Pooled Income Fund Penn's Pooled Income Fund operates similarly to mutual investment funds.
All income earned by the fund in each quarter is paid out to the participants, in pro rata shares.
The rate of return of the pooled income fund varies from quarter to quarter, depending on the earnings of the fund. Donors who contribute marketable appreciated securities to the pooled income fund will avoid capital gains tax on the transfer. As with Penn's other life-income gifts, the income tax deduction for a gift to the Pooled Income Fund is a function of the donor's age and the fund's rate of return. The higher the income rate, the lower the deduction. Will vary slightly depending upon the month the gift is made, according to U.S. Treasury Department Regulations.