Frequently Asked Questions

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What is a community foundation?

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Who governs The Dayton Foundation?

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How can I get a copy of The Dayton Foundation’s IRS Form 990 or Form 990-T or audited financial statement?

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What is the advantage of a community foundation over a private foundation?

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How does The Dayton Foundation invest fund dollars for growth?

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How are The Dayton Foundation’s services funded?

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What are the financial benefits and tax advantages of gifting through The Dayton Foundation?

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I would like to give something to my favorite charity, but I'm not rich. Don't I have to be wealthy to establish a fund through the Foundation?

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How much must I contribute to establish an endowment fund?

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Can I give anonymously?

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May I use my Donor-Advised Fund to make grants to charities outside the United States?

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Can other people contribute to my fund?

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Is there a fee to establish a fund?

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How can I get a copy of my fund statement?

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How can not-for-profit organizations apply for discretionary grants?

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Who is eligible for a grant?

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How often may I apply for a grant, and how many applications can I submit?

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Who decides which applications are awarded grants?

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Where do you get the resources to fund discretionary grants?

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I'm not a nonprofit organization; I'm just a person who needs some extra help. Can I apply for a grant?

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What is a 501(c)(3) designation? How can I get one?

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What is a community foundation?

A community foundation is a tax-exempt public charity built on the concept of people helping people to improve the quality of life in a particular geographic area. Individuals establish permanent endowment funds and other types of funds with their community foundation to help respond to emerging community issues and opportunities.

Who governs The Dayton Foundation?

The Foundation’s Governing Board, chaired by David Miller (right), is comprised of up to 15 knowledgeable, concerned community citizens and volunteers who live in the Greater Dayton Region. They represent a diverse group of people, who have different areas of expertise and community knowledge. They oversee the management and policies of the Foundation, as well as serve as the Board of Trustees for several subsidiary organizations of The Dayton Foundation.

How can I get a copy of The Dayton Foundation’s IRS Form 990 or Form 990-T or audited financial statement?

The Dayton Foundation’s federal tax returns (IRS Form 990 for each entity of the Foundation or Form 990-T) and audited financial statements are available upon request. For more information, contact Steve Darnell, vice president, Finance, at (937) 225-9969.

What is the advantage of a community foundation over a private foundation?

In addition to being knowledgeable about local needs, community foundations assist donors who wish to establish an endowed giving plan without incurring the administrative and legal costs of a private foundation.

Private foundations are highly regulated by the Internal Revenue Service. Plus, they are subject to numerous special restrictions, including administrative and reporting burdens, excise taxes and a required minimum payout every year. By affiliating with The Dayton Foundation, a family foundation may avoid being subjected to these rules and compliance requirements and better utilize the family foundation’s resources for greater charitable purposes.

How does The Dayton Foundation invest fund dollars for growth?

The Dayton Foundation utilizes more than 50 foundation-approved investment managers in which to invest donors' funds, pending donation to charity.

Our volunteer Finance Committee, comprised of members of leading financial and investment institutions and businesses, works with our professional staff to regularly evaluate investment performance to assure successful achievement of stated benchmarks. The Dayton Foundation Governing Board has final oversight of investment policies and performance. The Foundation also employs the Fund Evaluation Group to provide third-party evaluation of investment performance on a quarterly basis.

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How are The Dayton Foundation’s services funded?

Our services are funded in three ways:

• from gifts to the Foundation’s operating fund,
  
• from income earned from short-term accounts, including the Charitable Checking Account℠ Service (Dayton Foundation Depository, Inc.), and
  
• from administrative assessments to permanent funds.

What are the financial benefits and tax advantages of gifting through The Dayton Foundation?

The Dayton Foundation is a public charity. Donations qualify for the maximum available deduction for charitable contributions in the year when the gift is made. We also can offer solutions to help reduce your estate tax liability.

When donating appreciated stock or other assets, you can receive a tax deduction for the full fair-market value of the stock on the date of the gift and avoid paying long-term capital gains tax on the increased value.

Our low annual administrative fees on endowed funds can enhance the tax-free growth of donated assets to endowment funds. This allows for more generous distributions to your favorite charities over time.

