There are two simple strategies for charitable giving :

  1. Write a check when you are moved to help a non-profit (501©3) ; and take a tax deduction in the year of the gift

  2. Set up a Donor Advised Fund (DAF) which is a charitable giving account holding irrevocable contributions to yet to be determined charities 

 

Check with your CPA prior to the end of each tax year to determine your charitable giving limits based on your taxable income.

 

Fund the DAF throughout the year or prior to year-end and receive tax deductions in the year of the contributions to the DAF.

 

Your financial advisor invests the DAF acting as a fiduciary for the ultimate beneficiaries along with the custodian i.e. Charles Schwab.

 

Write checks from the account to 501©3 organizations over time as you identify needs you are moved to support.

 

There are other strategies for charitable giving available including charitable trusts and private family foundations, which we would be happy to discuss with you.

Remember our role is not to provide legal or tax advice, only to educate our clients on the choices available and help them select the right team of legal and tax professionals to execute their charitable giving strategy.

 

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Securities offered through Gradient Securities, LLC (Arden Hills, MN 866-991-1539).   Member FINRA/SIPC.  Investment advisory services offered through Cornerstone Wealth Advisors, Inc., a California and Texas Registered Investment Advisor. Gradient Securities, LLC and its representatives do not render tax, legal, or accounting advice.  Insurance products and services are offered through Michael Sellman, Independent Agent.  California Insurance License number 0G40881.  Cornerstone Wealth Advisors, Inc. is not affiliated with Gradient Securities, LLC. Gradient Securities, LLC and Cornerstone Wealth Advisors, Inc. are not affiliated with the Social Security Administration or any government agency. The presence of this website shall in no way be construed or interpreted as a solicitation to sell any products or services to any residents of any state other than where legally permitted. Check the background of this investment professional on FINRA's BrokerCheck ».

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