Maximize your impact with a donor-advised fund (DAF)
What is a DAF?
Donor-advised funds make managing your philanthropy simple.
A DAF is an account dedicated to charitable giving — allowing flexibility and efficiency while providing you the greatest tax benefits on your contributions. Start by opening a fund with cash, securities, or other assets, and receive immediate tax benefits while allowing your charitable funds to grow tax-free! Make grants on your own or lean on the expertise of the team at the community foundation to inform your giving. With your fund, you maximize your benefits and your giving, so you can give anywhere, at your pace, while your fund fees support your local community.
Types of Funds
Invested Fund (Endowed)
Designed to make a long-term impact, an endowed fund provides an ongoing source of funding for charitable grants by preserving the principle of the fund, and allowing only a portion of the fund’s earnings, up to 5%, to be made out in grants each year. Endowed funds are often established by individuals, families, and corporations interested in long-term, sustainable charitable giving.
Invested Fund (Non-Endowed)
An invested non-endowed fund offers flexibility and simplicity, allowing donors to grow their funds without restricting their annual giving. Like an endowed fund, this fund is invested and grown tax-free, but unlike an endowed fund, there are no restrictions on annual giving, allowing donors to make grants up to the full amount of their fund. Non-endowed funds are a great option for donors interested in growing their fund without restrictions on their annual grantmaking.
Gift Fund
A gift fund is not invested or endowed. Rather, a gift fund maintains all funds in cash for grantmaking. This option allows donors to make as big of an impact as soon as they want relative to the size of their DAF while also preserving the ability to make immediate short-term distributions.
Why start a fund at Community Foundation Boulder County?
When you open a donor-advised fund with Community Foundation Boulder County, you create the opportunity to make a lasting impact in our local community and beyond. Lean on the expertise and personalized support of our dedicated staff to maximize your charitable giving.
We know Boulder County
For over three decades, Community Foundation Boulder County has worked with civic, business, and nonprofit leaders, corporate and individual donors, and community members to support Boulder County’s most pressing needs.
We’re here to support your giving
We offer personalized support and philanthropic advising so you can align your values with your giving to make the greatest impact.
We’re a local nonprofit too!
When you choose the community foundation to manage your fund, your fees support our operations and the delivery of our core programs that support the Boulder County community.
Flexible grantmaking
We offer you flexibility with your grantmaking, allowing you to support a wide range of nonprofits that fit your philanthropic values.
Opportunities to learn and Engage
We offer educational opportunities and events throughout the year that help you stay informed and connected with local issues, needs, and opportunities.
Legacy planning
We help community-minded individuals leave a legacy for generations to come. Whether through bequest, a beneficiary designation, or through a charitable remainder trust, we work with you and your advisor(s) to help ensure your legacy wishes are fulfilled.
We’re here to earn your trust
As an accredited foundation by Community Foundation National Standards, We’re committed to the highest standards of accountability and trust when working with donors and nonprofits alike.
Your giving your way
Donor-advised funds allow you to make grants to your favorite causes, both locally and beyond, at any time. As a reliable steward of investments that make a difference, we’re standing by to meet your charitable goals.
Other Funds at CFBC
At the community foundation, we believe in helping our donors reach their philanthropic goals.
That’s why we help you match your values with the best tools and resources to support you and your charitable giving. Along with donor-advised funds, we offer several other fund options to help you make an impact where it matters most to you.
Donor-Advised Funds
Opening a DAF offers you immediate tax benefits on your charitable funds while creating the option for a long-term, sustainable source of funding for your giving. Once a fund is established, a fund holder can make grants and, whether you’ve decided to invest and endow your fund, invest and not endow your fund, or keep your fund as a cash/gift fund, you have the flexibility to make grants to support your favorite organizations or causes you care deeply about.
Designated Fund
Creating a designated fund allows you to provide support to one or more nonprofits on an ongoing basis. Each year, a portion of the fund is automatically pulled and distributed in grants to the nonprofits designated by the fund.
This charitable giving option allows you to provide consistent, reliable funding to a nonprofit or set of nonprofits whose work you feel passionate about. The fund can be added to at any time and is often endowed, ensuring long-term support.
Once set up, the community foundation will manage all the details and administrative tasks, including investment management, grantmaking, and record keeping. A designated fund can support a beloved community organization for years to come.
Note that the designated nonprofit grantee cannot be changed once the fund has been established. In the event a designated nonprofit ceases to exist, Community Foundation Boulder County will redirect funds to a similar organization or cause to ensure the donor’s original charitable intent is met.
Field of Interest Fund
Creating a field of interest fund allows you to focus your giving on one specific area of interest or cause such as arts and culture, education, the environment, etc. Multiple donors can contribute to field of interest funds. Grants are distributed to organizations working within the scope of the identified interest area or cause.
Once set up, the community foundation will manage all the details, taking care of administrative tasks including investment management, grantmaking, and record keeping.
The designation of grants from a field of interest fund are determined by an advisory committee (if multiple donors have contributed to the fund) or by the donor alongside the approval of an advisory committee.
Resources
Interested in learning more about donor-advised funds? Check out the resources below or contact us at philathropicservices@commfound.org to chat with a staff member.