The Fund For Philanthropy is a nonprofit public charity that offers donor advised funds. Families, individuals and businesses who make gifts to create a donor advised fund receive the maximum tax deduction for their contributions.
A donor enters into an agreement with The Fund For Philanthropy. Our staff will assist you with the process. If you have additional questions please call Tony Suber at (404)825-9529.
1. To create a fund, a donor makes an irrevocable contribution to the Fund, a public charity, and takes a tax deduction in the year they make the contribution.
2. The donor chooses a name for their Fund (name can include the word “Foundation”).
3. The donor can then recommend to the Fund a preferred investment option for their account.
4. The donor can begin recommending grants to charities at anytime. The number of grants issued per year is not limited.
Starting a private foundation can involve substantial start up costs and administrative expanses, such as the yearly filling of a Form 990-PF. But one of the most important differences is that Donor Advised Funds receive more favorable tax treatment than a private foundation.
Donor Advised Funds allow donors to take a federal income tax deduction up to 50% of adjusted gross income (AGI) for cash contributions and up to 30% of AGI for appreciated securities; versus 30% of AGI for cash contributions and 20% of AGI for appreciated securities for a private foundation.
Donor Advised Funds also offer the ability to recommend grants anonymously, if desired. It is also possible to convert a foundation over to a donor advised fund to simplify on-going maintenance and record keeping.