Give Yourself the Gift of Giving: 5 Reasons to Choose a Donor-Advised Fund This Holiday Season

As the gift-giving season approaches, picking the perfect present for someone can be challenging—and often we forget to treat ourselves too. So, how do you make the perfect choice? Consider giving yourself a Donor-Advised Fund (DAF). This flexible and tax-efficient method for supporting charitable causes offers numerous advantages, especially as the year draws to a close.

Top 5 Reasons to Choose a DAF.

1. Immediate Tax Benefits
   When you donate to a DAF, you receive an immediate tax deduction, even if the funds are distributed to charities at a later date. This is especially advantageous at year-end for those with high bonus payouts or commission-based employees looking to maximize their deductions this year and distribute to charity over multiple tax years.
2. Capital Gains Tax Savings
   Donate appreciated assets, such as stocks, directly to a DAF and avoid capital gains taxes on the growth of those assets while still claiming the full value as a deduction. This allows you to give more to your chosen causes and reduce your taxable income.
3. Cost-Effective and Accessible
   The DAF offered by the Community Foundation United Way of Volusia & Flagler Counties stands out with only a $10,000 minimum contribution amount. This lower barrier to entry makes it accessible for those who want to establish a meaningful charitable giving vehicle without the high costs or complexity of creating a private foundation.
4. Streamlined Record-Keeping
   With a DAF, our donors consolidate all of their existing charitable contributions into a single account. This simplifies tracking and documentation for tax purposes and eliminates the need to retain records for individual donations. Make one tax deductible contribution today and spread your giving out over time.
5. Potential for Growth
   Contributions to a DAF are invested with a level of risk you can select, allowing the funds to grow tax-free over time. This provides an opportunity to have an even greater impact on the causes you support.

Partnering with the Community Foundation & United Way of Volusia-Flagler Counties through a Donor-Advised Fund offers unmatched accessibility and substantial tax benefits. It provides an efficient and powerful means to support the organizations you care about while optimizing your financial advantages. With a low $10,000 minimum investment, this option becomes an attractive choice for year-end giving, making charitable contributions both impactful and financially savvy. We’re here to help. Contact one of our experts today.

Donate Here!

Contact the Team:

Sheila Pillath - Vice President of Development: spillath@uwvfc.org 

Jason Stewart - Senior Philanthropic Advisor: JStewart@uwvfc.org 

Ben Collins - Philanthropic Advisor: bcollins@uwvfc.org  

Emmanuel Kamel - Development Support Specialist: EKamel@uwvfc.org