01 · Definition
What is a donor advised fund?
A donor advised fund is a charitable giving account you open at a sponsoring 501(c)(3) like United Charitable. What sets it apart is the timing: your gift is complete the moment you contribute, but the grants go out whenever you are ready.
You recommend which charities to support and when. We hold, invest, and administer the fund in between, so it is always ready the day you find a cause worth backing.
02 · Step by step
How a donor advised fund works, step by step.
Contribute
Add cash, securities, or other assets to your fund.
Take the tax benefit
You may be eligible for a deduction in the year you contribute. Tax treatment depends on your situation, so talk with your tax advisor.
Let it grow
If your fund is invested, any earnings stay in the account, increasing what you can recommend as grants.
Recommend grants
Choose the charities you want to support, on your own timeline. We verify each grantee and screen for compliance before the gift goes out.
03 · What you can contribute
What you can contribute.
You can fund your account with cash, publicly traded securities, or other assets such as real estate. Giving appreciated assets, like stock that has grown in value, can be a tax-efficient way to support the causes you care about, depending on your circumstances. Every donor’s situation is different, so it is worth a conversation with your tax advisor before you give.
04 · Comparison
How is a donor advised fund different from a private foundation?
A private foundation means staffing, legal fees, and annual filings of your own. A donor advised fund gives you comparable reach without that overhead.
Your fund is an account within United Charitable’s existing 501(c)(3), not a separate foundation. You recommend the grants on your own timeline; we carry the administration and compliance. That single distinction is what keeps it simple.
05 · Why United Charitable
Why open your fund with United Charitable.
We have built our reputation on doing the unglamorous parts well.
01
Personalized service from a dedicated Philanthropic Services Advisor who knows your fund.
02
Nationwide giving, with grants to qualified charities across the United States.
03
International giving, so you can support causes around the world.
04
Work with your own financial professional, who can continue to manage the assets in your fund.
Held to a higher standard
Independently rated for transparency and financial health, with our finances audited and published every year.
501(c)(3) · EIN 20-428608206 · FAQ
Frequently asked questions.
Each time you contribute $250 or more to your DAF you will receive an annual letter confirming your donation. If your donation is less than $250, you may use your cancelled check or bank statement as proof of your donation. Although we ask organizations that receive grants from your DAF to acknowledge your gift, it is not a tax receipt. You will receive your tax deduction from United Charitable at the time you contribute to your DAF – not when you recommend grants from the DAF to beneficiary charities.
The IRS requires that your charitable contribution to your DAF at United Charitable must be irrevocable and unconditional for you to receive the associated tax benefits. Any assets contributed to the DAF belong, irrevocably, to United Charitable and you have relinquished all rights, title, and interest in them. However, your role as Donor Advisor to those funds does allow you to recommend how the funds are invested and distributed.
You may recommend any number of grants from your DAF during the year. The minimum for each grant recommendation is $100 and you must have enough funds in your account to honor the recommendation at the time it is submitted. If you choose to recommend grants using the DAF Grant Recommendation Form, then you must submit a separate form for each grant that you are recommending. United Charitable will contact you if your recommendation does not meet the minimum amount, if there are insufficient funds in your account, or if United Charitable has any other questions or concerns regarding your recommendation. Please note that we ask you to allow 7-10 business days to process eligible requests. (More time may be required if we must liquidate non-cash assets such as investments to fulfill the grant recommendation.)
You may recommend grants to any qualified 501(c)(3) tax-exempt organization, or qualified religious institution, in good standing with the IRS. Distributions can also be made to pre-approved international charities and qualified domestic organizations that have applied for, but have not yet received their tax-exempt ruling, that meet due diligence requirements, and are approved by United Charitable for distributions on an agreement and reporting basis. Through an approved DAF scholarship program, grant awards may be made directly to the college or university where the recipient attends.