or organizations within the specified field of interest. Donors may also direct that grants be made only to a specific geographic area.

• Designated Funds
This fund type ensures that support will be provided to specific eligible organizations that the donor chooses. Donors may establish a designated fund to endow the charitable giving that they enjoyed throughout their lifetimes. If any of the names organizations cease to exist or change the purpose of its activities, the Community Foundation will ensure that donors’ charitable goals are continued.

• Agency Endowment Funds
This fund is created by other nonprofits in order to protect charitable dollars for the future of their work and their mission. An agency endowment fund within the Community Foundation decreases the nonprofit agency’s administrative burden while protecting their endowed monies, providing a relatively constant source of annual income and often increasing their investment yield because the endowment is grouped with other funds. Although an Agency Endowment Fund can only be established by the nonprofit organization itself, donations by others to these funds are welcomed.

• Donor Advised Funds
This type of fund provides convenience and flexibility by enabling the donors to make contributions to charitable organizations through the Community Foundation. These funds allow donors to make recommendations about distributions to charities of their choice. This type of fund is especially useful for donors who want to take a charitable deduction one year and then make distributions over several years. One simple donation allows donors to support numerous charities over time.

Types of Funds at the Community Foundation of West Alabama

Types of Funds
at the Community Foundation of West Alabama