Tuesday, December 10, 2013
The hottest way to give to charity is now the donor-advised fund. Contributions, the number of accounts, and the average account size are all growing.
One reason why donors recently flocked to these funds is that they were concerned about proposed changes to put limits on charitable deductions and elected to “pre-give” and qualify for the known deduction rather than risk the unknown.
The main selling point of donor-advised funds is that you get to contribute to the fund and claim a tax deduction for that year while recommending grants out to favorite charities at your leisure.
See Ashlea Ebeling, The Hottest Way to Give to Charity, Forbes, Nov. 12, 2013.