Financial Tips Archive

Monthly Tip: Have You Considered a Donor-Advised Fund?
(Updated: 3/14/2016)

For those who are charitably inclined, establishing a donor-advised fund (DAF) allows you to:

  1. Make a charitable contribution to the fund and receive an immediate tax deduction.
  2. Recommend donations to qualified charities at any time while still receiving the up-front tax deduction.
  3. Assign the fund a name of your choosing.
  4. Have your contributions to the fund managed by your financial advisor and grow tax-free.
  5. All of the above.


Answer: E.

Upon establishing a DAF, a donor makes an irrevocable charitable contribution to the fund and immediately receives the maximum tax deduction that the IRS allows. The donor can then recommend charitable grants from the fund at any time. The DAF bears whatever name the donor chooses, grows tax-free, and can be managed by the donor's preferred financial advisor.

Contact us today to discuss how a DAF might help you meet your charitable goals.



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