Frequently Asked Questions
The Catholic Community Foundation is dedicated to helping donors achieve their charitable goals while staying true to their Catholic values. Below are answers to some of the most frequently asked questions about our services, mission, and processes.
General Information
What is the Catholic Community Foundation (CCF)?
The Catholic Community Foundation is a public philanthropic institution established to serve the Catholic community by promoting the longevity and sustainability of the faith. As a community foundation, we offer donors a highly effective range of investment tools, tailored to fulfill their specific charitable giving needs. Whether you prefer to give through endowments, donor-advised funds, or other options, we have a solution for you. We also offer the finest professional stewardship of those funds, optimal tax benefits, and generous and responsible community-giving programs that create meaningful and lasting legacies for all of our Brothers and Sisters in Christ.
What is the difference between the Catholic Community Foundation and the Diocese of Phoenix (Office of Mission Advancement)?
The Catholic Community Foundation, an independent entity, is civilly and canonically distinct from the Diocese of Phoenix. It operates with its own 501(c)(3) designation, by-laws, Board of Directors, and staff professionals. However, it is deeply committed to supporting the entire Catholic community and ensuring its sustainability by generating the additional everlasting resources needed to serve its people, parishes, schools, and social service agencies.
Are my funds protected from lawsuits, litigation, or other areas not outlined in the Fund Agreement?
Indeed, Catholic Community Foundation funds are protected. The Foundation, a separate canonical and civil entity, is not established to avoid litigation, but to uphold our commitment. We have a strong, unwavering history of honoring donor restrictions, a commitment that is not just a tradition, but a legal requirement. This separation of entities gives donors the confidence that their funds will be utilized precisely as intended!
Can the Diocese or a parish claim or borrow funds being held at the Catholic Community Foundation?
No. The funds are not considered property of the Diocese of Phoenix. The Foundation is required to distribute the funds following the Fund Agreement established by the fund donor. Donor protection is the Catholic Community Foundation's highest priority.
Who governs the Catholic Community Foundation?
The Catholic Community Foundation's Board of Directors governs the fiduciary operations and actions of Catholic Community Foundation management. The Board meets four times per year, but working committees meet regularly to conduct foundation business. Directors consist of clergy and lay leaders who are Catholics from all walks of life and reflect the diverse experience of our faith community. The Bishop of Phoenix is not a chairman of this board, but a board member representing one of 25 voting members.
How is the Catholic Community Foundation different from other community foundations?
Funds managed by the Catholic Community Foundation are invested in 99% Catholic screened portfolios, ensuring any money handled is consistent with Catholic values and teachings. This unique alignment provides a sense of security and an inspiring opportunity for families and individuals to leave a lasting legacy of love and faith. The Catholic Community Foundation is distinguished by its faith-based and socially responsible operations, a testament to our commitment to aligning with the Catholic Church. This commitment is a crucial component in our donor's decision to manage their funds and conduct operations, instilling a sense of pride and confidence in their choice.
How is the Catholic Community Foundation funded?
The Catholic Community Foundation does not actively fundraise for operational costs. Our administrative fees, or Mission Support Fees, help the Foundation conduct programs that allow us to give back to other Catholic institutions' causes and missions that strive to impact our community daily.
What are Philanthropic Advisors?
Philanthropic Advisors identify financial needs within our community for both individuals and nonprofit organizations. They help facilitate charitable giving between faithful organizations and individuals with a propensity to give.
How does Catholic Community Foundation give back to the community?
The Catholic Community Foundation granted more than three million dollars in 2020 through Donor Advised Funds, Giving Circle Grants, and Scholarships. The Foundation aims to grow the funds to ensure Catholic organizations within the community have the necessary financial resources to carry out their missions. The Foundation anticipates granting more than 40 million dollars in the next ten years.
Individuals & Organizations
How do I make a gift to one of the endowment funds at the Catholic Community Foundation?
You can make a gift to the Catholic Community Foundation at any time. The amount you designated can be gifted to one of the current funds through cash, checks, appreciated assets, or credit cards. The Catholic Community Foundation staff will work with you to help you meet your personal charitable giving goals. While the Foundation staff cannot provide tax or legal advice, we will happily collaborate with you and your financial planner, personal attorney, or certified public accountant.
How are funds invested?
The Catholic Community Foundation is resolute in its commitment to implementing prudent investment strategies in accordance with the guidelines set by the United States Conference of Catholic Bishops (USCCB). As a Catholic organization, we ensure that our portfolio managers do not invest in entities that contradict the teachings of the Catholic faith.
Additionally, our managers actively invest in funds that promote charitable works. We are proud to declare that our investment portfolios are 99% Catholic-screened. We collaborate closely with professional investment advisors to achieve a competitive return that aligns with our board's risk and return policies.
What are the investment pools?
The Catholic Community Foundation offers multiple investment pools. The specific investment asset allocation will depend upon the short-term and long-term objectives our donors stipulate when a fund is established. Each giving vehicle, such as a Donor-Advised Fund, Endowment, or Catholic Savings Fund, has different investment risk options. To learn more about investment pool options that meet your needs, contact us at 480-651-8800.
