Donor Advised Funds
A donor advised fund is essentially a “charitable checking account” which allows you to avoid paying capital gains tax on assets transferred in, take an income tax deduction for the fair market value of those assets and then send charitable gifts to nonprofits at whatever time is right for you. A donor advised fund has the advantage of being incredibly simple and allows you to easily fund your philanthropy with assets you may not have considered in the past. In addition to stock or cash, you can deposit partial or whole interests in real estate, privately held businesses, and other non-publicly traded assets into a donor advised fund.
Donor Advised Fund Advantages
Ensemble Capital makes it easy to fund a donor advised fund with almost any asset. Many people avoid funding their philanthropy with non-publicly traded assets because of the perceived complexity. However, with expert advice the process can be handled smoothly and be completed quickly. Because you can easily make gifts of partial interests in the asset of your choice, you can control the dollar value of your gift and contribute the amount that makes the most sense for you. In some cases, donor advised funds may offer larger tax deductions than private foundations to families who make very large gifts in relation to their annual income. Before opening any charitable account, Ensemble Capital will review your personal financial situation and advise on the pros and cons of each charitable vehicle under consideration. We are committed to helping you choose the vehicle which best fits your unique financial and philanthropic situation.
A donor advised fund gives you the option to recommend grants to any public charity. Making gifts from a donor advised fund is extremely easy. You simply log on to our website, name the nonprofit of your choice, and select a dollar amount to give. All of the check writing and administration is handled on your behalf. By reducing the after tax cost of giving to charity and by streamlining the giving process, a donor advised fund can help maximize your enjoyment of philanthropy. By utilizing a donor advised fund, you can ensure that you are using your most highly appreciated assets to fund your philanthropy. Assets in a donor advised fund grow free of taxation, building your giving capacity.
Donor Advised Fund Services
We offer comprehensive services for donor advised funds: