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In the News: Planting Seeds of Trust — The Power of Unrestricted Giving

January 4, 2026

This article originally appeared in the Jan. 4, 2026 Estate Planning Guide published by the Palm Beach Daily News.

Mary Katherine Morales: Vice President for Philanthropic Services

Philanthropy, at its best, is more than a transaction. It is an act of faith. Faith in the mission of an organization, in the wisdom of its leaders, and in the community’s ability to address its greatest challenges. At the heart of this philosophy is a growing movement called trust-based philanthropy.

What Is Trust-Based Philanthropy?

Trust-based philanthropy emphasizes unrestricted giving, providing resources without strings attached, so nonprofits can decide how best to use them. Unlike restricted funding, which ties donations to specific programs or projects, unrestricted gifts empower organizations to meet pressing needs, adapt quickly to changing circumstances, and invest in long-term innovation.

According to research from the Center for Effective Philanthropy (CEP), nonprofit leaders overwhelmingly cite unrestricted, multiyear funding as the most critical support they can receive. It allows them to plan beyond immediate demands, stabilize operations, and invest in their teams. Yet, CEP also notes that the majority of philanthropic giving still comes in the form of restricted dollars highlighting a gap between what nonprofits need and what they often receive.

Why It Matters
Unrestricted support is sustaining support. It provides the confidence nonprofits need to take risks, test new ideas, and respond to unforeseen crises — from hurricanes to public health emergencies to rapidly shifting community needs.

For example, unrestricted funds might allow a nonprofit to make a key hire who strengthens its leadership capacity, or to retain long-serving staff whose institutional knowledge is irreplaceable. They can also jumpstart a critical campaign to expand services or elevate community awareness, initiatives that often cannot wait for lengthy grant cycles or earmarked funding. These operational decisions are vital to an organization’s health, yet they are often the hardest to fund with restricted dollars.

Consider the example of MacKenzie Scott, who has become the most visible champion of trust-based philanthropy in recent years. Since 2020, she has given away more than $17 billion in unrestricted gifts to thousands of nonprofits, ranging from historically Black colleges to local community organizations. Her approach has been transformative. Organizations that had long struggled with limited resources suddenly had the freedom to expand services, deepen impact, and, in many cases, completely reimagine their futures.

Scott’s philanthropy demonstrates that unrestricted giving is not only about money. It is an act of acknowledgment, a statement that an organization is trustworthy, effective, and worthy of investment.

From Transactional to Transformational

For estate planning advisors and their clients, conversations about philanthropy often focus on maximizing tax benefits, selecting the right charitable vehicle and organizing the investments strategies. We are also suggesting advisors become more intentional about aligning client values with community needs.

This is where trust-based philanthropy offers a unique opportunity. When advisors encourage clients to include unrestricted gifts in their estate plans, they help move philanthropy from the transactional (a donation tied to a single project) to the transformational: a gift that sustains an organization and the causes it serves for generations.

Unrestricted legacy gifts carry particular power because they provide lasting flexibility. Future challenges are unpredictable whether they be climate-related, economic, or social. By giving without restrictions, donors ensure that their generosity remains relevant, responsive, and resilient in the face of change.

Planting Seeds for the Future

So how can advisors and donors begin these conversations?

Start with purpose: Encourage clients to reflect on what matters most to them — education, housing, health, the arts — and identify organizations they trust to lead in these areas.
Emphasize sustainability: Explain that unrestricted gifts help nonprofits weather uncertainty, attract additional funding, and remain adaptive in meeting evolving needs.
Highlight impact: Share research from CEP and real-world examples like Scott’s giving to illustrate how unrestricted gifts multiply impact far beyond their dollar value.
Reframe legacy: Position unrestricted estate gifts as a way to ensure not just a donation, but a living legacy that shapes community progress long after the donor is gone.

At the Community Foundation for Palm Beach and Martin Counties, we see this impact firsthand. Unrestricted funds entrusted to us allow our team to strategically respond to urgent challenges, from hunger to housing, while also supporting visionary opportunities for long-term progress. These gifts remind us that philanthropy is not just about solving today’s problems but planting seeds for tomorrow’s solutions.

A Gift of Trust

Ultimately, trust-based philanthropy is about partnership. It is about donors and advisors recognizing that when they empower organizations with the freedom to lead, they create ripple effects that transform entire communities.

Unrestricted giving is a simple but profound act. It says: We believe in you. We trust your judgment. We stand with you in building a stronger, more resilient future.

And when estate planning advisors help clients embrace this approach, they do more than guide financial legacies — they help shape legacies of trust, innovation, and lasting impact.

Mary Katherine Morales serves as Vice President for Philanthropic Services at the Community Foundation for Palm Beach and Martin Counties, where she helps donors and advisors design meaningful giving strategies that create lasting impact across generations.

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