Private Foundation Grantmaking Strategies and Best Practices

Author: Clark Nuber, Sarah Huang

Per the IRS Education Provider Standards this course must be COMPLETED by 12/31/2026 to receive credits. NOTE: Go to My Professional Profile in your CCH CPELink account settings to ensure your name, and PTIN number; matches your PTIN card

In recent years, private foundations are exploring grantmaking strategies beyond the traditional general support grants to reach those with the greatest need. These strategies include direct grantmaking to individuals, use of donor advised funds, program related investments, and equivalency determinations for foreign grantmaking. These techniques have been around for many years but gained traction in light of the COVID-19 pandemic. Join us to discuss the ins and outs of these opportunities and determine whether any may be utilized by your foundation.

Publication Date: February 2023

Designed For
CPAs, CFOs, auditors, bookkeepers, staff accountants, foundation board members, program officers, family office managers and advisors, and others working with grantmaking foundations.

Topics Covered

• Overview of Grantmaking for Private Foundations
• Grantmaking to Non-Charitable Organizations
• Expenditure Responsibility
• Equivalency Determination
• Grantmaking to Individuals
• Other Grantmaking Strategies
• Program Related Investments
• Donor Advised Funds
• Best Practices for Grantmaking

Learning Objectives

• Identify grantmaking strategies a private foundation may utilize to accomplish its charitable purposes
• Identify what types of grantmaking activities may need advance approval from the IRS or additional paperwork in the grant file
• Identify best practices in grantmaking activities to achieve compliance with federal tax laws

Level
Intermediate

Instructional Method
Self-Study

NASBA Field of Study
Taxes (2 hours)

Program Prerequisites
Basic understanding of private foundations

Advance Preparation
None