Endowments, trust foundations and legacies
Become a benefactor
Apart from making a donation to the Kronberg Academy Foundation or to one of its trust foundations, you can also make an endowment. An endowment is an amount of money that is paid into the foundation’s capital. It is therefore not disbursed fairly quickly, as is the case with a donation, but boosts the foundation’s potential income over the long term since a foundation’s activities depend on the interest earned on its assets. Your endowment thus brings about a long-term increase in the capital and earnings of our foundation. The purpose of an endowment is consequently to provide long-term funding for projects, while a donation provides short-term support.
An endowment must be clearly indicated as such when completing the bank transfer – otherwise, it is automatically treated as if it were a donation. Donations and endowments to Kronberg Academy can be offset against tax in Germany.
Bank details for donations and endowments
Kronberg Academy Foundation
IBAN: DE32 5125 0000 0055 4640 65
BIC: HELADEF1TSK (Taunus Sparkasse)
Set up your own trust foundation
Setting up a trust foundation is an uncomplicated way of becoming a benefactor that also allows you to determine your own foundation objective. Several different trust foundations have already been entrusted to the Kronberg Academy Foundation, which manages them entirely in keeping with the wishes of the generous benefactors. The return on their capital helps to provide many different kinds of support for artists.
A trust foundation is set up on the basis of a legal agreement between the benefactor and the trustee (Kronberg Academy Foundation). The benefactor transfers the foundation assets to the trustee, which manages them in accordance with the provisions of the foundation’s statutes and separately from its own assets. The procedure for setting up a trust foundation is relatively straightforward as there is no need to apply for approval from the authorities. In addition, no specific minimum capital is required before a trust foundation can be established. The work of the foundation benefits from the trustee’s expertise and the task of managing the foundation is carried out by the trustee’s board – which means a very low level of bureaucracy, workload and costs for the benefactor. The recognised non-profit nature of the foundation leads to additional tax concessions in Germany.
Would you be interested in setting up a trust foundation? Gabriela Denicke would be happy to give you more detailed information about establishing your own trust foundation.
Leave a legacy for music
When making a legacy as part of your will, you specify the amount and intended purpose of the selected portion of your estate. We treat your legacy as an endowment made to the foundation capital of the Kronberg Academy Foundation. The return on your legacy has long-term benefits for the work of Kronberg Academy.
The best way of leaving a legacy is to make an endowment of a specific sum of money. However, a legacy can also be property, such as a plot of land, a house or apartment or a collection. Because the Kronberg Academy Foundation is registered as a non-profit organisation, no inheritance tax is due.
Gabriela Denicke will be happy to provide you with more detailed information about how to structure your legacy.