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Better Way Foundation

MINNEAPOLIS, MN EIN: 36-3608625 Website

Better Way Foundation is a private family foundation headquartered in Minneapolis, Minnesota. The organization supports the positive development of all children through grants and investments, partnering with communities to build a future where child well-being contributes to strong families and communities.

Financial Overview

From 2024 IRS Form 990-PF · View filing

Total Assets

$68.2M

+0.0% YoY

Annual Giving

$2.7M

+24.1% YoY

Grant Count

45

+2.3% YoY

Avg Grant Size

$60K

+21.3% YoY

Under IRS private-foundation payout rules, Better Way Foundation reported a distributable amount of $3.2M for 2024 — the minimum it must pay out in qualifying distributions.

Research compiled by Grantable AI from public sources. Last updated April 2026.

Mission & Focus Areas

Better Way Foundation was established to support the positive development of all children. The foundation is rooted in Catholic social values and focuses on supporting early childhood development in disinvested communities.

Primary funding areas include:

  • Early childhood development
  • Elementary and secondary education
  • Higher education
  • Human services
  • Philanthropy and grantmaking
  • Religion and Christianity, with particular emphasis on Catholic initiatives
  • Indigenous community support and culturally grounded education

The foundation prioritizes grantmaking to Indigenous communities and organizations, with particular commitment to revitalizing Indigenous languages and creating culturally grounded education that strengthens identity and pride.

Grantmaking

The foundation made 38 grants in 2023, with total giving of $2,695,000.

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Geographic Focus

Where this funder awards grants

The foundation funds projects across multiple U.S. states including Arizona, California, Colorado, Florida, Georgia, Indiana, Massachusetts, Michigan, Minnesota, Montana, Nebraska, New Mexico, Ohio, Oklahoma, Oregon, South Dakota, Washington, and Wisconsin. The foundation also supports international locations including Bukoba and Dar es Salaam.

Grant Distribution by State

21states
+13 more states

Cities

AlbuquerqueAvonBellinghamBloomingtonBostonBrowningCantonChestnut HillClevelandCochiti PuebloDenverEdinaEdwardsFort SnellingIncline VillageInksterJemez PuebloKyleLawtonLongmont

Financial History

Multi-year comparison from IRS filings

As of Fiscal Year Ending December 2023:

  • Total Assets: $68,241,414
  • Total Revenue: $5,095,584
  • Total Expenses: $3,617,435
  • Total Liabilities: $2,250,000
  • Investment Income and Dividends: $450,176

The foundation maintains nearly 40% of assets in values-aligned impact investments.

Revenue
Expenses
Qualifying Distributions
Net Investment Income
$0$3M$6M$9M$13M20202021202220232024
Metric202420232022
Total Assets$68,241,965$68,241,414$63,372,543
Revenue$1,364,999$5,095,584$-1,855,368
Expenses$3,004,642$3,617,435$2,839,926
Qualifying Distributions$3,464,464$4,233,665$2,639,493
Net Investment Income$1,324,380$944,548$4,095,857
Distributable Amount$3,219,359$3,281,017$3,174,451

Giving Over Time

Total grant dollars and number of grants per year

$0$674K$1M$2M$3M61 grants202041 grants202143 grants202244 grants202345 grants2024

Grant Insights

How this funder distributes its grants

Top Recipients

Top 10 recipients in 2024

Mashpee Wampanoag Tribe$200KUniversity of Notre Dame$185KLower Sioux Indian Commu…$160KHearts Gathered$150KOceti Sakowin Community …$150KThunder Valley Community…$120KAmani Girls Home$100KComanche Language and Cu…$100KKeres Children's Learnin…$100KMama's Hope Organization…$100K

Grant Size Distribution

223 grants across all recorded years

144<$50K23$50–100K56$100–250K$250–500K$500K–1M$1–5M$5M+

Giving History

Grant recipients and amounts by year

Among its reported 2024 grants, the largest include Mashpee Wampanoag Tribe ($200,000), University of Notre Dame ($185,000), Lower Sioux Indian Community ($160,000).

