Q&A's Archive - Page 8 of 37 - Exponent Philanthropy

Q&A Archive

Which foundations should consider having a pension plan?

Any foundation that compensates any individuals for their services, whether those individuals are full-time employees, part-timers, or board members, can set up a pension plan for those individuals. Of course, tax-exempt organizations don’t gain the same tax benefits from pension contributions that for-profit organizations achieve. A pension plan, though, is a common element of compensation... Read More

What are some common ways foundations engage in impact investing?

Individual or one-off transactions—Small-staffed foundations can make investments sporadically as opportunities arise that align with their goals. This approach allows a foundation to be flexible; however, it may reveal capacity constraints because since staffing and structures are not designed to support frequent impact investing. PRI approach—Some private foundations make only below-market rate investments that count... Read More

What policies and processes help keep trustees on the high road?

A few simple policies and processes can help trustees to make consistent, unbiased, and thoughtful decisions, including: Conflict of interest policy to minimize the potential for bias and unethical decision making Internal financial controls (and perhaps a whistle-blower policy) to ensure proper financial oversight An investment policy statement to help trustees uphold their fiduciary duties... Read More