Donor-Advised Funds

William Donell, founder and advisor of a donor-advised fund in The Trust. "I consider myself one of the lucky ones, and I'm interested in many of the City's problems and opportunities: the arts, healthcare, spiritual care, gay and lesbian rights, kids, schools, immigrants struggling to learn enough English to get a decent job, the homeless, preserving great architecture. The challenge for me has been finding a focus and taking manageable bites. The staff at The Trust have helped me refine my personal response to the City's needs. I can't give to every good cause, but I can be part of the solution in specific areas. When I established my donor-advised fund, they took a look at the areas where I'd been most involved, and helped me evaluate specific nonprofits. The red flags and green lights they’ve offered in response to my suggestions have empowered me to make the most of what I can do. In due time, a good portion of my estate will go to The Trust because I believe these people are uniquely qualified to address New York's needs."

Although community foundations were started to administer permanent charitable funds set up through wills, The Trust pioneered donor-advised funds in 1931 to make it easier for people to give back during their lifetimes.

You make grant recommendations to charities of your choice; we vet the nonprofits, write the checks, and handle the reporting. While the recommendations can't be binding (under Internal Revenue Service rules our board—and the boards of similar organizations—has the final say), we take the suggestions very seriously. Our board has established broad guidelines for suggestion approval, assuring rapid processing of each grant, which bears the name of your fund.

Donor-advised funds offer several advantages. They give you:

• The services of a professional grantmaking, financial, and investment staff of a $1.8 billion institution;
• An immediate tax deduction without having to make quick decisions about which charities you want to support;
• The maximum deduction allowed by law;
• The opportunity to build an endowment over time; and
• Modest fees.
  

Meet more of our donors »

Learn more about setting up a fund »