The Nonprofit FAQ

Are there any sources for grants to individuals?

Another FAQ items (http://www.nonprofits.org/npofaq/16/56.html) discusses the hurdles that face people who want to create an organization to help families or individuals deal with the costs of disease or disaster. A fundamental point is that a gift to an individual does not result in a tax deduction for the donor. Larger public libraries will have directories that list organizations that make grants to individuals for scholarships, research and similar endeavors. In general these grants are very competitive, a formal application must be filed and the process can be lengthy. In addition to meeting the goal of fairness, these procedures are required under Internal Revenue rules in order for the work of these foundations to be tax-exempt, and the donations they receive to be tax-deductible. Many communities have funds and programs that are designed to help families and individuals facing extraordinary financial difficulties. There is no single directory or webpage that lists all of them. The Alliance of Information and Referral Services (http://www.airs.org/) has a webpage that lists many and has links to other I&R resources online. Public libraries, local United Ways, and the introductory pages of many phone books will have suggestions of where to look for such resources. There is an organization that allows people to request small one-time grants ($500 or less) to meet financial emergencies. See http://www.netwish.org/. The webpage says that a small group of successful business people have pledged a specific amount monthly to keep it going and that they don't expect to receive any tax-deduction for these gifts. ted 10/16/02 -- PB