The One Big Beautiful Bill Act was signed into law by President Trump on July 4, 2025, after the House of Representatives approved the Senate’s changes to H.R. 1, which passed the House by a narrow margin in May.

The OBBBA, with nearly 900 pages of provisions, reshapes policy across major sectors of the U.S. economy. Included in the OBBBA are several provisions that impact philanthropy. Three major takeaways are of particular importance as the community foundation helps donors, fund holders, and nonprofits–as well as attorneys, CPAs, and financial advisors–navigate charitable planning opportunities over the months and years ahead.

(Notably, the OBBBA omits several provisions that appeared in previous versions of the legislation, such as a proposed increase to the net investment income tax on private foundations.)

Insight #1: Standard deduction goes higher

What’s in the OBBBA?
The new law makes permanent the standard deduction increases under the Tax Cuts and Jobs Act of 2017 (TCJA), increasing the standard deduction for 2025 to $15,750 for single filers and $31,500 to taxpayers who are married and filing jointly. The new law also expands the “bonus” deduction for taxpayers 65 and older through 2028.

What’s more, under the new law, individuals who itemize may take charitable deductions only to the extent the charitable deductions exceed 0.5% of adjusted gross income. Furthermore, taxpayers in the top bracket can only claim a 35 percent tax deduction for charitable gifts instead of the full 37 percent that would otherwise apply to their income tax rate. Note also that the final bill extended the 60% of adjusted gross income contribution limitation for cash gifts made to certain qualifying charities.

What does this mean for charitable giving?
With even fewer taxpayers eligible to itemize, and deductions capped for high-income earners, we’re likely to see a continuation of the chilling effect on charitable giving that occurred in the wake of the TCJA.

What can you do?
If you regularly support charities, it’s important to continue to do so whether or not you’re benefiting from a tax deduction. Our community needs you, now more than ever. If you’re a nonprofit, or if you’re an attorney, CPA, or financial advisor who works with charitable clients, remember that people do not give to charity solely to secure a tax deduction. Keep in mind that many other factors motivate charitable giving, and philanthropy is an important priority for many families. (This article in the Stanford Social Innovation Review has stood the test of time.)

Insight #2: Deduction for non-itemizers

What’s in the OBBA?
The new law includes a provision, effective after 2025, allowing non-itemizers to take a charitable deduction of $1,000 for single filers and $2,000 for taxpayers who are married and filing jointly. As has been the case in the past, gifts to donor-advised funds are not eligible. Unlike a previous (but smaller) similar provision, though, this law is not set to sunset.

What does this mean for charitable giving?
After the TCJA went into effect, households that itemize deductions dropped to under 10%. Parallel to this trend, the number of U.S. adults who give to charity in any given year has dropped over the last 20 years from nearly two-thirds to less than half, according to some studies. Against this backdrop, the OBBBA’s deduction for non-itemizers has the potential to re-motivate charitable giving among a significant number of households.

What can you do?
For everyone, now is the time to take a serious look at your charitable giving plans to support the causes you care about over the years ahead, especially if you are early in your career and not yet itemizing deductions. If you’ve already established a fund or you’re working with the community foundation in another way, please reach out to learn how we can help you make the most of the new tax laws, and even get your children and grandchildren involved. If you’re a nonprofit, now is the time to attract and engage brand new donors. And if you’re an attorney, CPA, or financial advisor, make sure you talk about charitable giving with your clients who don’t itemize; a $1000 or $2000 deduction could be just the motivation they need to begin a journey of philanthropy.

Insight#3: No sunsetting estate tax exemption

What’s in the OBBA?
For affluent taxpayers updating financial and estate plans, and for the attorneys, CPAs, and wealth managers advising them, the last couple of years have been a roller coaster because of the looming possibility that the TCJA’s increase to the estate tax exemption would sunset at the end of 2025. Finally, there is clarity: Under the OBBBA, the sunset will not happen. The new law makes permanent the increase in the unified credit and generation-skipping transfer tax exemption threshold. The 2025 exemption is $13.99 million for single filers and $27.98 million married filing jointly. In 2026, these numbers increase to $15 million and $30 million respectively.

