Benefits of donor-advised funds
Donor-advised funds are the fastest growing charitable vehicle in the United States. This is primarily because donors benefit from a number of benefits that aren’t available when donating directly to a charity or to a private foundation.
CONTRIBUTE ILLIQUID AND APPRECIATED ASSETS
Haven can accept a wide variety of appreciated assets at full-market value. This includes cryptocurrency, publicly traded securities, private company stock, real estate, art, and other tangible personal property.
MAXIMIZE TAX DEDUCTIONS
Donors receive an immediate tax deduction when contributing to their donor-advised fund. By donating appreciated assets directly, donors can avoid capital gains taxes which increases the value of their contribution.
REDUCE TAX BURDEN IN A WINDFALL YEAR
Donors can use their fund to reduce tax burdens in a windfall year, such as selling a business, receiving an inheritance, or earning strong returns in the markets. Donors will also receive a larger benefit by donating a large lump sum, rather than small amounts over a period of years.
GROW CONTRIBUTIONS TAX-FREE
Donors can invest the money in their fund for as long as they want until they are ready to make a grant. All of the returns earned by the investments are tax free and can be reinvested as long as the donor chooses.
INVESTMENTS ALIGNED WITH DONOR OBJECTIVES
Donors can support non-profit initiatives even before they make a single grant by choosing from a range of impact investment options that provide positive social and environmental returns, as well as the potential of financial return to preserve and grow their philanthropic capital. Haven’s investment pools offer a variety of investment options based on the donor’s philanthropic goals, preferred types of assets and risk tolerance.
CENTRALIZE AND STREAMLINE PHILANTHROPIC GIVING
With a donor-advised fund, the responsibility of administrative work is transferred to Haven. No matter how many charities a donor supports with Haven throughout the year, they will only have one tax receipt to keep track of.
ANONYMOUS GIVING
Donor-advised funds are the only charitable giving vehicle that allows donors to make completely anonymous grants. When charitable sponsors administer grants on behalf of their donors, the charity is legally distributing its own assets, which means donors can choose to remain anonymous.
GIVE ACROSS THE GLOBE
Donors can make grants to international charities and NGOs while still receiving federal tax credit. By assessing the charitable eligibility of international grants using Expenditure Responsibility and Equivalency Determination, Haven enables donors to make international giving an integral part of their giving strategy.
CREATE A GIVING LEGACY
Haven enables donors to appoint successors to the advisory privileges of the donor-advised fund upon the original donor’s death. This allows the fund to be passed down through generations and to exist in perpetuity.
DESIGN MULTI-YEAR LEGACY COMMITMENTS
Donors can use specialized grant agreements, recurring grants and anonymous grants to help reach their charitable giving goals. Contributions can be made to charities monthly, annually, or at any other interval donors prefer.