We build charitable assets.

Work with Sioux Falls Area Community Foundation

Advisors love us because we help their clients with charitable giving. Our development staff is ready to partner with you to meet your clients' goals. We have a fund for every interest.

Donors love us because SFACF funds are great alternatives to private foundations. The comparison is striking in terms of privacy and tax and administrative advantages.

SFACF holds periodic briefing sessions for advisors. If you would like to attend a briefing, contact us to get your name on our invitation list.

Gift Acceptance

You'll find that SFACF is ready to accept even the most unusual gifts. Gifts that cannot be easily converted to cash or be invested in accordance with standard investment policies require the prior approval of our gift acceptance committee. Give Candy Hanson or Andy Patterson a call at 336-7055, or see our gift acceptance policy for details.

Cash, checks, and credit cards
Cash, usually in the form of a check, is a convenient way to support worthy causes.

Credit card gifts can be made to existing SFACF funds via PayPal.

Gifts of cash or those made by credit card are eligible for federal tax deductions of up to 50% of adjusted gross income. Deductions for larger gifts can be carried over for five subsequent years.

Publicly traded securities and mutual fund shares
Contributions of appreciated securities or mutual fund shares can produce significant tax savings. Donors avoid capital gains tax and are eligible for a charitable deduction for the fair market value of the donated assets up to 30% of adjusted gross income.

Life insurance policies
Many donors find that life insurance policies are an ideal tool for charitable giving. Gifting an insurance policy that a donor no longer needs can be as simple as assigning the policy to SFACF and naming it as the beneficiary. Alternately, a donor can assign a policy to SFACF and make tax-deductible contributions to cover the policy's annual premium.

Planned Gifts

Donors who include SFACF or one of its funds as a beneficiary in their estate plans may choose to remain anonymous. When informed of a planned gift, SFACF will prepare a fund agreement that outlines the donor's charitable intentions. There is no charge for this service, and the fund agreement may be changed without cost as a donor's charitable wishes evolve. Planned gift donors are recognized as members of SFACF's Legacy Society. 

Donors who establish or add to an existing permanent fund with a planned gift are reassured to learn that SFACF's governing instruments include variance power. Its board of directors reserves the right to modify restrictions on distributions from funds if such restrictions become unnecessary, incapable of fulfillment, or inconsistent with the charitable needs of the Sioux Falls area. In such a case, the board is also obligated to direct distributions to an activity that most closely matches the donor's original gift intentions.

Qualified retirement plans
Donors may list SFACF as a beneficiary or contingent beneficiary of a qualified retirement plan, such as an IRA or 401k. An SFACF fund agreement will outline the donor's specific charitable intentions.

Bequests in wills or trusts
This language is not intended to be a substitute for legal or tax advice, but as a model for inclusion in wills and trusts.

For a bequest that will establish a named endowment or nonpermanent fund

I give [describe gift] to the Sioux Falls Area Community Foundation, Inc., (the ”Foundation”) a South Dakota nonprofit 501(c)(3) corporation located at 300 N. Phillips Avenue, Suite 102, Sioux Falls, South Dakota 57104-6035, to establish the _______________________ Endowment (or Fund if nonpermanent).  The purpose of the Endowment is to_____________________________________________________________________.

The Foundation shall retain the authority to modify or remove any restriction or condition on the distribution of funds from this Endowment (or Fund) if in its discretion such restriction or condition becomes unnecessary, incapable of fulfillment, or inconsistent with the charitable needs of the communities served.

How We Invest Your Clients' Gifts 

In 2005, SFACF's Board of Directors created a six-person investment management team that makes timely, tactical adjustments to its portfolio. The management team, which consists of three Board members and three independent advisors, meets monthly to analyze market conditions and adjust SFACF holdings as needed.

Permanent endowments are pooled and invested to generate long-term asset growth. For year ending December 31, the long-term investment pool has produced an average return of 8.1% over the past twenty years.

SFACF also holds some assets in care of local trust departments and in American Funds. For more information, see our Investment Policy.

Fees

SFACF's Board of Directors sets fees based on the cost of administering and investing its component funds. Currently, on unrestricted, donor-advised, and scholarship endowments valued at less than $1 million, SFACF assesses an annual administrative fee of 1% of the fund balance, taken quarterly. This fee drops ot 0.5% annually on fund balances that exceed $1 million and may be negotiable under other unusual circumstances.

Organizations with endowments at SFACF pay an annual administrative fee of 0.75%.

On nonpermanent funds, SFACF