What does this mean for charitable giving?
Purely estate tax-based incentives to give to charity continue to apply only to the ultra-wealthy, likely resulting in a continuation of the taxpayer behavior triggered by the TCJA. In other words, most people will give to charity during their lifetimes and in their estates for reasons other than a tax deduction.

What can you do?
There is no guarantee that the estate tax exemption will stay high forever. As families work with their tax and estate planning advisors, many are viewing the next two years as an important window to plan ahead. The upshot of the new law is that high net-worth taxpayers now have more time to thoughtfully consider estate planning strategies, including charitable giving. For nonprofit organizations, this means continuing to focus on long-term planned giving strategies is wise.

The team at the community foundation is honored to serve as a resource and sounding board as you build your charitable plans and pursue your philanthropic objectives for making a difference in the community. This newsletter is provided for informational purposes only. It is not intended as legal, accounting, or financial planning advice. Please consult your tax or legal advisor to learn how this information might apply to your own situation.

The Hillsboro Community Foundation, Hillsboro Booster Club, and Hillsboro Ford are teaming up to bring the Ford Drive 4 UR Community event to life—an exciting day of community spirit, generosity, and horsepower!

📅 Mark your calendars: Saturday, September 13, from 10:00 AM to 2:00 PM
📍 Location: Hillsboro Ford, 202 S Main St, Hillsboro, KS
🌭 Food: Free Hotdogs, chips, and snow cones will be provided

For every test drive taken during the event, Ford Motor Company will donate $30 to benefit the Hillsboro Community Foundation and Hillsboro Booster Club—with a goal of raising up to $6,000 in just one day!

This year’s event is extra special thanks to the collaboration with the Hillsboro Booster Club, whose energy and commitment to local school activity programs will help drive participation and community engagement.

Whether you’re a long-time supporter or just looking for a fun way to give back, this is your chance to make a difference—just by getting behind the wheel. No pressure to buy, just a simple test drive and a few minutes of your time can help fund vital programs and initiatives that strengthen Hillsboro.

Come out, bring a friend, and help us drive change—one mile at a time.

“Philanthropist” is a big word that often conjures up images of the ultra-wealthy making big donations to charities, especially when people like Bill Gates have been in the headlines lately. But the definition is much broader than that. Merriam-Webster defines “philanthropist” as “one who makes an active effort to promote human welfare.”

Anyone can be a philanthropist. That’s certainly the spirit behind the community foundation’s mission to improve quality of life in our region.

People get started in philanthropy in many ways. Here are just a few:

—Personal experience with a charity, such as a receiving social services, mentoring, or health care

—Volunteering for a charity, such as packing backpacks for school kids, sorting clothing at a shelter, or serving meals at a community kitchen

—Attending community events

—Donating canned goods for a food drive

—Purchasing products that support a cause or school fundraiser

—Serving in a governance or leadership role, such as on a fundraising committee or a charity’s board of directors

From there, many people take the next step to get even more involved by providing financial support, including:

—Making a donation online to support disaster relief

—Rounding up at check out

—Responding to online or direct mail fundraisers with a credit card donation or check

—Donating to a giving circle or other fund at the community foundation

Along your journey, the community foundation team is here for you as a sounding board and a resource. Many people decide to establish a fund at the community foundation after several years of informal giving. A donor-advised fund in particular can be useful to organize giving to multiple charities and streamline tax reporting.

For inspiration, consider the recently-released TIME100 Philanthropy 2025 which highlights a diverse array of individuals making a difference—from billionaires like Warren Buffett and MacKenzie Scott to community leaders, activists, and innovators who leverage their unique skills, platforms, and resources to drive change. This broad representation demonstrates that impactful giving is not limited to those with vast fortunes; anyone can contribute meaningfully, whether through money, time, expertise, or advocacy.