RecipientPurposeAmount
Aim Higher Foundation St Paul, MNGeneral Operations$5,000
Amani Girls Home Transition Grant - AGH$100,000
Brazelton Touchpoints Center Boston, MAIndigenous Early Learning Collaborative$15,000
Catholic Climate Covenant Washington DC, DCGeneral Operations$5,000
Chief Seattle Club Seattle, WAGeneral Operations$5,000
Comanche Language and Cultural Preservation Committee Lawton, OKBuilding the Capacity of CLCPC$100,000
De La Salle Blackfeet School Browning, MTLittle Flower Academy Initiative$50,000
Denver Indian Center Denver, COHonoring Fatherhood Project$5,000
Farm to Family Fund Bloomington, INGeneral Operations$5,000
Hearts Gathered Omak, WABuilding for the Future$150,000

Leadership & Key People

Leadership team and compensation from IRS filings

  • President/Chair: Karen Rauenhorst
  • Vice President: Nicholas Banovetz (highest compensated staff member at $182,634 annually)
  • Board of Directors: Includes family and community representation, with members including Sarah Rauenhorst, Andreas Hipple, and Nat Robinson

The foundation was founded by Gerald and Henrietta Rauenhorst, who built a legacy of civic leadership, business impact, and philanthropy.

Compensation Overview

From 2024 IRS filing

Nicholas BanovetzVice President$203KKristen GrubbTax Officer$13K

From 2024 filing

NameTitleHoursCompensation
Nicholas BanovetzVice President40$202,965
Kristen GrubbTax Officer6$13,333
Karen RauenhorstChair/President1
Judy Rauenhorst DoerrChair-elect1
Janine GeskeVice Chair/Secretary1
Stephanie RussellTreasurer1
Anita FinedayDirector1
Cary BuzzelliDirector1
Gia RauenhorstDirector1
Shamsia RamadhanDirector1
Tarajean Yazzie-MintzDirector1

Frequently Asked Questions

What does Better Way Foundation fund?

Better Way Foundation was established to support the positive development of all children. The foundation is rooted in Catholic social values and focuses on supporting early childhood development in disinvested communities. Primary funding areas include: • Early childhood development • Elementary and secondary education • Higher education • Human services • Philanthropy and grantmaking • Religion and Christianity, with particular emphasis on Catholic initiatives • Indigenous community support a…

How do I apply for a grant from Better Way Foundation?

**Grant Amounts:** Typical awards range from $5,000 to $200,000. **Recent Grants (2023):** • University of Notre Dame: $183,000 (American Indian Catholic Schools Network Support 2020-2024) • Hearts Gathered: $150,000 (Building for the Future) • Montessori American Indian Childcare Center: $100,000 (Continuity, Growth & Vision) The foundation made 38 grants in 2023, with total giving of $2,695,000. **Partnership Approach:** The foundation emphasizes 9-year partnerships with grantees to help adva…

Where does Better Way Foundation make grants?

The foundation funds projects across multiple U.S. states including Arizona, California, Colorado, Florida, Georgia, Indiana, Massachusetts, Michigan, Minnesota, Montana, Nebraska, New Mexico, Ohio, Oklahoma, Oregon, South Dakota, Washington, and Wisconsin. The foundation also supports international locations including Bukoba and Dar es Salaam.

What size grants does Better Way Foundation award?

In 2024, Better Way Foundation awarded 45 grants totaling $2.7M — an average of about $60K per grant, based on its IRS Form 990 filings.

How much is Better Way Foundation required to give away each year?

Private foundations must generally distribute about 5% of their assets annually. For 2024, Better Way Foundation reported a distributable amount of $3.2M on its IRS Form 990-PF — the minimum it must pay out in qualifying distributions.

What is Better Way Foundation's EIN?

Better Way Foundation's EIN (Employer Identification Number) is 36-3608625. IRS Form 990 filing data is available on this page for 2020–2024.

Explore Open Grants

Browse active grant opportunities in Better Way Foundation's focus areas in our free grants database

Related Funders

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Data last updated June 2026. Sourced from IRS Form 990-PF filings. Research dossier generated April 2026.

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