Until this year, when a Pennsylvania resident died without a will and without surviving family, their entire estate was claimed by the Commonwealth and absorbed into the state’s general fund. That changed on January 23, 2026.
Under Act 50, if someone in Pennsylvania dies intestate (without a will) and leaves no heirs, the assets of their estate will now be directed to an endowed fund at the community foundation serving the county of their most recent residence. Instead of disappearing into the state’s general fund, those dollars will stay in the communities where these individuals lived, supporting local nonprofits and strengthening community life for generations to come.
Although these situations are uncommon, they do happen—and until now, the outcomes didn’t reflect the decedents’ lifelong ties to their communities. Many of these Pennsylvanians worked, paid taxes, volunteered, and contributed to their neighborhoods. Yet when they died without family or a valid will, their remaining assets were absorbed by the Commonwealth, separated from the place they once called home.
Act 50 updates Pennsylvania’s Intestate Succession law to provide a more community-centered solution. When no heirs can be located, the estate will now be transferred into an endowed grantmaking fund at the local community foundation. These endowed funds are designed to exist in perpetuity, providing stable, ongoing support to local charities year after year.
To support the new law, the Pennsylvania Community Foundation Association has certified that each county in the Commonwealth is served by a community foundation with a qualifying endowed community fund. This ensures that no matter where someone lived, their final gift will benefit their own community.
Importantly, Act 50 does not replace the need for thoughtful estate planning. Writing a will remains the best way to ensure that personal wishes are honored—especially for those who hope to leave a philanthropic legacy by supporting causes they care deeply about. But when life takes an unexpected turn, Act 50 ensures that dignity, fairness, and community values guide the final outcome.
Berks County Community Foundation, established in 1994, is committed to promoting philanthropy and improving the quality of life for residents of Berks County. Through Act 50, we are honored to help ensure that every Pennsylvanian’s final gift can remain rooted in the place they called home.
It’s never too early for estate planning.
Let’s have a one-on-one conversation about your desired philanthropic legacy.
At Berks County Community Foundation, we know that charitable giving is deeply personal—and that choosing the right tools matters just as much as choosing the causes you care about.
Whether you are considering establishing your first fund with the Community Foundation or considering adding another fund to complement the ones you already have, it can be helpful to step back and look at how different options support different goals.
Designated Fund
Perhaps you are instead (or also) focused on making a lasting impact on a single organization that has played an important role in your life. In that case, a designated fund may be the right addition to your charitable portfolio. A designated fund provides ongoing, predictable support to a specific nonprofit—either through regular distributions or grants made as needed. Because the Community Foundation provides stewardship of the fund’s assets, a designated fund offers stability and continuity for the organization it benefits. This type of fund can be especially helpful if you want to “bunch” multiple years of giving into a single year for tax purposes while ensuring continued support for a favorite charity over time. Plus, if you are age 70 ½ or older, a designated fund can receive Qualified Charitable Distributions from your IRA.
Some donors are drawn to a different approach: addressing the community’s most pressing needs, both now and in the future, while relying on professional insight to guide that work. For these donors, an unrestricted fund offers powerful flexibility. Unrestricted funds allow the Community Foundation to direct resources where they are needed most as circumstances change—whether that means responding to a crisis, supporting emerging opportunities, or addressing long-term challenges. These funds play a critical role in the community’s ability to adapt and thrive, and they create a legacy of giving that remains relevant for generations.
A field-of-interest is similar to an unrestricted fund, except that you can name a specific area of need, such as the arts, education, or emergency assistance, to receive support from the fund.
Donor advised funds make it simple to support a wide range of nonprofits while maintaining a clear, organized approach to philanthropy. With a donor advised fund, you can make contributions of cash, stock, or other property at your convenience, and these gifts are eligible for a charitable tax deduction in the year of the gift. Separately, the donor advised fund allows you to recommend grants to your favorite IRS-qualified charities over time.
Adopt a portfolio approach
Many donors choose to establish more than one type of fund over time, building a thoughtful and diversified approach to philanthropy that reflects both their values and their evolving priorities.
