What is Giving Compass?
We connect donors to learning resources and ways to support community-led solutions. Learn more about us.
What is the most compelling argument for continuing your family foundation, or donor-advised fund, in perpetuity? What is the most compelling argument for raising annual payouts and setting a closing date? Whether to operate indefinitely or limit the lifespan of a foundation is among the most fundamental questions that foundations can ask—and a conversation every family or board should have. The vast majority of family foundations are established to run in perpetuity, although more new founders are setting time limits for their foundations at inception. Occasionally existing foundations, too, set new time limits in response to changing societal or family circumstances. This Passages issue paper is aimed at new donors considering a limited lifespan for their foundation, existing foundations that have already set a closing date, or any family contemplating the question.
Read the full article about perpetuity by Deanne Stone at the National Center for Family Philanthropy.