Top 10 Reasons to create a Donor-Advised Fund
- Receive one receipt for the IRS! With a Donor-Advised Fund, you receive one receipt from the Foundation for the contributions you make to your Fund.
- Eliminate Capital Gains Taxes on Appreciated Securities Move stock from your brokerage account to the Foundation. We sell the stock immediately and place the resulting cash in your Fund.
- Grow Your Donations Over Time All Donor-Advised Funds are added to the Foundation’s pool of assets to be invested and maximize long-term growth while minimizing volatility.
- Erase Taxes on Fund Growth As a 501(c)(3) organization, the Foundation pays no income tax, meaning that the growth in your Donor-Advised Fund is tax free, too.
- Make a Difference in Perpetuity As a donor, you may designate a member of your family or friend to direct future contributions in the event of your death and may also specify what types of charitable institutions and/or interests the Foundation should fund with your assets in the future.
- Distribute Funds Anonymously If you would like your gift to remain anonymous, the Foundation will carry out your wishes. Recipient organizations see only the Community Foundation’s name on the check.
- Maintain Flexibility in Your Charitable Giving Economic downturns force us to tighten our belts. With a Donor-Advised Fund, you make contributions when it makes sense, but you can still direct distributions even if you are not adding to the fund.
- Enjoy Advice and Assistance Most people want to give to worthy causes, but most people are not experts at determining what causes are worthy. The Foundation’s expert program staff are happy to guide, assist, and support your priorities when requested.
- Start Your Fund Easily Establishing a Donor-Advised Fund can take as little as one hour. The minimum amount to establish a Donor-Advised Fund is $25,000, a Donor-Designated or Field-of-Interest Fund is $10,000.
- Reduce Your Fees Fees paid to the Foundation all go towards a worthy cause – the local community.
