Quick Links in this section
Overview
Compare Private Foundations with Donor Advised Funds
Types of Donor Advised Funds
Guidelines for Temporary Donor Advised Funds
Guidelines for Permanent Donor Advised Funds
Q&A about Donor Advised Funds
"I've been having fun as a Donor Advisor since 1999. The Community Foundation does a great job of doing good in every arena you can think of, from the Arts and the Environment to their Neighborhood Grants. I recommend the Community Foundation as THE place to go if you are motivated to make Monterey County a better place, OR if you're interested in saving taxes."
Thomas Hart Hawley
Estate Planning, Probate and Trust Attorney and Author of
"The Artful Dodger's Guide to Planning Your Estate"
Overview
Philanthropy is changing, and so is the language around it. "Social capital", "venture philanthropy", "giving circles" and "social return-on-investment" are the new buzzwords. An unprecedented intergenerational wealth transfer is the driving force behind this change. It is estimated that $41-136 trillion will change hands over the next few decades and go to heirs, charitable organizations, or the government in taxes.
By far the most popular vehicle for individual giving that has emerged as a result of new wealth (both inherited and as a result of the high tech boom of the 1990's) is the Donor Advised Fund. Unlike a private or family foundation, a Donor Advised Fund is easy, flexible and much less costly. Compare here.
Not all Donor Advised Funds are alike, however. The fees on a Donor Advised Fund with a commercial company, like a bank or brokerage company, go right to their bottom line. The Community Foundation is a NON-PROFIT, and fees provide services and grants that benefit local needs.
Moreover, the Community Foundation has a long history and deep connections with the local non-profit community. With its experienced, professional, and dedicated staff, the Community Foundation is a resource that can provide information, advice and personalized service to donors.
Back to top
TYPES OF DONOR ADVISED FUNDS
The Community Foundation offers two types of Donor Advised Funds: Temporary and Permanent. A Permanent Fund is invested in our investment pool, which grows over time. A Temporary Fund is held in a money market account because most or all of it is expected to be used for grants within a year or two.
The minimum amount needed to establish a Permanent Donor Advised Fund is $25,000, which can be pledged over a 2-year period. The minimum amount for a Temporary Donor Advised Fund is $10,000.
Back to top
View Guidelines for Temporary Donor Advised Funds here.
View Guidelines for Permanent Donor Advised Funds here.
Back to top