Wherever you are on your charitable giving journey, the Community Foundation is here to help. It is our privilege to partner with you, provide guidance, and support your generosity in ways that strengthen the community we all care about. Please reach out anytime—we would love to talk with you.
Many people approach a new year with a genuine desire to be more intentional about their charitable giving.
They know they want to make a difference, align their generosity with their values, and perhaps even involve their families—but they are often unsure where to begin. The combination of busy lives, changing tax laws, and an ever-growing number of worthy causes can make getting started feel overwhelming. The good news is that taking a few simple, thoughtful actions at the beginning of the year can bring clarity and confidence to your giving.
Here are three first steps to inspire you:
Consider reviewing your 2025 charitable contributions with the team at the Community Foundation. Looking back at last year’s giving can be surprisingly helpful, especially when guided by professionals who understand both philanthropy and the local community. The Community Foundation can help you see the real-world impact of your gifts, identify patterns in your giving, and highlight opportunities you may not have considered. This review also creates a natural bridge to planning your 2026 support, whether that means refining your focus, adjusting gift amounts, or exploring new charitable vehicles. Just as important, it allows you to begin thinking strategically about future years, helping ensure that your generosity grows in a way that is both meaningful and sustainable.
Talk with your tax advisors as soon as possible about whether and how the new tax laws might impact your situation. Charitable giving is closely connected to tax and estate planning, and early conversations can help you make informed decisions before the year gets too far along. This is also an ideal time to revisit your estate plan and beneficiary designations. Many donors choose to include a gift to their fund at the Community Foundation in their wills, trusts, or beneficiary designations on retirement accounts or life insurance policies, creating a lasting legacy that reflects their values. Coordinating these updates with your tax advisor and the foundation can ensure your charitable intentions are clearly documented, tax-efficient, and aligned with your overall financial and estate planning goals.
Set goals for your charitable involvement in 2026. Rather than giving reactively, goal setting allows you to be proactive and intentional about how you engage with the causes you care about. Berks County Community Foundation can help you explore new and emerging charities, learn more about pressing needs in the community, and connect with organizations that align with your interests. Together, you and our team can create a plan for timing gifts throughout the year, whether through recurring contributions, single large gifts early in the year to help a favorite charity leap ahead, or strategic gifts of highly appreciated or complex assets. This approach not only makes giving more manageable but also helps ensure your generosity has the greatest possible impact.
As you look ahead, remember that you do not have to navigate charitable planning on your own. The Community Foundation is here to serve as a trusted partner—whether you are just getting started, refining an existing plan, or thinking about the legacy you want to leave for future generations. We invite you to reach out anytime to ask questions, explore ideas, or take the next step in your giving journey. We are honored to help you turn your charitable intentions into meaningful, lasting impact.
Please reach out to Molly McCullough Robbins, Vice President for Philanthropic Services, by calling 610-685-2223 or emailing mollyr@bccf.org.
At Berks County Community Foundation, we are honored to work with you and so many other families, individuals, and businesses to help organize your charitable giving and support favorite charities that make a difference in our community.
As the year winds down, here are 10 giving tips to keep in mind:
Remember that 2025 is a pivotal year for charitable planning. With more stringent charitable deduction limitations taking effect in 2026 under new tax laws, this year may offer a favorable tax environment for your giving depending on your personal situation. Talk with your tax advisors as soon as possible.
Work with your tax advisors to evaluate the benefits of “bunching” multiple years of charitable gifts into 2025. By front-loading contributions, you may be able to exceed the standard deduction this year and maximize your tax benefits.
Use a donor-advised fund to simplify year-end giving. You can make one tax-deductible contribution now, receive the deduction in 2025, and recommend grants to nonprofits over time, throughout 2026 and beyond.
Give appreciated stock instead of cash. Donating long-term appreciated securities may eliminate capital gains tax and in turn increase your charitable impact. Talk with our team and your tax advisors as soon as possible so these gifts can be processed well before the end of the year.
