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.
Example Fund: South Mountain YMCA Neag Endowment for Camper Financial Assistance
Unrestricted Fund
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.
Example Fund: Hawley and Myrtle Quier Fund
Field-of-Interest Fund
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.
Example Fund: Cystic Fibrosis Fund of Berks County
Visit our Areas of Focus page to learn more about our specific areas of need.
Donor Advised 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.
