As attorneys, CPAs and financial advisors, you’ve no doubt noticed that financial publications’ coverage of donor-advised funds is increasing. This is no surprise, considering that these popular vehicles can help your clients achieve both their financial and philanthropic goals.
What many advisors don’t realize is that a donor-advised fund at the Community Foundation is not only useful as a standalone tool, but even more importantly, it can serve as the flexible foundation of a client’s overall charitable giving portfolio. Here’s how this works:
Organize annual giving
Fundamentally, a donor-advised fund offers a centralized way for a client to manage gifts of cash, appreciated stock, and other assets while maintaining flexibility in timing grant distributions to favorite charities. This flexibility is especially important for some clients as a planning tool in 2025 before the new floor and cap kick in next year on itemized charitable deductions. “Bunching”—or front-loading—multiple years of charitable contributions into a donor-advised fund this year can create meaningful tax advantages and provide a ready reserve of philanthropic capital for years to come.
Wide range of tools and resources
The donor-advised fund itself is just the beginning! Beyond enjoying convenience and tax efficiency, your clients who establish donor-advised funds at the Community Foundation can work closely with our knowledgeable team to access even more charitable giving resources and vehicles that align with your clients’ charitable goals.
Community impact
The Community Foundation’s deep understanding of local nonprofits and community priorities can help clients enhance their engagement and impact. Our team provides insights, research and connections that help your clients understand where their dollars make the most difference—turning charitable intent into meaningful outcomes.
Legacy strategies
The Community Foundation team is happy to help you integrate legacy planning strategies into clients’ charitable giving portfolios. Whether through bequests in wills and trusts, or through beneficiary designations on life insurance or retirement accounts, naming a donor-advised or other fund at the Community Foundation allows your clients’ charitable intentions to extend across future generations. The Community Foundation offers ongoing support and stewardship, ensuring clients’ charitable intent is preserved and aligned with evolving community needs over time.
The bottom line is that partnering with the Community Foundation helps your client’s donor-advised fund function not only as a tax-efficient giving vehicle, but also as the dynamic, flexible foundation of a comprehensive charitable portfolio—built to adapt through changing tax environments and community priorities.
To learn more, contact Megan Sommerfeldt at (716) 852-2857 ext. 227 or megans@cfgb.org