by Scott Hunt, Director of Development and Alumnae/i
There has been a nationwide philanthropic response to support non-profit organizations through donor-advised funds (DAFs). DAFs are a tool to facilitate your philanthropic giving. As DAFs increase in popularity and impact, here is how your DAF can support The Fund for White Mountain. Many of you are familiar with DAFs, and some of you have already given to White Mountain through a DAF. The following might encourage more of you to consider it as giving as a vehicle to The White Mountain School.
We have recently learned of a challenge as a way for White Mountain donors to make a greater impact with their giving. More than $140 billion sits unused in DAFs and community foundations across the country. The DAF Challenge aims to put these charitable dollars to work. Several financial organizations and a few individuals have created a $1.125 million general fund to match grants to organizations supported by #HalfMyDAF Heroes. Others have contributed an additional $2 million focused on supporting racial justice, climate and environment, education in underserved communities, and reproductive health. The goal of the matching gift challenge is to inspire giving and transform DAFs into powerful funding opportunities.
If you participate in the #HalfMyDAF challenge, it gives the School the chance to get matching grants from $10,000 to $100,000. The more people who nominate White Mountain, the better our chances. To facilitate using your DAF gift, we have added the DAF direct button to our website.
Donor-advised funds are the fastest-growing charitable giving vehicle in the United States because they are one of the easiest and most tax-advantageous ways to give to charity. A DAF is like a charitable investment account for the sole purpose of supporting charitable organizations you care about, like White Mountain. When you contribute cash, securities, or other assets to a DAF at a public charity such as Fidelity Charitable Gift Fund, Schwab Charitable Gift Fund, J.P. Morgan Chase, or Goldman Sachs Philanthropy Fund, among many others, you are generally eligible to take an immediate tax deduction. Then those funds can be invested for tax-free growth, and you can recommend grants to virtually any IRS-qualified public charity, including White Mountain!
Here is a simple explanation of how a DAF works:
A contribution to a DAF is an irrevocable commitment to charity; the funds cannot be returned to the donor or any other individual or used for any purpose other than grantmaking to charities.
You can make a tax-deductible donation via cash, stocks, or non-publicly traded assets such as private business interests, cryptocurrency, and private company stock to be eligible for an immediate tax deduction.
With a DAF, you generally can:
- Support IRS-qualified public charities from your DAF. The public charity sponsoring your account will conduct due diligence to ensure the funds granted go to an IRS-qualified public charity and will be used for charitable purposes.
- Choose whether to recommend anonymous grants to the organization or to provide grant acknowledgment contact information with the recommendation. DAFs offer the option for anonymous granting for those who wish to recommend grants privately.
- Specify a specific use, campaign, or purpose for your grant recommendation. While you cannot fulfill legally binding pledges with a DAF, you are able to attach a special purpose to your grants, which the sponsoring organization will relay to the charity. Similarly, you may make grant recommendations “in honor of” or “in memory of” a loved one.
- With a DAF, you don’t have to keep track of every gift acknowledgment from every charity you support—just the receipts from your DAF contributions. When you’re ready to support your organization, you can simply log in to your account and recommend a grant to any IRS-qualified public charity.
- As soon as you make a donation, you are eligible for an immediate tax deduction, just as you would by donating to another public charity.
The reasons listed above are just some of the benefits of donating via a DAF. If you have questions about making a gift to White Mountain using your DAF, please contact us. We hope you will consider the #HalfMyDAF challenge when making your gift to White Mountain with the potential of increasing your impact through their matching gift challenge.
Founded in 1886 and set in the beautiful White Mountains of northern New Hampshire, The White Mountain School is a gender-inclusive, college-preparatory boarding and day school for 140 students grades 9-12/PG. Our mission is to be a school of inquiry and engagement. Grounded in an Episcopal heritage, White Mountain prepares and inspires students to lead lives of curiosity, courage, and compassion.