Explore giving from your IRA if you’re 70½ or older. A Qualified Charitable Distribution (QCD) can reduce taxable income and, if applicable, satisfy required minimum distributions—to the tune of $108,000 per taxpayer in 2025. IRS rules allow you to make QCDs to a wide variety of funds at the Community Foundation (but not to your donor-advised fund).
Check to see whether you’ve met your charitable goals for 2025. Don’t wait until late December to review your plan. Our team can help you think through options for this year and begin to coordinate more complex gifts for next year.
Support the community overall by making gifts to existing funds at Berks County Community Foundation. 2025 has been a tough year for many people in our community, and our team can help you support families in crisis both now and in the future.
Review your beneficiary designations. Naming your fund as a beneficiary of an IRA or other retirement account can create meaningful future gifts while reducing the tax burden on heirs.
Avoid last-minute surprises. Gifts of complex assets—such as real estate or closely-held stock—require additional steps and a lot of lead time, so contact us early if you’re considering these options. Even if it is too late to complete these gifts in 2025, start working with our team on options for 2026 gifts.
Above all, lean on the team at the Community Foundation! We are here to help you explore the most tax-efficient ways to meet your charitable goals, whether you’re planning year-end gifts, updating a legacy plan, or thinking ahead to the changes coming in 2026.
Thank you for the opportunity to work with you. We look forward to supporting your charitable goals this year and for many years to come.
This solicitation is valid only for residents of the Commonwealth of Pennsylvania.
Richie Santiago spends five or six hours on most weekdays at the Circle of Friends Drop-In Center on North Fifth Street in Reading, playing pool, chatting with friends, enjoying home-cooked meals and helping staff members with cleanup chores.
“I’m from New Jersey and don’t have any family here,” said Richie, who lives near the center. “If I didn’t have this place to come to it would hurt. This place benefits me a lot.”
Richie is one of about 235 people served annually by the center, which is run by Community Prevention Partnership/CHOR, an agency that provides a variety of prevention services in Berks and Schuylkill counties.
Richie Santiago helps clean up after a Halloween party at the Circle of Friends Drop-In Center on North Fifth Street.
According to Barbara Werner, executive director of Community Prevention Partnership, the Circle of Friends Drop-In Center, which serves people living with chronic mental health conditions, lives up to its name.
“It provides clients with a circle of support,” Werner explained. “Not everyone has a support system they can lean on when something goes wrong, but the center gives them that.”
Sadly, the future of Circle of Friends is not guaranteed.
CHOR-Youth and Family Services has been forced to pick up the tab because Block Grant money is stalled due to Pennsylvania’s budget impasse, a stalemate that has prevented many agencies from receiving expected funding since July.
“We are able to keep the center operating for now because we’re part of a larger organization,” Werner said. “But I’m not sure that CHOR’s funding can go on indefinitely.”
Having to shut down the center, she said, would be extremely detrimental to clients.
“The center helps meet people’s basic needs. We provide meals and social activities and a shower and laundry facilities,” she said. “That all helps keep our clients as mentally and physically stable as possible.”
“As of now, we haven’t heard of any of these agencies having to shut down, but we know that some are having to cut services and are worried about how long they can continue operating,” Seaman said. “Those Block Grant funds support a lot of services.”
An inspirational bulletin board created by clients at the Circle of Friends Drop-In Center.
Both programs have been very successful over long periods of time, he explained, and discontinuing them is not an option.
“The people we serve would be homeless,” Michalik said. “We’re not going to let that happen.”
While the programs are continuing to operate, Michalik has put off making upgrades and improvements to some of the group homes and is looking at the possibility of having to seek a line of credit.
“If we need to do that, we’ll have to use money from some of our programming to pay the interest on the loan,” he said. “We’ve been told that we won’t get reimbursed for the cost of interest.”
Clients line up at a food truck at the Circle of Friends Drop-In Center.
