Many people who care deeply about our community choose to use a donor-advised fund to organize their giving. It is a simple and meaningful way to support causes you care about over time, stay connected to local needs, and give with intention.
For some donors, a donor-advised fund also plays a helpful role in year-end planning. As tax laws shift and personal financial needs change, a fund can offer flexibility to support both your charitable goals and your financial strategy.
Here are a few practical ways local donors use a donor-advised fund:
Consider bunching charitable gifts
Some donors choose to make a larger charitable contribution in one year, then recommend grants from their fund over the next several years. This can be useful for donors who itemize deductions and want to align charitable giving with tax planning. A donor-advised fund makes this easy by allowing you to contribute when it is right for you, and then support nonprofits on your own timeline.
Keep your giving organized
A donor-advised fund can serve as a central place to carry out your charitable plans. You can make contributions to the fund and then recommend grants to the nonprofits you care about throughout the year. Many donors appreciate the simplicity of keeping their giving records in one place and having a clear picture of their annual charitable activity.
Support a range of charitable interests
Alongside a donor-advised fund, some donors also choose to support the community through designated funds or field-of-interest funds. A designated fund supports a specific organization long-term, while a field-of-interest fund supports an area of need, guided by the foundation’s knowledge of local priorities. This can be a thoughtful way to balance personal giving with community-wide support.
Plan for lasting generosity
A donor-advised fund can also be part of your long-term charitable plan. Some donors include their fund in their will or name it as a beneficiary of a retirement account. This helps ensure that your commitment to the community continues in the future. For many families, a fund also becomes a way to involve children or grandchildren in conversations about giving and values.
If you are thinking about establishing a donor-advised fund or exploring ways to make the most of your current fund, we are here to help. Our team can talk through options, help match your giving to community needs, and support your vision for strengthening our region.
This information is general in nature and not financial or tax advice. Please consult your advisor for guidance specific to your situation.