DONOR ADVISED FUNDS

You can create a Donor Advised Fund (DAF) using a variety of sources including check, credit card, stock transfer, and liquidation of other assets and then over time, you can distribute (aka grant or gift) those funds to multiple qualified organizations at your convenience. A good analogy is to think of your DAF as your “charitable giving checkbook.” You can also choose to spend a portion of your fund and endow a portion to sustain your philanthropic goals in permanence. You can choose to make your children successor advisors or leave the remainder to any organization, including Shalom Austin. 

The Shalom Austin Jewish Foundation serves as a center for Jewish philanthropy by partnering with donors & community organizations to fulfill their philanthropic goals and to secure the Jewish community now and in perpetuity. Through planned giving and endowment development, the Jewish Foundation makes a lasting impact in the name of the Jewish community, at home in Austin and around the world. The Jewish Foundation was established in 2014 and at the end of 2023 had assets valued at over $16M. 

The Jewish Foundation funds are administered in partnership with the Austin Community Foundation (ACF). The funds are held and managed by ACF, representing more than 50 years of established success in fostering philanthropy, ensuring your investments flourish and make a meaningful difference in the programs and traditions you value most, now and forever. ACF stewards more than $500 million in assets in approximately 1,300 charitable funds.

No. You can select any non-profit organization that reflects your values and charitable interests. 

Grants can only be awarded to non-profit, charitable organizations, governmental entities (e.g. University of Texas), or a religious institution. Jewish Foundation funds are prohibited from lobbying and political activities. Grants may be made to any nonprofit in the United States and, with some additional administration, to international organizations. 

Yes. You can name your children as advisors for part or all of your funds. The Jewish Foundation encourages this opportunity for a family dialogue about the kind of legacy you want to leave and how your children can help shape it. Shalom Austin professionals can help you explore the options for intergenerational legacy planning, to find the best solution for you and your family. 

Donors select from several investment options, ranging from long-term active to mid-term passive management. Any earnings from your investment stay in the fund, allowing for more money to be granted to the organizations you choose to support. The funds are managed by ACF’s highly experienced investment counsel firm and overseen by a committee of seasoned investment and business professionals drawn from ACF’s Board of Directors and the larger business community.  The Jewish Foundation Committee monitors fund performance regularly. There is also an option to “not” have your funds invested. Please refer to the Investment Options sheet for additional details. 

Absolutely. If a donor wishes to remain anonymous, the Jewish Foundation and ACF will not share your information with any organization. As administrators of the fund, select ACF and Shalom Austin professionals to see a record of your donations. 

To create a Donor Advised Fund, a minimum of $5,000 is required. The minimum recommended balance is $3,500. 

Yes. You may contribute stock, mutual fund shares, and, in many cases, privately held stock, real estate or other tangible property. ACF will sell the asset based on their policies. 

You do not need to be a resident of Austin to have funds with the Jewish Foundation.

We strongly recommend that you consult with your own professional advisors regarding your planned giving, especially as it relates to tax deduction rules (and itemization). If you are using an asset other than cash to create or contribute to your donor advised fund, we are happy to work with you and your advisor to facilitate the transfer of assets. 

Contributions to a DAF are irrevocable gifts. All money in the fund must ultimately be held for or disbursed to qualified public charities. If you make grant requests equaling the entire balance of the DAF, once the balance is $0, if you don’t replenish or add more funds to it, the fund will close. 

If your JCC membership entitles you to a material benefit (one that is more than incidental) – like health club privileges or other goods or services – it would be unlawful for that membership to be paid from a DAF, and ACF will have to deny the request.  Similarly, the fund cannot pay for a fundraising event for your favorite charity’s annual gala if a meal or other more than incidental benefit is conferred. 

This is the exception to the membership rule. Because no physical goods or services are exchanged for your dues, they can be paid out of a DAF.

In addition to the check or electronic payment, a cover letter will be sent to the organization notifying them that the donation came from your Jewish Foundation fund and providing your name and address. If you choose to remain anonymous, the letter will state that the donor wishes to remain anonymous.  More often than not, the organization receiving a grant from your fund will send you a thank you note acknowledging their receipt of the gift, but you do not need to save these letters for tax purposes. The only documentation that pertains to your taxes is when you add to your fund (when you establish it and if you replenish it).