Indeed, many on the list are recognized for aligning their philanthropic efforts with personal passions or areas where they can make a unique impact, such as Dolly Parton’s focus on literacy, José Andrés’ humanitarian food relief, and Billie Jean King’s advocacy for women in sports. What’s more, the rise of collective giving, strategic philanthropy, and new collaborative funding models make it easier for people to pool resources and maximize impact.

Please reach out anytime, wherever you are along your philanthropic journey. The community foundation is here to help everyone make a difference at every level of wealth and background.

On April 10th, the Hillsboro Community Foundation (HCF) announced its Philanthropist of the Year and Volunteer of the Year award recipients during the Central Kansas Community Foundation’s Spring Soiree at Sun Wray Ranch in Newton. These awards honor individuals recognized for their dedication and significant contributions to the community.

Philanthropists of the Year:
The Hillsboro Community Foundation has named its five founding members as the 2025 Philanthropists of the Year. The recipients are:

– Brad Bartel
– Mike Kleiber
– Kirby Fadenrecht
– Steve Garrett
– Delores Dalke (posthumously)

This award recognizes their vital role in establishing the foundation. Celebrating its 20th anniversary in 2024, HCF owes its success to the vision and dedication of these individuals who saw the need for a local foundation to shape Hillsboro’s future. As the late Delores Dalke recalled of their beginnings, “We saw that it needed to be done, so some of us just started meeting.”

Pictured at the award announcement (L to R): Keegan LeFevre (CKCF Vice-Chair), 2025 Philanthropists of the Year recipients Brad Bartel, Mike Kleiber, Kirby Fadenrecht, Steve Garrett, Matt Dalke (accepting for Delores Dalke), Daniel Moss (HCF Chair), and Chad Hughbanks (HCF Associate Director)

Volunteer of the Year:
The Hillsboro Community Foundation is honored to announce the recipient of the 2025 Volunteer of the Year Award:

– Kelly Groening

Kelly has been a dedicated and impactful member of the Hillsboro Community Foundation board since 2022, serving as treasurer for the majority of that time. In 2024, Kelly showcased HCF’s work by authoring a weekly “Did You Know?” for the Hillsboro Free Press, highlighting 52 distinct ways HCF has enriched Hillsboro over our 20-year history. He actively volunteers his time at HCF events. Most notably, Kelly’s tireless efforts and consistent engagement with donors were instrumental in the resounding success of HCF’s scholarship campaign in September.

Pictured at the award announcement (L to R): Keegan LeFevre (CKCF Vice-Chair), 2025 Volunteer of the Year recipient Kelly Groening

Your favorite charities are grateful for your support over the years. Whether you make your gifts outright or support charities using a donor-advised or other type of fund at the community foundation, every gift makes a difference in the quality of life in our community. 

You may even care about your favorite charities so much that you strive to send over a donation every month throughout the year. In some cases, this works well for the charity, especially if its budget is particularly lean month-to-month or if monthly recurring donations are a priority for the charity’s public relations goals or other strategic reasons. It’s worth knowing, however, that in some situations, consolidating your gifts into a single annual donation is actually better for everyone, including the charity.

Here’s why:

Although recurring donations offer predictable cash flow for organizations, the processing fees and administrative burdens can disproportionately affect charities when donations are fragmented. By giving one substantial annual contribution to each of your favorite charities—whether personally or through your donor-advised fund at the community foundation—you can maximize impact while reducing operational costs for the charities.

Indeed, you might not realize the degree to which processing fees can erode small donations. Every transaction carries fixed costs, of course, regardless of size. A check, for example, can cost charities more than $3.50 to process by the time you add up bank fees, processor charges, and staff time. Even supposedly “streamlined” digital donations via credit cards and digital wallets incur fees that sometimes can add up to more than 4% of the donation amount. 

