Advised Funds

A Donor Advised fund is established with a formal provision that permits the donor to suggest (or advise) grants to be made from the fund at any time.  These recommendations are not legally binding but are taken into consideration when grants are made.  The biggest advantage for the donor is that a tax-deductible gift can be made when needed and gifts can be granted any time and overtime. Gifts from Donor Advised Funds can easily be made anonymous as well, something that is very attractive to some philanthropists. 

Donor Advised Funds have at least three characteristics: (1) a donor or person appointed or designated by the donor has, or reasonably expects to have, advisory privileges with respect to the fund’s distributions or investments, (2) the fund is separately identified by reference to contributions of the donor(s), and (3) the fund is owned and controlled by a sponsoring organization, such as a community foundation. Donor advised funds give you the ability to remain active in your fund distributions and maintain maximum flexibility. 

Benefits
There are a number of factors that make giving through the Greater Grand Island Community Foundation a more effective way to achieve your charitable goals, including:

Gift advising
• Donors recommend the organization, gift amount and timing of the gift to the board of trustees – there is no time requirement for advising gifts
• Donors have the option to change charities that benefit from the fund at any time
• Donors have a complete set of philanthropic advisors to tailor giving strategies or simply and efficiently process distributions from their fund
• Donors may set-up recurring grants
• Grants may be distributed to charitable organizations anywhere in the United States
• Recommendations are available 24-hours through the online form

Gift Privacy
• Donors may receive recognition for your grant or remain anonymous
• Donors will not be solicited by charities except through your own activity.

Family Philanthropy
• Donors may assign successors (children, family, friends, advisors) to continue grants past their lifetime.
• Donors may also engage in family giving services – participate in planning sessions to create a family vision and philanthropic plan.

Financial and Administrative Benefits
• Enjoy the benefits of a private foundation without the added expenses, administrative burden, and minimum distribution requirements
• This fund qualifies for the highest charitable income and estate tax deductions allowed by law while bypassing capital gains tax on gifts of appreciated assets to the fund
• Receive earnings above the professional service fee, back into the account, tax-free
• Save time and money. Let the Greater Grand Island Community Foundation handle the required annual tax auditing and reporting and consolidate recordkeeping by providing the paperwork needed at tax-time

Tax Bundling and Donor Advised Funds