Donor Advised FundsSheldon Art Gallery

With a donor advised fund, it’s easy to make the most of your charitable donations. This popular Lincoln Community Foundation fund is a great way to simplify your charitable giving. The full value of this donor advised fund is expendable and readily available for distributions to the nonprofit organizations you care most about.

And a donor advised fund also serves as an excellent record keeping and tax planning tool. For many people, this type of account functions as a family foundation.

View our donor advised fund brochure

Tax Benefits

A donor advised fund lets you control the timing of tax deductions because you take the deduction during the year you place funds in the account. Contributions to your account may be made with either cash or non-cash assets. With a donor advised fund, you decide the timing of your gifts. If you prefer, grants can be directed over a period of many years. And additional contributions can be added to your account at any time. You may opt to avoid capital gains by donating appreciated assets, such as stock and real estate, to your account. Our knowledgeable staff can provide you with information and help with these types of transactions.

Record keeping also is greatly simplified. You can access your fund balance and detail through our website at any time. In addition, you’ll receive an annual statement of your account balance and all necessary paperwork for tax preparation. At the end of the year, all your charitable giving is listed in one report. By doing so, you’ll avoid the hassle of looking for all of those individual charitable receipts.

Opening Your Account

You can open an account with a contribution in any amount.

Donor advised fund assets typically are invested in money market funds with no professional fees charged to you. Money market returns are retained by the Foundation. An annual gift from your donor advised fund to the Lincoln Community Foundation is encouraged to continue the vitality of the Foundation throughout the years. Additional investment options are available if your donor advised fund balance exceeds $10,000. Let us provide more information if you are interested in investments other than money market. If you select an investment pool, the account is then subject to the annual professional fees specified for all invested funds.

If you would like to begin the process of opening an account online, click here.

Making Grants from Your Donor Advised Fund

You recommend donor advised fund grants, in minimum amounts of $100 or more, to the charities and nonprofit organizations you select. You can distribute funds from your account any time by recommending your grants through this website or via a hard copy form.

Nonprofit organizations may be local, regional or national as long as they qualify as a 501(c)(3) public charitable organization. Examples may include:

  • Church gifts
  • Donations to the arts
  • Health and human service contributions
  • Educational institution support

Before processing your recommended grant, the Foundation will provide due diligence so you are assured the nonprofit tax status is in place. Once confirmed, the grant is distributed.

Certain restrictions apply to donor advised funds. For example, you cannot direct a grant that is used to satisfy a pre-existing personal pledge or results in an exchange of goods, services or personal benefit. Prohibited benefits include tickets or tables to fund raising events, memberships, preferred parking or seating and the purchase of charitable items at auctions.

If you already have a donor advised fund at the Lincoln Community Foundation, you can login to this site to view your account balance, make gifts to your fund, or recommend grants to nonprofit organizations. 

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