Four Months is ‘Long Enough’
Funding stoppages caused by the state budget impasse may be causing long-lasting damage, but the lack of a state budget also is causing short-term problems, according to Berks County Commissioner Michael S. Rivera.
“We have no idea how much money the county will be getting this year,” Rivera said. “We’re guessing and hoping we’ll get at least as much as last year, but we just don’t know.”
That makes it nearly impossible to enter contracts or plan for future spending.
Berks County has reserve funds that are enabling it to continue operations but is losing money it would have earned as interest on those reserves.
In addition, there is uncertainty over federal funding sources other than through the Block Grant program.
“That’s also a day-to-day process of trying to figure out what might happen,” Rivera said.
While Michalik said he takes no sides on the issue of the budget impasse, he is surprised that state legislators have been unable or unwilling to work together to pass a spending bill.
“I don’t know what they’re thinking, but this is like a perfect storm that agencies are struggling to weather,” he said. “I think that four months is long enough.”
You are likely aware that many families, organizations, and agencies in our community are struggling, and you may be wondering how you can help most effectively. Whether increased community needs are triggered by a budget impasse, government shutdown, or other economic factors, the Community Foundation is committed to helping you structure charitable giving plans that make a real difference in the lives of people in Berks County.
Here are a few examples of how our team can help:
Real-time identification of needs.
The program team at the Community Foundation has its finger on the pulse of which organizations are helping families in crisis, and which organizations are hurting the most due to state and federal funding gaps. Nonprofits in our community can be stretched thin by attempting to meet the rising demand for support. The foundation knows where dollars are most needed and how those dollars translate into immediate impact.
Offering fast and flexible charitable solutions.
If you have already established a fund at the Community Foundation, or if you are considering doing so, you can use it to support charities on the front lines in our community.
Leverage important timing.
The urgency of community needs in late 2025 coincides with an important window of opportunity for people who itemize their income tax deductions. Under the One Big Beautiful Bill Act (OBBBA), limits on charitable deductions will tighten in early 2026. That means it may be advantageous for certain donors to give more this year-by establishing or adding to a fund—to maximize both tax benefits and impact.
Plan for the future.
The Community Foundation works with you and other donors and fund holders to strengthen our community’s ability to respond to urgent needs, regardless of when and why they occur.
We encourage you to reach out anytime.
At this moment, when urgent needs and tax opportunities are occurring simultaneously, we encourage you to reach out as soon as possible. It is our honor to work with our community members who care so deeply about Berks County.
Let us help you help others.
What are your plans? What do you need to get started? We’d love to have a one-on-one conversation with you anytime you want to talk.
At the Community Foundation, we want to improve life in Berks County by connecting its residents with accurate information.
What do these cuts mean for Berks County residents, nonprofits, businesses and donors?
The impact of federal funding cuts, government shutdowns, and state budget impasse are being felt on a local level.
While philanthropy helps create vibrant and healthy communities, it cannot replace the stability of federal or state investments. Affordable housing, food security, access to education, workforce development, affordable healthcare and much more depend on federal dollars. When that funding is stripped or halted, we risk a reduction in essential local services.
Local philanthropy has never and will never be able to fill the void of government funding.
Why Stories of Impact?
We hear directly from Berks nonprofits, agencies, businesses and individuals how federal cuts impact their capacity to serve the community. To connect Berks County residents with accurate information, we’ve engaged a local freelance reporter to elevate the voices of those impacted. These articles shed light on the real-world effects of these budget changes on local organizations and individuals.
This research has been captured in the form of articles that you can read below.
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Note from Monica Reyes, VP for Programs and Initiatives:
Opinions expressed in the Government Cuts, Local Impact Series do not necessarily represent those of Berks County Community Foundation.
Click here to read the bio of our reporter, Susan Shelly McGovern
Susan is a freelance writer, editor, and researcher.Over the course of a long and varied career, Susan has crafted thousands of articles, written or contributed to more than 50 books, generated copy for advertising and marketing firms, edited a variety of manuscripts, researched corporate histories and generally applied her skills to whatever projects presented themselves.
