Broker Check

Can I control money I want to give away?

phi·lan·thro·py   The non-coerced activity of promoting the welfare of organizations and individuals

often expressed through specific financial donations to specific non-profit entities. 


Yes, you can make specific decisions on how to give money to a great cause.

Two Examples

DONOR ADVISED FUND

This is an account (fund) that the donor instructs (advises) on how, when or to who funds are distributed.

Yep, exactly what the name says it is. A Donor Advised Fund (DAF) has the ability to benefit both the donor and the charity(ies) it is designated to benefit.  Some of these benefits we would confirm with your tax accountant or CPA.

FOUNDATION/ENDOWMENT

These two entities, one organizational, one financial, are two sides to the same coin.  For example, a charitable foundation may establish an endowment vehicle.

An endowment is a financial vehicle typically used to fund a non-profit over the long term by allowing the donations to experience a financial return on investment.  The non-profit utilizes only the return on investment portion leaving the principle intact.

A foundation can be public or private.  The rules governing each are different. A foundation could start its own endowment for donors to contribute to.  A foundation can donate funds to other entities and/or their endowments.


A FOUNDATION DIFFERS from a DAF since it is a legal entity.  There are plusses and minuses to forming a legal entity.

A PRIVATE FOUNDATION is a charitable organization – often formed by an individual or family – that invests its assets and distributes its earnings to non-profits.

A PUBLIC FOUNDATION differs as it is funded by public funds and often actually runs a charity, such as a soup kitchen or shelter.


You have choices, let us know how we can help.

CONTACT US (Click Here)