Donor Advised Funds

Charitable giving accounts that allow donors to contribute assets, receive an immediate tax deduction, and recommend grants to qualified charities over time. For donors, these funds provide immediate tax benefits whether the money is donated to charity right away or allowed to grow tax-free in the fund. Donors can receive a federal income tax deduction of up to 60% for cash contributions and up to 30% for securities. Donors can request to keep their donation anonymous and provide as little or as much information as possible to the non-profit. What is a Donor-Advised Fund? | Fidelity Charitable

Once the money has been given to the organization, Donors can request “grants” to an organization of their choosing. Some foundations have minimum distribution requirements each year while others do not. Donors may receive an acknowledgement from the non-profit the money goes to but will not receive a receipt to avoid implying the gift is tax-deductible.