If you want to improve the way you practice the spiritual disciplines of the Christian life, there are many modern-day tools that can help facilitate Bible studies and prayer, like YouVersion and iDisciple.
But what about the spiritual practice of giving? What many people don’t realize is a donor-advised fund (DAF) is one of the most powerful tools available today for anyone who wants to grow in the grace of giving. A Giving Fund at NCF can help.
5 ways a Giving Fund can make you a wiser giver
- You can become more intentional – Just by opening a Giving Fund, you’ve taken a concrete step to make giving a habit. You can even automate your contributions, so they become a consistent part of your monthly budget. It’s also easy to set giving goals and track your contributions and grants. Unlike setting aside funds in a regular savings account, resources in your Giving Fund can grow tax-free over time, providing even more resources for granting in the future.
- You can be more strategic – If you’ve ever felt pressure to make a gift on the spur of the moment – for tax purposes or due to an urgent request – you know how stressful those decisions can be. But with money set aside in your Giving Fund, you can take time to prayerfully consider where, when, and how much to give and plan a more comprehensive Giving Strategy. Setting up recurring gifts to your church and favorite charities is easy, and you can even build up a balance for disaster relief or emergency appeals.
- You can give more (by giving tax-efficiently) – A Giving Fund is the primary way to make tax-efficiency part of your charitable strategy, which often results in more resources available for giving. For example, when you donate long-term appreciated assets like stocks, real estate, and business interests through your fund, you typically receive a tax deduction for the fair market value of your gift and the capital gains taxes you save from giving directly means more goes to charity.
- You can involve your family – With a Giving Fund, you have a tangible way to invite your spouse, your adult children, and even your grandchildren into the giving conversation. By sharing the grantmaking process with your family members, you can lay the foundation for future generations to carry on your legacy of generosity. You can even pre-fund their own DAFs, and offer to match their contributions. Read this giver story that shares a real-life example.
- You can become a more cheerful giver – A Giving Fund can make giving fun again and not an administrative chore. You can manage all your giving from one account on your smartphone or laptop and track when, how much, and who you’ve granted to. Imagine needing only one tax receipt at tax time! And you can even grant anonymously when the situation calls for it.