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1180 105 12 Avenue SE T2G 1A1
Calgary, AB T2G 1A1
Phone: 403-802-7700
Email: info@calgaryfoundation.org
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Approaches to Giving

COMPARING GIVING OPTIONS
Items to consider
#1.
Community Foundation Fund
#2.
Commercial Donor Advised Fund

#3.
Private Foundation
Background
National network of 155 local foundations, created by and for their 
communities. 

Work in collaboration
with local charities.
Led by financial institutions and investment firms along with a Registered Charitable Partner.
More than 2,300 active Foundations in Canada. 

85% are family foundations.

Pioneered Donor Advised
Funds ('DAFs') in Canada, 
establishing first DAF in 1952.
Came to Canada in 2004.

Administrative 
Requirements



Start-up costs
None.None.    
Legal & accounting expenses. Filing fees.

Minimum 
contribution
Minimum contribution to establish a Fund at The Calgary Foundation is $10,000. TCF allows several deposits to reach Fund minimum.

Varies from $10,000 to $250,000.

No mandated minimum but expert opinion varies from capital of $5 million and up.

Ongoing costs
Pooled Fund 
administration provides 
economy of scale, resulting in cost recovery ranging from 0.80% to 1.50% based on a tiered structure (subject to change by the Board).
Fees vary from 0.75% to more than 2.0%. 

Additional fees may be charged for grant distribution, reporting, 
trailer fees and IA compensation. 
Administrative fees vary 
from .75 to 1.5% of assets, depending on 
size and staffing.

Reporting
Community foundation handles reporting.
Foundation administering 
commercial gift fund handles reporting.
Accountant, lawyer or staff person handles reporting.
Governance
Arm's length board of directors and committees comprised of cross section of local community leaders, with diverse and complementary skills.
Board membership varies but generally includes members of financial institutions, senior staff 
and board of directors.
Board comprised of trustees/directors 
initially chosen by the donor who established the foundation. 

More than half of board may be persons in a non-
arm'€™s length relationship with donor.
Tax Status
Registered charity - Public foundation.
Registered charity -
Public foundation.
Registered charity - Private foundation.
Donor Involvement
Donor can recommend grants to qualified non-profit groups. 

Grants are approved by Community Foundation board of directors.
Donor can recommend grants to qualified non-profit groups. 

Grants are approved by trustees of the gift fund.
Donor appoints board, which controls
investments and grantmaking.    

Donor can name fund for family or other loved ones. Can involve family in process and appoint successors to advise on fund after death. 

Local Community Foundation can help donors develop focus and process for their 
granting. 

Opportunity for involvement in high-
impact community leadership initiatives, Foundation events, site visits as desired.
Donor can name fund for family or other loved ones. Treatment of fund after death varies.
Donor can name foundation for family 
or other loved one and involve family in process. 

Donor Options
Work with local experts in philanthropic 
administration and grantmaking to choose from wide variety of funds. 

Giving and granting tailored to individual€™s' needs and goals. 
Usually one fund offered with several investment options.

Donor sets up foundation according to his/her wishes.


Can coordinate giving and support all qualified donees as defined by Canada Revenue Agency (CRA).
Can coordinate giving. 
Some limits on number of grants per gift.
Can coordinate giving and support all qualified donees as defined by Canada Revenue Agency (CRA).

Gift agreements could take as little as 24 hours to complete.
Gift agreements could take as little as 24 hours to complete.
Set up of foundation can take 6 to 12 months.
Tax 
Considerations



Tax Credit
Donors can claim credit to a maximum of 75% of their net income. Excess can be claimed in any of the next five years.
Donors can claim credit to a maximum of 75% of their net income. Excess can be claimed in any of the next five years.
Donors can claim credit to a maximum of 75% of their net income. Excess can be claimed in any of the next five years.

Appreciated 
Stock
Capital gains tax is eliminated on qualifying securities.
Capital gains tax is eliminated on qualifying securities.
Capital gains tax is eliminated on qualifying securities.

Private company  
shares stock
Tax savings may be deferred. Donation receipt dependent on "appraised fair market value" of shares and open monetization of shares.
Tax savings may be deferred. Donation receipt dependent on "appraised fair market value" of shares and open monetization of shares.
Tax savings are deferred and may be denied. 

Donation receipt can only be issued at time of disposition which must 
be within five years.
Grantmaking 
Support
Professional staff and board of community leaders can help identify and assess local grantees, provide input on changing community needs, and verify 
charitable status.  
Variable community knowledge. 
Foundation board and/or staff arrange and support grantmaking and 
monitoring structure.

Public Foundation makes grant distributions and requests impact reporting. 

Understanding of needs and connections in community creates 
opportunities for innovative work on pressing issues.
Registered charitable partner / Foundation makes grant payments and reports to donor.
Foundation can adopt innovative approach to grantmaking, based on 
foundation€'s chosen mandate.
Investment 
Management
Community Foundation board sets investment policy.
Participating financial institution sets investment policy in conjunction with 
public foundation.
Trustees/directors set  investment policy.

TCF's Investment Committee is supported by a VP, CIO and is made up of volunteer investment and finance 
professionals to support the board with fiduciary responsibility for the investable assets.
Financial institution'€™s investment arm manages the funds.
Trustees/directors manage the funds directly or hire professional investment managers and monitor their performance.

For a printable version, download: COMPARING 3 APPROACHES TO GIVING