FAQs

The Long Island Community Foundation offers the advantages of a private foundation without most of the expense and hassle. Professionally staffed, LICF can handle all aspects of grantmaking and reporting, and advise donors on smart and effective grantmaking. Many of our donors also have private foundations. Often, the donor uses a fund here to support causes and nonprofits that are outside the general focus of the private foundation. Many set up a fund with us to take advantage of our grant staff, who are expert in a variety of local issues and can vet proposals, read financial statements, evaluate programs, study trends, and make grants that address critically important needs. And almost all want to join with other generous Long Islanders who care about our community.

As a public charity, LICF offers donors tax deductions that are often superior to those accorded private foundation donors. Read more >>

We offer four types of funds:

• Unrestricted funds leave discretion to The Trust's governing board to use the donor's gift to meet contemporary needs, forever.
• In a field-of-interest fund, we make grants to nonprofits to tackle issues of concern to the donor, such as child and family welfare, youth, education, or health policy.
• A donor-advised fund is an unrestricted fund legally, but the donor recommends the organizations to receive grants.
• Designated funds name specific nonprofits to receive grants, subject always to our board's variance power, which ensures that the fund remains relevant over time.

It's easy to set up a fund at LICF. You decide the type of fund that’s best for you. You think about your charitable priorities, how much you want to give, and name the fund. Then you establish the fund. The gift may be made now or by will. Click here for instructions.

We have funds that were started with $75 million, but our minimum is $5,000, which is also the minimum amount that must be maintained in the fund. There is no maximum. We do not charge a set-up fee.

Funds may be established with the following:

• Cash,
• Securities traded on major exchanges,
• Closely held stock,
• Mutual fund shares,
• Retirement plan assets,
• Interests in limited partnerships,
• Literature copyrights, and movie and television rights.

We are skilled at evaluating unusual assets and have the flexibility to accommodate them when suitable for charity.

All funds in The Trust, regardless of type or size, are assessed the same annual administrative fee. Currently, the fee is 2.5 percent of grants paid or 1/2 of one percent (or 50 basis points) of the fund’s market value, whichever is greater. The fee is based on market value and taken in quarterly installments. If the fee collected by the end of the year is less than 2.5% of grants paid, then the difference will be withdrawn during the first quarter of the following year.

We also use another mechanism to keep our fees low. The income generated by each fund is put into the fund's grantmaking account (disbursing account). However, the interest earned on balances waiting to be distributed to grantees is used to defray The Trust's administrative expenses.

The minimum annual fee is $100.

The fee on an individual grant of $500,000 or more is 1%. Investment fees are modest.

We can open a donor-advised fund in less than one business day.

Of course. The donor always chooses the name of the fund, typically using their own names or names of individuals to be honored or memorialized. Donors who prefer anonymity can choose a general name.

Five years is our minimum, but we hope that donors will consider making their funds a permanent resource for charity.

From time to time, as circumstances warrant, you may request us to change the investment, but please remember, as personal as our service may seem, the money you have given us to establish a fund legally becomes our money, and while mindful of your interests or concerns, our decision on appropriate investment vehicles must remain the final one. More information on how we invest. If you would like to discuss changing how your fund is invested, please e-mail us.

From time to time, as circumstances warrant, you may request us to change the investment, but please remember, as personal as our service may seem, the money you have given us to establish a fund legally becomes our money, and while mindful of your interests or concerns, our decision on appropriate investment vehicles must remain the final one. More information on how we invest. If you would like to discuss changing how your fund is invested, please e-mail us.