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I would like to give something to my favorite charity, but I'm not rich. Don't I have to be wealthy to establish a fund through the Foundation?

No. Anyone can be a philanthropist. It does not require great wealth, just a concern or willingness to help others or a particular cause. It also does not have to be complicated.

We offer a variety of flexible, tax-advantaged giving options to help you reach your charitable giving goals. Contact Michelle Lovely, vice president, Development and Donor Services, to find out how you can start fulfilling your charitable dreams.

How much must I contribute to establish an endowment fund?

Most donors who establish an endowment fund make a commitment to bring the fund to at least $25,000 in assets, which can be accomplished over time.

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Can I give anonymously?

Yes. You can decide whether you want to be recognized for your giving or to remain anonymous. You can feel secure in knowing that your personal information will never be disclosed.

May I use my Donor-Advised Fund to make grants to charities outside the United States?

Yes! While international grantmaking has become more complex and challenging due to new governmental regulations, The Dayton Foundation can help. We offer several options to facilitate charitable giving to foreign organizations and make sure that they are in compliance with U.S. tax laws and the Patriot Act’s anti-terrorism provisions. Click here for more information.

Can other people contribute to my fund?

Yes. Some donors suggest to their friends and family that they give to their fund in honor of a special event, such as a birthday or anniversary, instead of purchasing a gift.

Is there a fee to establish a fund?

There are no fees for establishing a fund with the Foundation. However, once a fund is established and funded, there are annual community reinvestment fees associated with various fund types. For a complete list of fees, please reach out to a member of our Development Team.

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How can I get a copy of my fund statement?

Your personal fund statements are available on our website through Donor Express. Click Access Your Fund or Account, enter your password and follow the simple instructions on this secure website.

If you are not registered for Donor Express, click here to register online. If you need further assistance or have any questions, please contact Alma Matthews at (937) 225-9930.

How can not-for-profit organizations apply for discretionary grants?

Grant application procedures are listed on the How to Apply for a Grant page of our website. If you have any questions, please contact Tania Arseculeratne, community engagement officer, at (937) 225-9966.

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Who is eligible for a grant?

We welcome grant applications from local not-for-profit organizations that benefit citizens of the Greater Dayton region. To be eligible for a grant, your organization must:

• be recognized as tax-exempt under Section 501(c)(3) of the Internal Revenue Code,
  
• benefit the citizens in the Greater Dayton region,
  
• have a diversity/inclusion policy and
  
• address needs that are not met fully by existing organizational or community resources.

How often may I apply for a grant, and how many applications can I submit?

Only one request per grant cycle (grant application deadlines) can be submitted for consideration so that we can help as many not-for-profit organizations as possible. If your organization has received a discretionary grant from The Dayton Foundation, you must submit a final report stating how the grant was used and have it approved by the Foundation’s Grants Department before you are eligible to apply for a new grant.

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Who decides which applications are awarded grants?

A volunteer Grants Committee, which includes a diverse group of community leaders and members of the Foundation’s Governing Board, reviews grant applications twice a year. The Grants Committee makes grant recommendations to the Governing Board, which makes the final grants decision.

Where do you get the resources to fund discretionary grants?

Individuals who place no restrictions on the use of their funds (unrestricted funds) provide the Foundation with vital funding for discretionary grants. These funds enable the Foundation to address the greatest community needs and take advantage of emerging opportunities. They are important for the support of many local not-for-profit organizations.

I’m not a nonprofit organization; I’m just a person who needs some extra help. Can I apply for a grant?

The Foundation makes discretionary grants to qualified 501(c)(3) nonprofit organizations located primarily in Montgomery, Miami, Greene, Darke, Preble and Warren (north) counties of Ohio. We are unable to award grants to individuals, except in the case of scholarships, which are awarded directly to the educational institution on behalf of the student.

What is a 501(c)(3) designation? How can I get one?

501(c)(3) refers to the specific section of the Internal Revenue Code that defines a not-for-profit organization. For more information on the Code and how to obtain a 501(c)(3) designation, contact the Internal Revenue Service.

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