But what Susan has enjoyed the most is telling stories.
As a feature writer for the Reading Eagle, area colleges and universities, health care systems, treatment centers and others, Susan has had the opportunity to tell the stories of first-generation college students, people struggling with addiction, veterans, business executives, health care workers, educators, patients dealing with serious illnesses and people who have triumphed over adverse circumstances.
As a long-time, invested resident of Berks County, Susan has witnessed some of the challenges local people experience with food insecurity, homelessness, incarceration, alienation and other extremely challenging situations. She has worked with agencies including New Journey Community Outreach, Opportunity House, Berks Coalition to End Homelessness, Family Promise of Berks County and Connections Work.
Addendum
November 13, 2025: Pennsylvania Governor Josh Shapiro announced late Wednesday night that a $50.1B state budget has been signed into law. The deal ends a four-month budget impasse which stopped the flow of millions of dollars of funding to Berks County schools, nonprofits, businesses, programs and services.
Read the Impact Stories Now
Helping Harvest Working to Overcome Funding Cuts and Future Uncertainties
Federal cuts resulted in a loss of $3 million to Helping Harvest, equivalent to about 15% of the food it distributes annually.
It is our honor to work with so many families and businesses to structure and implement your charitable giving plans.
What’s perhaps most rewarding to the team at the Community Foundation is the overwhelming sentiment among our donors that, despite changes in the tax laws over the years, you are committed to making a difference by supporting the causes you love. Although tax benefits of charitable giving ebb and flow, showing your support for our community and the charities you love through estate planning remains steadfast.
August is National Make-A-Will Month, which means it’s the perfect time to review your estate plans with your attorney and our team at the foundation to ensure your philanthropic intentions are up to date. Even a quick check-in now can maximize the impact of your legacy and help ensure that your wishes are clearly carried out to support the causes you care about for generations to come.
If you are a business owner, the concept of succession/estate planning is nothing new. But succession planning isn’t just for business owners–it’s also important for leaving a charitable legacy. The team at the Community Foundation can help capture your intentions, and we make it easy to involve your family members so that the causes you care about are supported for generations to come.
We look forward to talking with you soon about how you can deepen your involvement with your favorite charities. Our team is here to help.
Tax Law Changes – Time to study up?
Spark Notes is a monthly blog post, providing relevant information to current and future donors and fundholders.
The One Big Beautiful Bill Act was signed into law by President Trump on July 4, 2025, after the House of Representatives approved the Senate’s changes to H.R. 1, which passed the House by a narrow margin in May.
The OBBBA, with nearly 900 pages of provisions, reshapes policy across major sectors of the U.S. economy. Included in the OBBBA are several provisions that impact philanthropy. Three major insights are of particular importance to the Community Foundation. We help donors, fund holders, nonprofits, attorneys, CPAs and financial advisors navigate charitable planning opportunities.
(Notably, the OBBBA omits several provisions that appeared in previous versions of the legislation. These provisions include a proposed increase to the net investment income tax on private foundations.)
Insight #1: Standard deduction goes higher
What’s in the OBBBA?
The new law makes permanent the standard deduction increases under the Tax Cuts and Jobs Act of 2017 (TCJA), increasing the standard deduction for 2025 to $15,750 for single filers and $31,500 to taxpayers who are married and filing jointly. The new law also expands the “bonus” deduction for taxpayers 65 and older through 2028.
Under the new law, individuals who itemize may take charitable deductions only to the extent the charitable deductions exceed 0.5% of adjusted gross income. Furthermore, taxpayers in the top bracket can only claim a 35% tax deduction for charitable gifts instead of the full 37& that would otherwise apply to their income tax rate. Note also that the final bill extended the 60% of adjusted gross income contribution limitation for cash gifts made to certain qualifying charities.
What does this mean for charitable giving?
With even fewer taxpayers eligible to itemize and deductions capped for high-income earners, it’s likely we’ll see the continuing, chilling effect on charitable giving that occurred through TCJA.
