Compensate Directors Of Family Foundations?

It can be a thorny issue, whether to compensate the directors of a family foundation1 who are family members and, if so, how much to pay them. Certainly, it's legal to compensate such directors to the extent that payment of such compensation, as Treasury Regulations Section 53.4941(e)-1(c)(6) says, for the performance for personal services is reasonable and necessary to carry out the exempt purpose

It can be a thorny issue, whether to compensate the directors of a family foundation1 who are family members and, if so, how much to pay them. Certainly, it's legal to compensate such directors to the extent that payment of such compensation, as Treasury Regulations Section 53.4941(e)-1(c)(6) says, “for the performance for personal services is reasonable and necessary to carry out the exempt purpose of such foundation.” It all sounds simple enough. But here's the rub: Putting a dol

All access premium subscription

Your subscription will include 12 months of Trusts & Estates magazine and access to premium content on WealthManagement.com.

Hide comments

Comments

  • Allowed HTML tags: <em> <strong> <blockquote> <br> <p>

Plain text

  • No HTML tags allowed.
  • Web page addresses and e-mail addresses turn into links automatically.
  • Lines and paragraphs break automatically.
Publish