ESA TurnAround Fund (TAF)
Each year the ESA Foundation has questions about how the ESAF “Turnaround Fund” works. Here are a few guidelines and helpful hints about how the Turn-around funds can be applied for and help to get you through the process.
As you know, our members support many different organizations in addition to the ESA Foundation. Many years ago, the ESA Foundation Board of Directors came up with a way members could support both the ESA Foundation and other charitable organizations at the same time! The solution was the “Turnaround Fund” (TAF) which, in its simplest form, means that someone or some entity wants to donate to "XYZ" Charity. That person or entity writes a check to the ESA Foundation (our own charitable organization), and we deposit the check. We then “turnaround” and write a check to the other designated charity of choice in the exact same amount, checks can be sent directly to the charitable organization or to the chapter for presentation. ESA Foundation and its members are credited with the donation and the funds end up in the organization for which they were intended in the first place! A Win-Win for everyone! Of course, as with any program, there are rules!
Many years ago, our good friends at the Internal Revenue Service asked us to tighten up a bit when it came to whom we were writing TAF checks (i.e., we can only write them to other “charitable” organizations). The IRS defines charitable as those entities that it has granted a 501(c) 3 status, plus educational organizations such as government-run schools. (A special reminder on schools, TAF checks cannot be written to any school for the benefit of a specific person.) Those requesting TAF checks must provide ESA Headquarters staff with verification of the payee(s) 501(c) 3 charitable organization status. Remember, all we need to do is verify the charitable status of your payee and there are at least two avenues that are totally acceptable. One is to look up your request on the Internet at www.guidestar.com. If your TAF payee is “charitable” it will undoubtedly be listed on this website. You’ll need to know the organization’s exact name. For example, “March of Dimes” is actually “March of Dimes Foundation,” and “Goodwill” is really “Goodwill Industries International, Inc.” If you find your payee on the Guidestar website, please put the exact name of the charity and its EIN on your contribution form. This will make the process of verification very simple for us. If your payee is not listed on Guidestar, chances are it isn’t charitable and you will need to contact them to obtain a copy of their 501(c) 3 status, as issued by the IRS. Another sure method is to ask the potential payee for a copy of their IRS-generated “determination letter” verifying their 501(c) 3 status.
As you know, our members support many different organizations in addition to the ESA Foundation. Many years ago, the ESA Foundation Board of Directors came up with a way members could support both the ESA Foundation and other charitable organizations at the same time! The solution was the “Turnaround Fund” (TAF) which, in its simplest form, means that someone or some entity wants to donate to "XYZ" Charity. That person or entity writes a check to the ESA Foundation (our own charitable organization), and we deposit the check. We then “turnaround” and write a check to the other designated charity of choice in the exact same amount, checks can be sent directly to the charitable organization or to the chapter for presentation. ESA Foundation and its members are credited with the donation and the funds end up in the organization for which they were intended in the first place! A Win-Win for everyone! Of course, as with any program, there are rules!
Many years ago, our good friends at the Internal Revenue Service asked us to tighten up a bit when it came to whom we were writing TAF checks (i.e., we can only write them to other “charitable” organizations). The IRS defines charitable as those entities that it has granted a 501(c) 3 status, plus educational organizations such as government-run schools. (A special reminder on schools, TAF checks cannot be written to any school for the benefit of a specific person.) Those requesting TAF checks must provide ESA Headquarters staff with verification of the payee(s) 501(c) 3 charitable organization status. Remember, all we need to do is verify the charitable status of your payee and there are at least two avenues that are totally acceptable. One is to look up your request on the Internet at www.guidestar.com. If your TAF payee is “charitable” it will undoubtedly be listed on this website. You’ll need to know the organization’s exact name. For example, “March of Dimes” is actually “March of Dimes Foundation,” and “Goodwill” is really “Goodwill Industries International, Inc.” If you find your payee on the Guidestar website, please put the exact name of the charity and its EIN on your contribution form. This will make the process of verification very simple for us. If your payee is not listed on Guidestar, chances are it isn’t charitable and you will need to contact them to obtain a copy of their 501(c) 3 status, as issued by the IRS. Another sure method is to ask the potential payee for a copy of their IRS-generated “determination letter” verifying their 501(c) 3 status.
Turn Around Fund process
Always review and take a few extra minutes when filling out your contribution form to verify the charitable status of your TAF payee’s request. It will save everyone a lot of time. We simply can’t write a check to an entity that we can’t verify is charitable. Of course, once you’ve sent Headquarters the verification of charitable status you’ll never need to do it again. We’ll record it in our database for future use. Here are some simple rules:
Always review and take a few extra minutes when filling out your contribution form to verify the charitable status of your TAF payee’s request. It will save everyone a lot of time. We simply can’t write a check to an entity that we can’t verify is charitable. Of course, once you’ve sent Headquarters the verification of charitable status you’ll never need to do it again. We’ll record it in our database for future use. Here are some simple rules:
- Checks sent to the Turn Around Funds (TAF) must be made payable to the “ESA Foundation.”
- TAFs must be a minimum of $25.
- TAF checks may only be issued to other IRS designated 501(c) 3 charitable organizations. The recipient entity’s 501(c) 3 IRS-generated determination letter must accompany the initial request. This letter will include the entity’s EIN (employer identification number), which is also a requirement.
- TAF checks not cashed within 120 days of the date of issue will be considered a donation to the ESA Foundation General Fund.
- TAF checks issued directly to an individual.
- TAF checks written to a school for the direct benefit of any individual. TAF checks written to any other “ESA Entity” (ESA Foundation is the only 501(c) 3 charitable organization within the ESA Family).
- TAF checks written to the EPSILON SIGMA ALPHA
- TAF checks written to State/ Region Love or Care Funds.
.You can use the forms below to send in money to the Foundation/Turnaround Fund. Please see them below. They are fillable.