Donor Advised Funds (DAF)

Donor Advised Funds

The Foundation's most flexible fund type allowing donors to establish their own named grantmaking fund and recommend grants to a broad range of charities. Functions like a professionally staffed private foundation with better tax benefits, greater flexibility, fewer expenses, and without accounting and investment management burdens.

Minimum Contribution:

• $10,000 to establish a Donor Advised Fund
• $50,000 to establish an endowed advised fund (permanent)

Who Can Participate: Donors and their children can advise/recommend grants

Geographic Scope: Grants can be recommended to organizations throughout the United States

Key Benefits:

• Immediate tax deduction at time of gift
• Grants can be recommended over time and years
• Only one charitable gift receipt to track
• Quarterly statements with detailed information
• Gift can be made anonymously
• Investment and growth of assets possible for larger funds
• May include others (children, family members) as advisors
• Access to foundation staff expertise on nonprofits and community challenges
• Donors may recommend grant distributions at any time

Common Uses:

• Breaking up stock: Donate appreciated stock in single transaction; foundation sells tax-free and credits full value; recommend grants to multiple organizations
• Windfall planning: Receive inheritance or bonus, make charitable donation to offset taxes, take time to plan distributions
• Foundation payout: Family foundations can make additional distributions to meet 5% required annual payout

Contact:

• Communities of Coastal Georgia Foundation
• 777 Gloucester, Suite 100, Brunswick, GA 31520
• Phone: 912-268-4442
• Email: info@coastalgeorgiafoundation.org

How to Establish a Donor Advised Fund

1. Contact the foundation or your professional advisor
2. Initial contribution of minimum $10,000 (or $50,000 for endowed fund)
3. Foundation manages investment and administration
4. Recommend grants at any time throughout the year
5. Foundation processes all grant distributions

Required Materials

• Fund agreement documentation
• Schedule of fund fees

Resources Available

• DAF Handbook
• DAF Fund Agreement
• Schedule of Fund Fees