One of my goals after entering thedecumulation phaseis to give more to charity. And one of the best ways to give to charity is through a donor-advised fund. All my wealthy friends have set up donor-advised funds, so it was about time I do the same. The following guest post about don...
A donor-advised fund is a private charitable account created to manage and distribute donations on behalf of an organization, family, or individual.
It notes that in order to transfer funds to a charitable organization, the donor must qualify for a charitable contribution deduction. Moreover, the Tax Court corresponded with the IRS that taxpayers still have the control over the funds transferred....
With a donor-advised fund, an individual makes a charitable donation to a fund sponsor, such as a nonprofit foundation like Schwab Charitable, associated withCharles Schwab, or Fidelity Charitable, associated withFidelity Investments. The donor takes a tax deduction in the year the initial fund was...
Sarah decides to establish a donor-advised fund with a community foundation as the sponsor. She contributes a significant portion of her annual income, receiving an immediate tax deduction. Over the years, Sarah diligently advises on the distribution of grants, focusing on educational programs in un...
going directly to a charity, one of which is anonymity. When you give money to a charity, it's really hard to remain anonymous. Another advantage of a donor-advised fund is you can give the money now and get the tax deduction. And then you can wait to actually give the money to ...
CHARITABLE DEDUCTION SUSTAINED FOR STOCK CONTRIBUTION TO DONOR ADVISED FUNDVINCENT, SCOTT E.Journal of the Missouri Bar
Through a donor-advised fund, a taxpayer can take an immediate deduction for a charitable donation, with no requirement that the fund distribute any of its assets. The taxpayer enjoys a significant level of control over when and to whom the donor-advised fund eventually distributes the money, ...
“When a contribution is made to a donor-advised fund, it is given directly to a charity. So you get the full benefit of a charitable deduction as if you were giving it to a public charity,” he says. The only distinction between a donor-advised fund and other 501(c)(3) public cha...