Northfield Area Foundation

Through the Minnesota Community Foundation, the Northfield Area Foundation offers several different kinds of funds. They are designed to fit the individual donor’s wishes, ranging from unrestricted gifts that allow the Advisory Board to make grants to local organizations to specific gifts designated by the donor.  The common possibilities are listed below; others can be created to meet more specific needs.

All funds are endowments; the principal is retained and only the income is spent. Named funds can be created under any of the types, but require investment of $10,000 or more. Smaller contributions can be made to the Operating Fund or Community Builders Fund of the Northfield Area Foundation.

• Undesignated Funds
  After the fund is created by the donor, responsibility for use of the income is given to the NAF Board. The fund can be in a name designated by the donor or can become part of the Northfield Area Foundation Community Builders Fund or Operating Fund.
• Field of Interest Funds
  The donor designates the general area in which grants should be made. The Minnesota Community Foundation or the Northfield Area Foundation handle the payments and report to the donor after the fact.
• Donor-Designated Funds
  The donor designates the charities to which the income will go, and the relative amounts.  Payments are made from the fund on a regular basis.  The recipients and relative amounts can be changed by the donor.
• Donor-Advised Funds
  The donor designates the amount and the recipient for all income, on whatever schedule the donor decides.  Most of the current funds fall into this category.