Endowments are different from donations. Charitable organisations must use a donation directly and immediately. At the Franziskustreff, this means that your contribution specifically sets the table for the homeless and poor guests. It is used to buy food and pay operating costs. After that it is used up. In contrast, your gift as an endowment will have a lasting effect. Because it strengthens the assets of the Franziskustreff Foundation. In this way, it helps to secure the long-term provision of help for people in need.
Our account for your endowment:
Franziskustreff-Stiftung, Zustiftungen
BLZ 51090000
Wiesbadener Volksbank eG
IBAN: DE10 5109 0000 0077 0318 04
BIC: WIBADE5W
Purpose: Zustiftung. First name, surname, street, postcode
„Perseverance is the foundation of all virtues.“Honoré de Balzac (1799-1850)
Contact us
Are you interested in donating or do you have any questions?
Mr Zárate will be happy to advise you.
This is exactly where the so-called endowment comes in:
The "Zu-" is there because something has already been donated
All those who contribute to the basic capital are called contributors
Whether money is given as a donation or as an endowment is decided solely by the people who give the money.
The transfer or the informal declaration must clearly state "endowment" in legal terms.
An endowment is a contribution to the assets of an existing foundation. It makes sense to make an endowment donation if someone wants to get involved in a specific cause but finds the cost of setting up their own foundation too high. As a rule, an endowment does not confer any rights on the donor. However, if they are fully committed to the work and projects of the foundation they have chosen, they can provide targeted and effective support with little effort of their own.
In contrast to a donation, the receiving foundation does not have to utilise the donated funds promptly. This is because in the case of an endowment, assets are permanently added to the foundation assets of an existing foundation. As a result of the associated increase in the foundation's assets, the foundation generates higher income in the long term and can therefore pursue its purposes more sustainably.
Just as in the case of donations made to the foundation's assets when it is newly established (so-called initial endowment), there is an extended special tax deduction for donations to the assets of existing foundations (endowments).
Both types of donations to the assets of a charitable foundation (initial endowments and endowments) can be deducted at the request of the taxpayer in the year of the donation and in the following nine years up to a total amount of EUR 1 million (Section 10b (1a) sentence 1 EStG). This deduction is possible in addition to the usual donation deduction.
Only donations to the assets of a foundation under public law or a tax-exempt foundation under private law (within the meaning of Section 5 (1) no. 9 KStG) are eligible. This includes both foundations with legal capacity and foundations without legal capacity. Foundations in this sense do not include e.g. Stiftungs-GmbH or Stiftungs-Verein. In this respect, only the legal form is decisive, not the name of the recipient organisation.
Donations made to the foundation's assets, which are subject to the principle of conservation and must be kept separate from the foundation's other assets, are to be regarded as donations to the asset pool. For this reason, donations to the assets of a so-called "consumption foundation", i.e. a foundation which, according to its articles of association, should be able to use up all or part of its endowment for its purposes within a certain period of time, do not entitle the donor to deduct donations in accordance with Section 10b (1a) EStG.
Whether a donation is a donation to be spent in a timely manner or an endowment donation subject to the requirement to preserve the existing endowment is generally determined by the donor's will. It is therefore all the more important that the donor clearly expresses his or her wishes to the recipient organisation, either by adding the word "donation" to the transfer receipt or by means of an informal written declaration. The recipient organisation must also issue the donation receipt accordingly. The same template is to be used here as for a donation, but with the special feature that both the box "The donation was made to the assets to be preserved (asset pool)" and the box "This is not a donation to the expendable assets of a foundation" must be ticked. However, if the donor does not indicate that it is an endowment, the receiving foundation must document the amount as a donation and disburse it promptly. By way of exception, however, the receiving foundation may add donations by reason of death to the assets if the testator has not specified any use for the foundation's current expenses, donations based on an appeal for donations by the foundation if it is clear from the appeal for donations that amounts are being requested to increase the assets and donations in kind which by their nature are part of the assets.
