Donor Advised Funds and Private Foundations

a comparison

Donor Advised Fund

Private Foundation

Cash Gifts: Deduct 50% AGI

Cash Gifts: Deduct 30% AGI

Appreciated Securities: Deduct 30% AGI

Appreciated Securities: Deduct 20% AGI

Easy to Establish

Months to Establish

No Start-Up Costs

Legal Fees

Minimal Administrative Fees

Higher Administrative Fees

Staff Support

Staff at Significant Expense

Zero Excise Tax on Gains

2% Excise Tax on Gains

Zero Payout Requirement

5% Payout Requirement

Grantmaking Advice

 

Philanthropic Advisors