As an example, a single $100 annual gift via check might cost a charity $3.61, but four $25 quarterly donations via check could result in more than $14 in processing fees—consuming more than 14% of the donated amount! 

The direct costs associated with each check are just part of the expense. Nonprofits spend valuable resources reconciling accounts and managing donor records for each transaction. A single annual contribution can help reduce these often hidden costs, allowing charities to focus on mission-driven work rather than processing paperwork. This efficiency gain can be particularly crucial for small charities, which often operate with lean teams and tight budgets.

If you’re interested in shifting from monthly to annual giving and you’ve not yet established a donor-advised fund, you might consider doing so. A single contribution to your donor-advised fund each year allows you to claim an immediate tax deduction, and then in turn process an annual grant to each of the charities you’d like to support. This approach can help eliminate processing costs. 

For example, if you typically give a total of $1,200 each year to your place of worship and you started providing that support in a single annual transaction, such as through your donor-advised fund, instead of writing twelve $100 checks, you could save your place of worship nearly $50 in processing costs. Plus, you’ll personally benefit from simplified record-keeping with one annual receipt for the gift to your donor-advised fund rather than tracking multiple transactions. 

Whether you’re supporting local social service agencies, arts organizations, alma maters, or places of worship, consolidated giving ensures that more dollars flow directly to services rather than getting eaten up by processes and fees. What a terrific example of financial stewardship to honor both your own generosity as well as your favorite charities’ operational realities. Please reach out to the community foundation today to learn more about how annual consolidated giving might fit into your philanthropy plan.

As you consider your 2025 giving priorities, you’ll no doubt recall that writing a check to favorite charities is not the only way to support the causes you love. But sometimes it seems easiest to reach for the checkbook because it’s overwhelming to think about all the options.

You might be experiencing what’s known as the “paradox of choice,” a phenomenon where an abundance of options actually decreases your satisfaction and diminishes your decision-making ability. Too many choices can cause decision fatigue, anxiety, and regret over potentially missed opportunities.

We understand! The team at the community foundation is here for you. We’ll help you evaluate potential assets that would make great gifts to your donor-advised or other type of fund at the community foundation, including:

–Gifts of publicly-traded stock, allowing you to potentially avoid capital gains tax

–Giving shares of closely-held business interests to your fund as part of a long-term business succession plan

–Gifts of real estate, including farmland or commercial property, allowing you to potentially avoid capital gains tax and reduce the value of your taxable estate if future estate taxes are a concern

–Beneficiary designations on retirement plans, and even “Qualified Charitable Distributions” from your IRA to a designated or field-of-interest fund if you are over the age of 70 ½

–Naming your fund at the community foundation as the beneficiary of a life insurance policy, or even transferring a whole life policy and making annual tax-deductible contributions to the community foundation to cover the premium

–Gifts of oil and gas interests, cryptocurrency, and collectibles are also possibilities for adding to your fund at the community foundation

The bottom line here is that our team can help you work through the possibilities. We’ll make sure that the daunting range of options doesn’t prevent you from making the best decisions to achieve both your financial planning and charitable giving goals.

A new year is in full swing, but you’ve still got plenty of time to consider your charitable impact and how you’d like to make a difference in 2025. A great way to do that is to reflect on the difference you’ve already made through the years.

For starters, think about how the many causes you’ve supported have resulted in tangible, positive improvements in the quality of life for so many people in our region. Indeed, many people are drawn to charitable giving and decide to establish a fund at the community foundation because of personal experiences with charities during a time of need. For example, perhaps a loved one benefited from groundbreaking medical research funded by charitable donations. Or maybe you or a family member overcame personal challenges with the help of nonprofit counseling services, or your business might have thrived thanks to a nonprofit-supported arts district or mentorship program. Nonprofit hospice care may have provided comfort and support during a difficult time with a family member. Even a cherished pet may have come into your life through a nonprofit animal rescue. What’s more, many people find that their happiness increases through acts of giving. When you know you’re helping someone, it makes you feel good!

