5 reasons you need a Giving Fund before December 31

With the year drawing to a close, charitable giving is top of mind for many. But sometimes the joy of giving can be overshadowed by impending tax deadlines, urgent appeals from charities, and the holiday rush. If that sounds familiar, a Giving Fund could help.

How do you know if one is right for you? Here are five signs you need to open a Giving Fund (donor-advised fund) before December 31:

  1. You wish you had more time to give
    With the tax deadline of Dec. 31 quickly approaching, you may feel the pressure to make significant charitable gifts before year-end. With a Giving Fund, you can make a contribution to your Fund now for tax purposes, and then recommend grants when you’ve had time to research charities and pray about your decisions.
  2. You want to maximize your tax savings this year
    If the total of your potential itemized deductions is just below the level of the standard deduction, you may be able to maximize your tax benefits by “bunching” your 2020 and 2021 charitable contributions into this year. This may allow you to enjoy an increased itemized deduction in 2020 and still take the standard deduction next year. Use a Giving Fund to corral these contributions and grant over time.
  3. You’re overwhelmed by charity appeals
    With the year-end comes a deluge of emails and appeal letters from multiple charities and you may wish you were on fewer mailing lists. With a Giving Fund, you can recommend grants anonymously and we’ll send the checks for you.
  4. Your stocks are up
    If your investments are up, you may be facing higher capital gains taxes next year. You can offset these gains with a gift of appreciated stock before year-end to your Giving Fund. We liquidate the stock for you and place the proceeds in your Fund for recommending grants to charity.
  5. You’re feeling pressure to shop
    With so much emphasis on the material aspects of Christmas in our culture, you may be looking for ways to refocus your family on giving, rather than getting. A Giving Fund can help spark a conversation with your spouse, grandchildren, or others about the causes they care about. Then, you can go online together to recommend grants and start a new generous family tradition.

If you want to start using a Giving Fund this season, it’s easy to open one in minutes. Or if you’d like to learn more, watch this video.

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