IF you have an unusually high income year,
AND that income involves highly appreciated stock,
AND you will owe sizeable taxes due to capital gains,
THEN a donor advised fund at the Community Foundation of Grundy County is an option for offsetting taxes owed while supporting your favorite charities and causes
Donor Advised Funds:
We Do the Work – You Get the Credit
What is a Donor Advised Fund?
A Donor Advised Fund (DAF) is a charitable fund, advised by you and administered by the Community Foundation of Grundy County (CFGC). As advisor, you recommend grants to the not-for-profit causes you care about. We handle the investments and all the paperwork: tax reporting, receipts for your tax-deductible gifts, confirming the organization’s not-for-profit status, and preparing the grant checks. Donor Advised Funds are available for individuals, couples, families, and corporations.
What can I donate?
Contributions of cash, securities, or marketable real estate are the most popular, but other methods can be accepted upon review. Contributions made now can qualify for tax deductions immediately with distributions can be made later. Just remember that all contributions to your fund are irrevocable.
Who can I give to?
Gifts can be to local or national charitable organizations. The CFGC Board of Directors must approve your recommendations, however we seek to honor your requests unless legally or practically impossible.
Who chooses the fund’s advisors?
You determine who will advise the fund and make grant recommendations – many donors bring the whole family into the discussions. You can also choose the asset mix for your fund – aggressive, moderate, conservative, or low-risk. We mail quarterly reports to you showing contributions, grants, and investment performance for the quarter.
How does a Donor Advised Fund differ from a private foundation?
A Donor Advised Fund is less expensive to establish and maintain than a private foundation. Donor Advised Funds are not subject to excise tax, do not have a minimum annual payout requirement, and do not need to file an annual tax return. In addition, you avoid any potential self-dealing penalties that may occur with a private foundation.
What are the costs?
The foundation support charge on funds stewarded at the Community Foundation of Grundy County is currently 2% annually. We pay fees to the investment firms who manage our funds and the remaining percentage stays in-house to support CFGC’s programs around early childhood care & education, workforce development, land use & protection, people in need, and growth & its impact on our systems.
Can I get public credit for gifts?
Absolutely. Unless you request anonymity, the Community Foundation of Grundy County will include your fund and its grants in our marketing and annual report. We do the work. You get the credit.
Who do I contact?
Call or e-mail Julie Buck, Executive Director, at 815-941-0852 or firstname.lastname@example.org. Our address is 520 W. Illinois Avenue, Morris, IL 60450, and our website is https://www.cfgrundycounty.com
Please click the link to download a printable flyer: DAF flyer unusually high income year