Counting/Accounting for irrevocable charitable interests of endowed fund at community foundation

Counting/Accounting for irrevocable charitable interests of endowed fund at community foundation

Forum topic posted in Forum on 19 August 2013| comments
audience: | last updated: 24 October 2013
Print
||
Rate:
1 post / 0 new
Last post
Offline
Joined: 03/08/2005
Points: 0

I'm new Planned Giving Director at a charity that is the irrevocable beneficiary of several endowed funds held by local community foundations. In most cases, the donors are deceased. This gifts have been recorded by Accounting as bequest income each year when the payout from a fund is sent to us. I would like to shift this to account for the irrevocable present value of the gift at the time we are first made aware that it exists. PPP endorses this approach, but I need to make the case to our Finance office and then be able to provide adequate documentation (which the community foundations are less than forthcoming with.)

For example, instead of recording $2500 each year from the Smith Family Fund of Local Community Foundation, it would be more practical and show the long-term financial impact of endowment/planned gifts if we recorde the present value of that irrevocable gift at $100,000. (These numbers are for illustration only.)

Advice? Thoughts on making the case and what type of documentation I might push for from the community foundations?

Many thanks,

Marie Ruzek, JD, CFRE

Add comment

Login or register to post comments

Comments

7520 Rates: December 26% November 2.4% October 2.2%

Already a member?

Learn, Share, Gain Insight, Connect, Advance

Join Today For Free!

Join the PGDC community and…

  • Learn through thousands of pages of content, newsletters and forums
  • Share by commenting on and rating content, answering questions in the forums, and writing
  • Gain insight into other disciplines in the field
  • Connect – Interact – Grow
  • Opt-in to Include your profile in our searchable national directory. By default, your identity is protected

…Market yourself to a growing industry

 

Forums