What can you do?
If you regularly support charities, continue to do so whether or not you’re benefiting from a tax deduction. Our community needs you, now more than ever. If you’re a nonprofit, attorney, CPA or financial advisor, remember–people do not give to charity solely for tax deductions. Keep in mind that many other factors motivate charitable giving, and philanthropy is an important priority for many families. (This article in the Stanford Social Innovation Review has stood the test of time.)
Insight #2: Deduction for non-itemizers
What’s in the OBBBA?
The new law includes a provision, effective after 2025, allowing non-itemizers to take a charitable deduction of $1,000 for single filers. Charitable deductions for taxpayers who are married and filing jointly are $2,000. As has been the case in the past, gifts to donor-advised funds are not eligible. Unlike a previous (but smaller) similar provision, though, this law is not set to sunset.
What does this mean for charitable giving?
After the TCJA went into effect, households that itemize deductions dropped to under 10%. Parallel to this trend, the number of U.S. adults who give to charity in any given year has dropped over the last 20 years from nearly two-thirds to less than half. Against this backdrop, the OBBBA’s deduction for non-itemizers has the potential to re-motivate charitable giving among a significant number of households.
What can you do?
Now is the time to review your charitable giving plans and support the causes you love. This is especially important if you are early in your career and not yet itemizing deductions. If you’ve already established a fund or already working with the Community Foundation, please reach out. We can help you make the most of the new tax laws, and even get your children and grandchildren involved. If you’re a nonprofit, now is the time to attract and engage brand new donors. If you’re an attorney, CPA, or financial advisor, talk about charitable giving with your clients who don’t itemize. A $1000 or $2000 deduction could be just the motivation they need to begin a journey of philanthropy.
Insight #3: No sunsetting estate tax exemption
What’s in the OBBBA?
For affluent taxpayers and the attorneys, CPAs, and wealth managers advising them, the last couple of years have been turbulent. The looming possibility that TCJA’s increase to the estate tax exemption would sunset by 2026 created a lot of stress. Finally, there is clarity: Under the OBBBA, the sunset will not happen. The new law makes permanent the increase in the unified credit and generation-skipping transfer tax exemption threshold. The 2025 exemption is $13.99 million for single filers and $27.98 million married filing jointly. In 2026, these numbers increase to $15 million and $30 million respectively.
What does this mean for charitable giving?
Purely estate tax-based incentives to give to charity continue to apply only to the ultra-wealthy. This behavior likely resulted in a continuation of the taxpayer behavior triggered by the TCJA. In other words, most people will give to charity for reasons other than a tax deduction.
What can you do?
There is no guarantee that the estate tax exemption will stay high forever. As families work with their financial advisors, the next two years are an important window to plan ahead. The upshot of the new law is that high net-worth taxpayers now have more time to thoughtfully consider estate planning strategies, including charitable giving. For nonprofit organizations, this means continuing to focus on long-term planned giving strategies is wise.
The team at the Community Foundation is honored to serve as a resource and sounding board as you build your charitable plans and pursue your philanthropic objectives for making a difference in the community. This newsletter is provided for informational purposes only. It is not intended as legal, accounting, or financial planning advice. Please consult your tax or legal advisor to learn how this information might apply to your own situation.
Maggie Lewis does not currently live in Berks County, but her connections to home run deep. Maggie grew up here and now returns regularly to participate as a member of the Power of the Purse (POP) women’s giving circle. As a working mother living outside Philadelphia who is busy with her husband and twin toddlers, Maggie makes time to come to Berks County regularly for POP meetings and events, because she believes the mission of POP and the grantmaking facilitated by the Community Foundation is a meaningful way to give back to the community in which she was raised. While she lives in Aston, PA with her family, her connections to her home stay strong.
The Power of the Purse (POP) Fund of Berks County Community Foundation was established in 2012 and currently boasts over 60 members. POP members meet four times per year and attend optional site visits to determine recipients of grant funding through an application and review process. The Community Foundations manages the application and review process.
