Study Says Most Donors Aren't Aware of Alternative Giving Options
With Tax Day just around the corner, The Non-Profit Times reports on a new study that reveals most donors don't know about or take advantage of the many non-cash charitable resources available to them that can help them better support the charities they love:
"Just 36 percent of donors report being aware of Donor Advised Funds, while 37 percent know of IRA charitable distributions and 51 percent are familiar with charitable gift annuities. Nearly half (47 percent) of donors have never used a giving vehicle other than cash, despite having the means. Four out of five donors possess assets such as stocks, bonds and mutual funds, yet only 21 percent have contributed such assets to charity. Similarly, only 9 percent of donors have selected a charity as a beneficiary of a retirement or life insurance plan, despite 90 percent of donors having one."
Donors Advised Funds, often called DAFs, are a simple vehicle for taking a large charitable tax deduction all at once—with the freedom to give to causes you care about over time. All DAF donations are 100% tax deductible. Donors can contribute cash, securities, mutual funds, and other non-cash assets. In some cases, appreciated assets (especially securities) can avoid capital gains taxes entirely.
At Brooklyn Community Foundation, our DAF program comes with unmatched expertise on causes and issues across Brooklyn, plus highly personalized service from our team and the ability to pass your Fund on to future generations.
If you want to learn about how Donor Advised Funds and other non-cash alternatives can maximize your charitable giving, get in touch with me.