The Benefits of Donor-Advised Funds

Did you know that donations to Donor-advised funds, or DAFs, at the Greater Grand Island Community Foundation receive the same tax benefit as if you donated to any other qualified charitable organization? The money in the DAF can then be sent to any charity of the donors’ choosing.

Advantages of DAF:

Strategic giving: Finding a charity that best meets your philanthropic goals can be challenging. Giving to a donor-advised fund can allow you to receive a charitable tax deduction while allowing you more time to explore and decide on your best charitable partners.

Converting complex assets: If you have an asset that is difficult to give outright to a charity, we can help you use that asset to fund a donor-advised fund that could then be used for charitable purposes.

Easy to use: You can access our funds via the fund-holder portal and request disbursements from your DAF at any time. You can also set up a DAF distribution as a percentage or amount as a recurring payment to your charities of choice.

DAF giving strategies:

Beneficiary Designation: You can choose charities that benefit from some or all of the value of an existing DAF in your estate plan.

A current DAF strategy is to 'bunch' annual charitable deductions by making a gift exceeding the standard deduction to a DAF in one year; then recommending grants over ensuing years and simply taking the standard deduction

Investment Gains: Your DAF will be invested, allowing donor-advised funds to grow, possibly creating additional funding for your philanthropic endeavors.

Please contact us to learn more about Donor-Advised Funds and how they can maximize your tax benefits.