Is charitable giving a priority for you this holiday season? To help you meet your philanthropic goals, Commonwealth Financial Network®, our broker/dealer, recently introduced the Commonwealth Charitable Fund, a donor-advised fund supported by Renaissance Charitable Foundation, Inc., a public charity.
Making a difference
By contributing to the Commonwealth Charitable Fund, you can recommend grants to the charities of your choice, now and in the future. Throughout your life, you (or your designee) may make ongoing, nonbinding recommendations as to how, when, and where grants from the fund should be made. You may also provide instructions for future grant recommendations to be made upon your death, or appoint a successor to take over recommending fund distributions.
Unburdened by the time-consuming administrative responsibilities associated with a private foundation, you and your family can devote yourselves to exploring and expanding your charitable mission as hands-on philanthropists.
In addition, you'll have the opportunity to realize potential tax benefits. For example:
There are no federal gift tax consequences because of the charitable gift tax deduction. And, because your contributions are an irrevocable transfer to charity, they are removed from your estate for estate tax purposes.
Building a lasting legacy
Perhaps most important of all, the Commonwealth Charitable Fund is a great way to establish charitable giving as part of your family legacy. By naming your children or grandchildren as concurrent or successor grant advisors, you can encourage a sense of personal responsibility and involvement in future generations, empowering them to learn about the issues that are important to your family and to make gifts accordingly.
If you have questions about the Commonwealth Charitable Fund, other donor-advised funds, or charitable giving vehicles in general, please don't hesitate to contact our office.