Federated Funds and Other Grantmakers

Donor Advised Funds enable the donor to advise on the recipient of their philanthropic dollars, while the host institution takes care of the financial paperwork, including cutting the check and sending it to the charity or charities of the donor's choice.

Federated Funds raise money each year to support groups of nonprofit organizations. Major federated funds in Connecticut include the United Way, Connecticut Health Charities, the Arts Council and the Jewish Federations. Other federated funds have developed nationally and are included in state and federal employee campaigns in Connecticut.

Individuals whose independent philanthropic giving, usually at a very high rate, promotes the common good or improves human quality of life.

Private Operating Foundations are private foundations that use the bulk of their resources to provide charitable services or run charitable programs of their own. They make few, if any, grants to outside organizations and, like private independent and private family foundations, they generally do not raise funds from the public.

Public Foundations are designated "public charities" rather than "private foundations" by the IRS because they raise a significant portion of their resources from a broad cross-section of the public each year.