Donor-Advised Funds
New! Donor-Advised Funds from the Advancement Foundation
What is a Donor-Advised Fund?
A donor-advised fund (DAF) is a non-revocable charitable savings account, helping you easily recommend grant distributions to the causes that matter to you most. By contributing cash, securities and/or other assets to us, a 501(c)(3) non-profit, you are eligible for an immediate tax deduction. Then those funds are invested in accordance with our faith and grow tax-free until you are ready to make grant recommendations to causes you want to support. The gift that keeps on giving!
Quick Facts
- Open a fund with a $25,000 minimum, make additional contributions as desired
- Designate or recommend distributions as small as $250
- Deductibility: Immediate tax savings while allowing for long-term giving to your parish(es), Catholic schools, ministries and other non-profit organizations
- Privacy is optional by designating grants anonymously
- Our fee is 1% and reduces to as low a .6% for fund balances of more than $3 million
- Do all your giving (including your parish tithing, gifts to other ministries, etc.) and receive one tax receipt a year for your donations into your DAF
Why open a Donor-Advised Fund (DAF) with the Advancement Foundation?
- Support the charities important to you in a simple, flexible way with immediate tax benefits.
- Open a fund with as little as $25,000 and by completing an easy-to-understand agreement.
- Receive an immediate tax deduction each time you contribute to the fund.
- Your fund will grow tax free, and you may make charitable distribution recommendations whenever you choose.
- The funds you contribute are invested according to your Catholic values.
- Our fund holders may choose one of four investment models (Capital Preservation, Conservative Income, Growth and Income, Aggressive Growth).
- Proprietary screening of investments for Catholic values.
- Active proxy voting to protect human life, promote human dignity, enhance the common good, pursue economic justice and save our global common home.
- Investment strategy includes mission-aligned investments, primarily in the Diocese of Fort Worth.
- You may recommend distributions from your fund that are aligned with your faith.
- Donor advisor(s) are encouraged to designate, over the lifetime of the fund, no less than 50% in support of Catholic entities, particularly parishes, schools, and non-profit ministries.
- Distributions from the Fund may also be made to support other charitable organizations as defined in Section 501(c) of the Internal Revenue code of 1986, provided that the missions, purposes, and activities of such organizations are consistent with the teachings of the Catholic Church.
- Distributions you recommend may be in any amount from $250 up to the entire balance of your fund. You may use your DAF to recommend distributions to your parish offertory or capital campaign, the Annual Diocesan Appeal, or other causes important to you.
- Advantages over establishing a private foundation.
- Start-up of a DAF with us is immediate, as opposed to several months and significant legal and accounting expense to set up a private foundation.
- $25,000 minimum establishing tax-deductible contribution for our DAF compared to $1 million or more to establish a private foundation.
- No tax returns required.
- The administrative expense of a private foundation can range from 2.5 to 4%, while fees for a DAF with the Advancement Foundation range from .6 to 1%.
- Private foundations must grant 5% of net value annually; our DAFs have no minimum distribution requirement.
- With our DAFs, we handle all the record keeping, investment management and accounting. A private foundation can incur significant costs annually for asset management, administration of grants, tax preparation, and maintaining board minutes.
- Private foundations must file public tax returns that detail all grants, investments, names of trustees, etc. Grant distributions from a DAF with us may be made anonymously.
Start Your Fund Today
- Call Renée Underwood, CFRE, at 817-533-7242
- Download the Donor Advised Fund Agreement
Contact:
Renée Underwood
Chief Development Officer of the Advancement Foundation
817-533-7242
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