Donor Advised Funds: Donor Advised Funds (DAFs) are private foundation alternative funds that are simple to create and easy to operate. DAFs work like a charitable checking account, but instead of depositing money and writing checks, you contribute all types of assets (cash, stock, and non-cash assets), receive an income tax deduction at the time of the donation, and then recommend grants to the things you are most passionate about. DAFs can be used not only by individuals but also corporations for their philanthropic community initiatives as well as entities looking to support a specific cause. DAFs can be short-term but can also be set up as a long-term fund as an endowment to last long into the future.
Philanthropic Creativity in Action: Philanthropy is growing increasingly sophisticated. Many are going beyond one-off donations to individual organizations and are looking at the broader issues that interest them or their company and that they can have an impact on. Donor advised funds are the perfect tool to meet and adapt to your changing interests and the Community Foundation is a natural partner to help take your philanthropy to the next level.
Alternative to a Private Foundation: Donor advised funds allow you to make gifts and include other decision-makers in the process without the cost and burden of establishing a private or family foundation.
- Efficiency: We provide back-office support for a small administrative fee. Many funds share the cost of administration, allowing for economies of scale.
- Personalization: You and your family members still maintain the ability to meet, make decisions and recommend distributions from your fund to specific charities. Charities can be local or wherever you decide to make an impact.
- Ease: We can quickly establish a fund and grant recommendations can be made online, just like online banking. We take care of the rest for you.
- Your Choice: You determine the level of spending from your DAF without the burdensome compliance of private foundations. If you are interested in preserving your fund as your legacy, you also have the ability to adopt our spending rate.
- Anonymity: You can determine when you want to be recognized by an organization, or not. Grants can be customized to allow you the flexibility to make gifts without being solicited in the future.
- Investment Options: You can also choose your investment options. The Community Foundation has a variety of investment pools that your fund can be in or depending on the size, your current investment manager can continue to manage the assets.