The team at the community foundation is here to help you shape your charitable giving plan for 2025 and beyond. We’d welcome a conversation to review key components of your philanthropy and help you make the biggest impact possible. For example, we can review:

–Opportunities to accomplish your charitable giving goals this year through gifts of appreciated stock

–Opportunities to incorporate gifts to your fund in your estate plan and create a lasting  charitable legacy

–Examples of how you can join forces with other fund holders to support larger initiatives

–Examples of donors who are not only pursuing their own charitable priorities, but are also supporting the community foundation’s work to improve quality of life in our region for generations to come

–Reviewing historical grants to charities from your donor-advised fund and examples of the impact of those grants, which in turn can help inform future grant making to the causes you love

–Ways your grants and the charities you support are helping achieve positive community change in priorities identified as critical by the community foundation

If you’d like to discuss your giving strategies or explore new ways to maximize your impact, please don’t hesitate to reach out. We’re here to help you achieve your philanthropic goals and create lasting change in our community.

The Hillsboro Community Foundation is dedicated to enriching the lives of Hillsboro residents through a variety of initiatives, including a robust scholarship program. These scholarships aim to support local students in their pursuit of higher education and vocational training.

Diverse Scholarship Opportunities

The Hillsboro Community Foundation manages several scholarship funds, each with its own unique criteria and focus. This diversity ensures that students from various backgrounds and academic goals have the opportunity to receive financial assistance. Some of the scholarships offered include:

• Gehring Family Tech Scholarship: designed to support graduates of Marion County High Schools who are pursuing technical education.
• Hillsboro Trojan Family Memorial Scholarship: recognizes students who demonstrate financial need, active participation in school activities, and involvement in the community.
• C.M. Sextro Memorial Math Scholarship: designed to support students who are interested in studying mathematics at a four-year college or university.

Eligibility and Application Process

The eligibility criteria for each scholarship vary, but generally include factors such as academic achievement, financial need, and community involvement. The application process typically involves submitting an online application form, along with supporting documents such as transcripts, letters of recommendation, and personal essays.  

Impact and Benefits

The scholarships provided by the Hillsboro Community Foundation have a significant impact on the lives of the recipients. They help alleviate the financial burden of higher education, making it more accessible for deserving students. Moreover, these scholarships serve as a recognition of students’ hard work and potential, motivating them to excel in their academic pursuits.

How to Support

The Hillsboro Community Foundation relies on the generosity of individuals and organizations to sustain its scholarship program. By donating to the Foundation, you can directly contribute to the educational aspirations of Hillsboro residents and make a lasting impact on the community.

The Hillsboro Community Foundation’s scholarship program is a testament to its commitment to fostering educational opportunities and empowering individuals to achieve their full potential. By providing financial assistance and encouragement, the Foundation is helping to shape a brighter future for Hillsboro and its residents.

By: Central Kansas Community Foundation

Your family may be among those who are taking their charitable giving budgets more seriously this year, given uncertainty surrounding interest rates, potential new legislation, and possible stock market swings. 

At the same time, you also know that our community’s needs continue to rise. As 2025 gets into full swing, your favorite charities will be relying on additional resources and support from philanthropic sources. 

Against this backdrop, a budget has benefits!

Here are a few steps to consider as you build a 2025 budget for charitable donations that can help you continue to support your favorite causes and remain fiscally cautious.

–Review all your charitable donations from the last three years and compile totals for each organization. This can be an easy exercise if you use a donor-advised fund at the community foundation because the data can typically be pulled directly from the community foundation’s donor portal or requested from the community foundation’s team.

–Carefully review the list of organizations you’ve supported over the last three years. Regardless of your donation levels, which charities are the most important to you? Are you serving on the board of directors of any of these organizations? Do you regularly volunteer at any of them? Is there a personal connection?

–Are there any organizations on your list that you supported primarily because the organization was raising money for a capital campaign, or because you were helping out a friend who is involved with that organization? If you anticipate household budget constraints in 2025, these may be organizations to possibly put on hold and then revisit supporting again in future years.

