Creating a Family Foundation
Probate and Property, September/October 2003
By Michelle Coleman-Johnson
Michelle Coleman-Johnson is an associate with Bourland, Wall & Wenzel, P.C., in Fort Worth, Texas.
The "family foundation" has become the latest accessory for the philanthropic wealthy family. Interest in this charitable giving vehicle has become widespread, to include families of moderate wealth, in addition to the more traditional "foundation" family, but clients rarely have prior knowledge or understanding of the private foundation rules and restrictions. In this planning process, the practitioner should help the client determine if a private foundation is a good fit for the client and his or her philanthropic goals, giving due consideration to the restrictions and excise taxes associated with this form of entity.