What is an endowment?
Endowments are financial investment vehicles designed to withstand economic instabilities through sensible investing practices. Essentially, an endowment fund is a long-term investment fund made up of contributions that continue to grow while a percent of the earnings is distributed each year to benefit the named nonprofit organization or cause. Since the principle of the fund is untouched, this fund is guaranteed to last perpetuity and will safeguard against unpredictable future donor giving and economic hardships. The perspective of holding an endowment is very long-term as these are funds given in perpetuity to support the fund or organization's mission.
How do endowments grow?
Additional contributions can be added to the endowment fund to increase the principal balance. Those additional contributions, along with the investment earnings, are used to grow the fund and to provide the beneficiary with ongoing financial support. A percentage of the earnings are distributed annually based on the intentions of the fund creator. Gifts to the endowment may be given in the form of immediate gifts such as cash, real estate, stocks, and bonds – or in the form of future gifts through wills and bequests or as a designated beneficiary of a life insurance plan, retirement plan, or IRA.
What kind of endowment can I make?
As an individual, you can make a gift to an existing endowment to support a parish, a Catholic school, or other charitable organization. You may also create an endowment that supports a ministry/cause of your choice in your name or in honor of a loved one.
As a leader of an organization, you can create a perpetual endowment that supports your mission.
How much is needed to establish an endowment?
You can establish a new endowment with an initial gift of $10,000 if you intend for that endowment to receive additional contributions. Any gift amount can be added to an existing endowment. If you want to establish an endowment with the expectation that there will be no additional contributions, then your gift must be a minimum of $20,000.
What is the current endowment distribution rate and when are disbursements made?
In May of each year, a notice of distribution is sent to each benefitting organization. The organization has the ability to select the payout amount based on several scenarios. Each August, the organization will receive their disbursement from their endowment. The disbursement is calculated on the average of the last 12 quarters, which helps counter the market fluctuations. The Foundation’s current spending policy is capped at 4%, which protects the longevity of the endowment and allows for continued growth based on the market.
Once I invest funds, are the funds accessible to me or my organization?
Liquidity of each fund type varies based on the nature of the underlying investment vehicle.
If an organization were to open a Catholic Savings Fund or Catholic Growth Fund with the Catholic Community Foundation, the organization retains ownership and access to those funds. Those funds, by nature, are like a savings or brokerage account at your local bank.
If an individual or organization were to start an endowment, those funds are available on an annual basis, in accordance with the spending policy, as prescribed.
What is a Charitable Gift Annuity?
A charitable gift annuity is a gift vehicle that falls into the category of planned giving. It involves a contract between a donor and a charity, whereby the donor transfers cash or property to the charity in exchange for a partial tax deduction and a lifetime stream of annual income from the charity. The annuitant receives a fixed source of income for life without worrying about fluctuations in the market, like other retirement options. After your passing, the named charity receives the remainder of the annuity to support its mission. Please contact us for more information on annuities at 480-651-8800.
What are the Forever Funds?
The Forever Funds are a collection of endowments that create an everlasting impact that supports organizations that promote the mission of the Catholic Church. The Life Forever Fund aids those organizations that protect life from conception through natural death. The Education Forever Fund provides tuition assistance scholarships towards Catholic Education for the families most in need. The Community Forever Fund supports the infrastructure needs of Parishes, Schools, and nonprofits through grants. The Care Forever Fund supports frontline organizations that provide for those who are most vulnerable.
How are grants made/distributed from the Forever Funds?
Investment returns from the Forever Fund Endowments are distributed back into the community on an annual basis in the form of grants. Grant recipients are chosen through our Giving Circle Program.
What is the Giving Circle?
The Giving Circle is a unique and innovative program inspired by a new generation of donors. Each member is an active participant in the community grant-making process. In late winter, organizations are invited to pitch their need to Giving Circle members at an event called Pitch Day. Each member is asked to cast their vote on the causes that speak to them most. Votes are tallied and grant winners are announced. Throughout the year, members have an opportunity to connect with grant recipients during check granting day and site visits. The Catholic Community Foundation Giving Circle is the ONLY Catholic giving circle in Arizona!
What is a Planned Gift?
A planned gift is a contribution that is arranged in the present and allocated at a future date. A planned gift has no immediate financial impact on the donor but can provide significant support to the named beneficiary at the time of payout. Commonly donated through a will or trust, retirement plan, or even life insurance policy, planned gifts are most often granted once the donor has passed. A donor can name their parish, Catholic school, favorite nonprofit, or even the Catholic Community Foundation as a full or partial beneficiary of their estate. Planned gifts are an excellent option for those who are unable to provide support in the present but would like to make an everlasting impact on the organizations they love after they pass.
What is a Donor Advised Fund?