–Add up your total giving over the last three years and then divide it by three to get your average. Is that number doable this year? If not, reduce it to a level that fits within your financial situation to arrive at your tentative 2025 giving budget. Or, if you expect your income and assets to increase this year, consider taking your charitable giving budget up a notch. And always remember that there are tax advantages to giving highly-appreciated publicly-traded stock to your fund at the community foundation. 

–Consider whether to keep certain organizations at historic levels of giving, such as those you’re personally involved with. Or on the flip side, you may decide to temporarily reduce your level of giving to organizations for which you are providing other types of support, including volunteering or board service.

–Review your list to see if there are any organizations you’ve supported that you’d like to learn more about. The team at the community foundation is extremely knowledgeable about charities in our region and would be happy to provide information on how a particular organization spends its money and how it measures impact.

–Finally, do the best you can to set targets for the amount of support you’d like to provide to each organization—and perhaps even set targets for the timing of your gifts. You can change these targets at any time, of course. The point here is that the planning and budgeting process is a great way to create more intentionality around your giving. Intentional giving is not only more rewarding for you, but it is also likely to increase your level of engagement with the recipient charities and enhance your understanding of how dollars are being deployed to meet the mission. This, in turn, helps your favorite organizations get better at carrying out their programs and serving those who rely on their work. 

We look forward to working with you throughout the year! 

By: Central Kansas Community Foundation

If you’ve not yet involved your children or grandchildren in your charitable giving, this may be the year to consider it! Children of all ages can benefit from learning even just a little bit about philanthropy and how charities improve the quality of life for everyone. Indeed, many parents and grandparents believe that some level of community involvement is crucial for young family members’ personal growth and future contributions to a more compassionate society. 

The team at the community foundation is always happy to help you explore best practices for helping shape the young people in your life into caring, responsible adults and inspire your extended family to get more involved.

Increasing a family’s role in charitable giving often leads to broader questions about estate planning, such as: 

–How to structure legacies to favorite charities so that heirs can stay involved in your priorities across generations

–How to ensure that children and grandchildren will be financially secure but still motivated to pursue independent personal and professional growth

–How to foster and support the self-directed charitable passions of children and grandchildren

The team at the community foundation is happy to work alongside your tax and estate planning advisors to address questions like this. We understand that you may be concerned that leaving millions of dollars, or even hundreds of thousands, to your children could backfire and hinder your kids’ ability and motivation to achieve financial independence. You might even be among the growing number of baby boomers who are considering pushing out distribution dates of inheritances and gifts.  

In addition to concerns about fostering entitlement and dependency, many parents and grandparents are concerned that their children will miss out on the satisfaction of knowing they built wealth on their own. These parents believe that the challenges and struggles along the way will ultimately enrich their children’s lives with intangible benefits that are far greater than the obvious benefits that come with gifts or an inheritance of significant financial resources.

If you find yourself feeling this way, please reach out to the community foundation. Every day, our team works with families who are in this exact situation. We’ll help you evaluate strategies such as:

–Establishing philanthropic components of an estate plan so that children receive only the amount that can pass to them free of estate tax, with the rest passing to a charity, such as a donor-advised fund at the community foundation.

–Setting up a fund at the community foundation to allow you to support favorite causes and charities during your lifetime; if the fund is a donor-advised fund, you can provide that your children step in as successor advisors following your death.

–As successor advisors to the donor-advised fund, your children can work with the community foundation to recommend grants to favorite charities, support interest areas you’ve pre-selected, or both. 

Many people are attracted to this type of structure because not only could it avoid estate tax, but it also allows their children to stay involved with all of the family’s wealth, work together and keep sibling bonds strong, and get involved in the community. 

Please reach out to the community foundation team anytime. We look forward to exploring strategies to help you meet your financial and tax goals, as well as honor your wishes for your children to live happy and productive lives.