Donor-Advised Funds
What is a Donor-Advised Fund?
A Donor-Advised Fund (DAF) is like a centralized charitable savings account, giving you the flexibility to recommend how much and how often money is granted to Covenant House and other qualified charities. Donor-Advised Funds combine the most favorable tax benefits and tax deductions with the flexibility to easily support your favorite charities.
How Does It Work?
Make an irrevocable, tax-deductible donation to Covenant House’s sponsored DAF program to establish your DAF.
Advise the investment allocation of the donated assets.
Recommend grants to the charities you support.
A DAF Giving Scenario
Joe and Laura want to give back to their hometown by putting their money where it will do the most good. They establish a $25,000 donor-advised fund with a community foundation.
The couple receives a federal income tax charitable deduction for the amount of the gift. They also get the time they need to decide which charities to support.
After researching community needs with the foundation’s staff, Joe and Laura recommend grants for Covenant House (which they’ve supported for years) and a local animal shelter. The foundation presents the charities with checks from the Patricia Fund, which Joe and Laura named in honor of Laura’s mother. They name Covenant House as the beneficiary to receive the account balance after their lifetimes. Joe and Laura are delighted to start this personal legacy of giving.
Need Help?
Contact Christopher Street at 1-800-388-3888 or PlannedGiving@CovenantHouse.org to discuss using your donor-advised funds to support Covenant House and our mission.