The Grand Haven Area Community Foundation and our affiliate organizations, Allendale Community Foundation and Coopersville Area Community Foundation, hold more than 700 funds. About 209 of them are donor advised funds.
Let’s talk more about what a donor advised fund is, and why you may consider starting one.
What Is a Donor Advised Fund?
A donor advised fund (DAF) allows fund holders to contribute and recommend grants to their favorite nonprofit organizations over time. Some people consider their donor advised fund to function like a “charitable checking account.”
11 Reasons to Start a Donor Advised Fund
At The Grand Haven Area Community Foundation, our donors enjoy having donor advised funds for many reasons. Here are eleven of the main ones:
- It’s Simple. It takes less than you might think to start a donor advised fund. The minimum contribution is $5,000.
- It’s a Great Way to Honor Someone Special. Some donor advised funds are started in memory of a loved one, and are a caring way that friends and family members can help make a difference in the community.
- You Can Choose Successors. Fund holders may choose successors like children, other family members, or friends to make fund decisions when they are no longer able to.
- It’s Flexible. Donor advised funds can be started with cash, stocks, bonds, mutual funds, real estate, and retirement accounts.
- You Can Add On Your Timeline. Fund holders may add to their accounts at any time.
- It Has a High ROI. The return on what is invested has a higher return than a regular checking account.
- You Say, We Do. Donors recommend grants and the Community Foundation’s staff takes care of the administrative tasks.
- It’s a Personal, Rewarding Experience. The Community Foundation’s staff provides expertise to answer your questions. Unlike big financial organizations, you will get to know the staff you work with personally.
- It’s Compliant. The Community Foundation’s staff vets each charity before a grant is made to make sure it complies with IRS rules.
- It Can Be Anonymous. Grants may be given anonymously.
- It Leaves a Legacy. Donor advised funds can turn into a charitable legacy. Once the fund holder and successors are gone, the fund can be turned into a predetermined fund that may live on and benefit your community forever.
Why Start a Donor Advised Fund with The Grand Haven Area Community Foundation, Specifically?
In our most recent survey, fund holders said they started donor advised funds with the Grand Haven Area Community Foundation for three reasons:
- It benefits the community.
- It creates a family legacy.
- It’s simple and efficient.
Many institutions offer donor advised funds, but these people chose The Grand Haven Area Community Foundation because we have an excellent reputation, and we’re committed to providing amazing hometown support to all of our donors.
If you are interested in learning more about donor advised funds, give us a call 616-842-6378 or contact us online.