What is a Donor-Advised Fund?
The donor-advised fund (DAF) is becoming an increasingly popular way to make a charitable gift. DAFs can provide you with immediate tax benefits. Here are two ways you can make a gift through your DAF:
- Make outright gifts during your lifetime, e.g. by recommending grants to Sage annually;
- Designate Sage to receive any remaining balance upon the termination of the fund.
You can select the option(s) that best suits your philanthropic and financial goals to support the Russell Sage College. Just contact your fund administrator to request a distribution or beneficiary form or download the appropriate form(s) from your administrator’s website.
If you include Russell Sage College in your plans, please let us know and use our legal name and federal tax ID.
Legal Name: Russell Sage College
Address: 65 1st Street, Troy, NY 12180
Federal Tax ID Number: 14-1338488
Creating a Donor-Advised Fund
Creating a donor-advised fund can provide you with immediate tax benefits while making your charitable giving easier for years to come.
How it works
DAFs are established at sponsoring administrators/providers. This could be a community foundation, a public charity with a donor-advised fund program, or an investment firm that sponsors donor-advised funds. First, check with the provider about the minimum contribution to start a fund as it ranges from $5,000 to $25,000. Then, make an initial contribution to start your fund of cash or appreciated assets such as stocks or mutual funds. You’ll get an immediate income tax deduction and usually can name your fund. You do not get an additional tax deduction for these grants.
Once established, you can recommend that your favorite public charities, such as Russell Sage College, receive grants from your fund. The grants can be relatively modest or larger for projects such as a capital campaign or a new building.
You can also suggest which charities you want to have any remaining assets in your fund at your passing. Russell Sage College is grateful for gifts that come from donor-advised funds.
If you are considering establishing a donor-advised fund we can suggest several fund sponsors for your review. You should also consult your professional advisor for their guidance.
