Not too long ago there was quite a buzz generated in financial circles by two of the highest profile and wealthiest businessmen in the world. Just this past summer Bill Gates and Warren Buffet issued a challenge to the nation?s billionaires, asking them to give away at least half of their fortunes to charitable causes. The last we saw they had 38 takers, and Buffet himself had pledged to give away just about all of his assets previous to issuing this challenge. You have to respect the effort and the amount of money that is being diverted to charity through this initiative is significant indeed.
Though the mega-wealthy are in a class of their own, many people who are planning their estates are looking for a way to give back. Starting your own charitable family foundation is impractical for most people due to the cost of creation and ongoing administrative expenses, but there is a solution for the rest of us in the form of donor advised funds.
These charitable giving vehicles are housed within public charities and offered through for-profit financial services companies and community funds. When you make a donation the fund owns the assets so they are no longer a part of your estate. But as the name suggests, you as the donor can give advice concerning how your donations are invested and endowed. Through a single contribution to the fund you can help multiple charities, and this efficiency is one of the reasons why these vehicles are so popular.
There are also some useful tax advantages that go along with charitable giving through a donor advised fund. If you donate appreciated securities you can deduct their full market value but you pay no capital gains taxes. And in addition, you can make deductible year-end contributions in a fast and efficient manner and concern yourself with endowment recommendations at a later date.
Source: http://www.freenews.org.uk/2011/09/donor-advised-funds-philanthropy-for-the-rest-of-us/
911 arizona state university nsa dunkin donuts toy toy abacus
No comments:
Post a Comment
Note: Only a member of this blog may post a comment.