FREQUENTLY ASKED QUESTIONS ABOUT POOLED INCOME
How does it work?
You provide a gift of cash or marketable securities worth at least $5,000 to the Foundation Pooled Income Fund. Your gift is joined or "pooled" with those of other donors, and invested. You may make additional gifts of $1,000 or more at any time. Upon your death, or the death of any surviving income beneficiary whom you may designate, the Foundation will receive those contributed assets and use the income from them to meet the charitable needs of the region. In the meantime you and/or your beneficiary will be paid for life a proportionate share of the net income of the Pooled Income Fund.

What is a Pooled Income Fund?
It is, first of all, your gift to the community as a caring resident; it is also a source of life income for you and, if you choose, your spouse or another person who will share income with you or succeed to it as your survivor.

What are the tax advantages?
In the year that you make the gift, you receive an income tax deduction for the value of the Foundation's "remainder" interest in the donated property. The amount of your tax deduction is determined by the amount of the gift, the annual rate of return for the Pooled Income Fund, and the age of each income beneficiary at the time of the gift. It is calculated using standard Federal actuarial tables. Another potential tax advantage is that your gift is removed from your taxable estate, with a consequent reduction in the death taxes your estate would pay. In addition, you may avoid capital gains tax since there is no capital gains tax on the transfer of appreciated property to the Pooled Income Fund or on its subsequent sale by the Pooled Income Fund.

How does the income tax deduction work?
If you were the only income beneficiary, and the annual rate of return for the Fund were 9%, these are the deductions from income for Federal Income Tax purposes to which you would be entitled for a $10,000 gift to the Fund, (depending upon your age at the time of the gift):

AGE	AMOUNT THIS IS DEDUCTIBLE
50	$1,741
55	$1,741
60	$2,822
65	$3,492
70	$4,245
76	$5,076
80	$5,906
85	$6,706

How is it possible that I could increase present income?
For example, you own securities that have gone up significantly in value but yield only 2% or 3%. You would like to increase the income, but it would cost you a sizable capital gains tax to sell your shares and reinvest. You can transfer those securities to the Pooled Income Fund without a capital gains tax and thereafter share in the higher yield that may be generated by the Fund. Your share of the Fund's income will be based on the ratio of your appreciated securities to the fair market value of the entire Fund.

What is the professional management you provide? And who pays for it?
Funds in the Foundation's Pooled Income Fund are held in trust and invested by leading banks in the region. They serve the Foundation as trustees and assure experienced, professional management of principal. From time to time, these banks may charge such fees as may be authorized by law for managing the Pooled Income Fund. The Foundation investment committee, which is made up of outstanding investment professionals, oversees the management of investment fund assets.