By Janice Lane Palko

Have you ever dreamed about winning the lottery and fantasized about how you would donate some of your wealth to a worthy cause? Becoming a philanthropist doesn’t have to be the stuff of daydreams. With the assistance of The Pittsburgh Foundation most everyone can realize these aspirations.

“At The Pittsburgh Foundation, we help donors to set up endowments,” said Yvonne Maher, Director of Development, Gift Planning. “For as little as $10,000, a donor may establish an endowment fund and for $25,000 an endowed scholarship fund.” If that is not feasible, a donor may work up to that level by starting an account in the Fund for Public Giving.

The Pittsburgh Foundation was established in 1945 to help revitalize the area after World War II, and the foundation has grown to become the 14th largest community foundation in the country. Its mission is to address community needs, promote charitable giving and connect donors to the critical needs of the community.

“We work with donors to craft language to meet their desires and intentions when setting up their fund. We also provide information for donors about our mission as a foundation and offer opportunities for them to work with us on special initiatives. Once a fund is created, it is invested by one of seven money managers and from the interest earned using a twelve quarter average on the returns, we are able to make annual grants of between 3 ½ and 6 percent,” Maher said.

The Pittsburgh Foundation also researches those requesting a grant to make sure they are a reputable charity. Donors have a variety of fund options. With a donor advised fund individuals make annual grant recommendations to any public charity of their choice as long as it is a 501 (c) 3. With a designated fund a donor may choose a specific entity to receive the funds. A field of interest fund is more general and targets an area of need. For example, perhaps someone would like to fund programs for special needs children. The foundation would vet programs in that area before awarding grants. The least restrictive type of fund is the community responsiveness fund. Foundation staff members work to assess the needs of the community and make appropriate grants to address those needs. “When Hurricane Ivan struck the area, funds from the community responsiveness fund were used to provide flood relief,” Maher said.

Since the endowment funds are to last into perpetuity, the foundation is also able to respond to changing times. “The critical needs of the community today may not be the same as those identified fifty years ago, or in fifty years time. The Pittsburgh Foundation is the constant that permeates through time and acts for the betterment of this community,” Maher said.

Many people assume that setting up an endowment fund is for older, more established individuals, but it is never too soon to endow a fund. “People establish current funds during their lifetimes at varying ages. When it comes to planned giving, we have people in their forties who, when they begin to draft their wills, contact us. We see many people in their sixties when they revise their wills after their kids have grown and their financial responsibilities have changed. Then we see people in their later years as they contemplate how they want to be philanthropic after they pass,” Maher said. All funds are named by the donor and some are established in a loved ones memory. “Many people thank us for providing a way for them to make a lasting difference. For many it provides them with peace of mind.”

As of 2007, the foundation’s assets totaled approximately $785 million and grantmaking reached $33 million. Maher encourages anyone wishing more information about The Pittsburgh Foundation to contact the foundation. “Everyone can be a philanthropist,” Maher said. Contact the foundation at 412-391-5122 or visit the website at www.pittsburghfoundation.org.

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