A Donor Advised Fund (DAF) is an individual charitable giving vehicle established with a minimum $10,000 gift to the Catholic Community Foundation for any general or specific purpose; grants are awarded by the Fund Adviser (individual donor) whenever they feel the desire to give. A DAF is a popular giving vehicle because it simplifies your charitable giving with one tax receipt but still provides continued support to the causes you love. If you would like to learn more about our Donor Advised Fund options, please contact us at 480-651-8800.
How can the Catholic Community Foundation serve me?
We can provide you with the tools and knowledge needed to fulfill your financial and philanthropic goals. We help individual donors as well as nonprofit organizations including parishes and schools. The Catholic Community Foundation has a Professional Advisory Board with trusted and vetted professionals with expertise in wills and trusts, investments, and tax laws that provide you with the assistance needed to make the best decision for your personal and organizational needs.
How can the Catholic Community Foundation help my organization meet our financial goals?
Every organization has different financial goals. The Foundation can provide you with the expertise and knowledge to help you meet those goals, whether it's an endowment drive, planned giving program, or fundraising initiative. If the organization would like to secure financial resources for the future, we are here to help. If you would like to learn more about how the Catholic Community Foundation can help your organization, please contact us at 480-651-8800.
What are the “Philanthropic Consultations” provided to organizations?
The Catholic Community Foundation’s Development staff are available to offer consultation to organizations regarding charitable giving options such as education about major gifts, gifts solicitation, annual giving, endowment growth initiatives, and planned giving. Whatever the project is, we can help your organization reach your goals.
What if I'm not Catholic?
No matter your religious affiliation, the Foundation can help you fulfill your financial and philanthropic goals if they are not contrary to the teachings of the Catholic Faith.
Is my gift tax-deductible?
Yes, to the extent allowable under IRS regulations. The Catholic Community Foundation is a 501(c)(3) tax-exempt organization. Contact your tax advisor or accountant regarding your tax benefit circumstances.
Non-Profits: What is a Catholic Savings Fund?
A Catholic Savings Fund provides non-profit organizations with safer, flexible, short-term investing options that are more competitive than a secular bank (saving account, CDs, or stocks and bonds). The Catholic Community Foundation's accounts are not at the mercy of market fluctuations, so it continually offers competitive rates that outperform banks. Your organization can feel comfortable knowing that it can immediately access funds. The principal and interest earned from the fund are also protected by the assets of the Foundation, offering a no-risk investment option that empowers you to control your organization's financial future.
Strengths:
Similar to a savings account
Attractive rates
Accessible at any time
Low risk
Non- Profits: What is a Catholic Growth Fund?
A Catholic Growth Fund is an investment account for non-profit organizations that provides an alternative to secular banks. Non-profits have the ability to select an investment pool that best serves their needs, including the risk profile and timeline of usage, as a means to grow idle cash over time. All pools in Catholic Growth Funds are screened in accordance with the USCCB investment guidelines and are overseen by the Catholic Community Foundation Finance & Investment Committee and a third-party investment manager. Learn more here.
What is the difference between the organizational funds: Catholic Savings Fund and Catholic Growth Fund?
Both funds are treated like a checking or savings account. The difference between the two is how they are invested. A Catholic Growth Fund is a fund that is placed in a moderately aggressive portfolio that allows for growth compared but is subject to market fluctuations. A Catholic Savings Fund is invested in a much lower risk portfolio that eliminates the market's peaks and valleys, but the Foundation guarantees a set annualized return rate. If you would like to learn more about which fund best suits your organization, please contact the Catholic Community Foundation at 480-651-8800.
Why can’t I access my endowment funds and use as I desire?
The Catholic Community Foundation must follow and act in accordance with the donors and establishing party’s intent of the fund. Endowments exist to provide a perpetual income and any withdrawals would go against the original intent of establishing the endowment.
What is the difference between the Catholic Community Foundation (CCF) and Catholic Education Arizona (CEA)?
Catholic Education Arizona scholarships are made possible through tax credits, which provides tuition assistance to those families in need. The Catholic Community Foundation grants scholarships through the generosity of individuals and organizations within the community. Currently, the Foundation offers three types of scholarships: CCF Scholarship Program (needs-based tuition assistance), Christian Service Awards (based on service), and special interest scholarships designated for particular student classifications based on the donor’s intent.
Can I apply for both a Christian Service Award (CSA) and the CCF Scholarship Program (needs-based tuition assistance)?
You can be a recipient of both scholarships. Both the CCF Scholarship Program (tuition assistance scholarship) and Christian Service Awards (CSA) are by nomination only.
What is the difference between CSA and the CCF Scholarship Program?
The Christian Service Award is a scholarship that rewards those individuals who live a Christ-Centered life through their volunteerism within the community, whether it is at their local parish or another charitable organization. The CCF Scholarship Program is a needs-based tuition assistance scholarship that provides financial assistance to those families in need, based on the FAIR Application data. The CCF Scholarship Program is awarded by nomination only.
If you have any other questions about our scholarship offerings, please contact Nicole Winter at 480-651-8806.