Donor Advised Funds

A donor advised fund is a charitable giving vehicle that enables an individual, family or corporation to make an irrevocable, tax-deductible contribution of personal assets to a charity and at any time after the contribution to recommend grant distributions to qualified charitable organizations.

Donor advised funds provide a number of benefits that direct donations to a charity may not provide, including: (1) the ability to accept and process appreciated, publicly traded securities on which the donor does not have to pay capital gains tax; (2) greater investment options (depending upon the fund to which the donation is made) allowing the contribution to potentially grow before it is scheduled to be distributed to charity; (3) the ability to donate a single block of securities that can be used to benefit multiple charities; (4) creation of a legacy that funds multi-year gifts, rather than providing a one time gift; (5) generating a tax deduction when contribution is made, but delaying the grants to charity; and (6) simplicity, as compared to establishing a private foundation.