Donor-Advised Funds

How a Donor Advised Fund Works

A donor-advised fund can help you achieve your charitable goals. It can be established and funded currently. Or, you can name it as a charitable beneficiary of your will, charitable trust, gift annuity, retirement plan or insurance policy.

Gifting Advice

Just as the name implies, each year you can advise as to whom, how much and when to give from the fund. You may change the charities that benefit from your fund without the expense of changing wills, trust or legal documents. With a donor-advised fund, you can name successors to carry on your charitable goals. For example, you may name your children, grandchildren or other trusted advisors to carry on your legacy. This will allow you to pass your giving values on to future generations.

Investment Advice

You may be able to make suggestions as to the investment advisor that manages the fund’s investment. This may enable your own trusted financial advisor to help you accomplish your charitable giving goals.

Private

If you choose, you can maintain anonymity. Your donor-advised fund is never subject to the public record. This means that your fund will not be solicited by charities except through your own activity.

Tax Advantages

Your donor-advised 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.

Economic and Administrative Efficiency

You will save time and money with a donor-advised fund with the Nebraska Community Foundation. Through economies of scale, your administrative costs will be minimized. Additionally, you won’t need to comply with required annual tax auditing and reporting. As a part of the NCF, these requirements will be performed for you.

How NCF Can Help You

The Nebraska Community Foundation’s knowledgeable staff is dedicated to helping you achieve your charitable gifting goal. NCF does this by offering consultation including proposals that outline all tax and financial benefits and support including assistance to your legal and financial advisors in implementing the plan that best meets your wishes.

Private Foundation Conversion

Learn more about how to convert a private foundation to a donor-advised fund with the Nebraska Community Foundation.

Donor-Advised Fund Policy & Guidelines

The purpose of this Donor-Advised Fund Policy & Guidelines (“Policy”) is to guide the Nebraska Community Foundation (“NCF”) staff and donors in complying with the law applicable to donor-advised funds (“DAFs”) and with NCF administrative policies while achieving donors’ charitable goals.  Download the policy.