Private Foundation Services

Customized Solutions

We’re here to help, no matter where your clients are on their philanthropic journey.

Private Foundation Services

Do your clients already have a private foundation? We can offer valuable community insights and helpful philanthropic services to make their work even more impactful. If your client has already established a private foundation and is in need of additional services, such as back-office support, grant-making assistance, insights on current community needs, or information on local nonprofits, the Sioux Falls Area Community Foundation can help. We offer a variety of services on a fee-based schedule.

Our charitable support fee for entities for whom we do not hold or invest the assets are customized on a case-by-case basis.

Marianne Von Seggern with the Seed for Success Foundation shares how the organization works with the Sioux Falls Area Community Foundation.

Is your client considering a private foundation?

The chart below can be a resource as you consider the best vehicle to meet your client’s needs.

Private Foundations and Donor-Advised Funds at a Glance

Private Foundation

Donor Advised Fund

Administrative Fees

Typically high, but can be modestFees starting at 1% and decreasing for
balances over $1 million

Set-up Process

Legal work required, can be time consumingCan be done in less than a day with no set-up fee

Tax Deduction for Contributions

Cash: 30% of AGI
Securities: 20% of AGI
Privately Owned Assets: Cost Basis
Cash: 60% of AGI
Securities: 30% of AGI
Privately Owned Assets: Fair Market Value

Excise Taxes

Up to 2% of annual investment incomeNone

Annual Distributions (Grantmaking)

Required 5% distributionFlexible, with no minimum requirement


NoYes, donors can choose full/partial anonymity if desired

Lead beneficiary of CLAT



Yes, if desiredYes, if desired

Ongoing Administration

Responsible for administration and IRS filingsCommunity Foundation handles all administration and IRS filings

Please note, exceptions to the rules always apply, and each situation is unique and should be evaluated based on circumstance.