Many good causes need your help, now more than ever. It can be overwhelming to pick and choose the organizations to support. You could create a foundation, but that takes a lot of paperwork and management. Another option is to consider Donor Advised Funds (DAF). A DAF, a philanthropic vehicle, offers flexibility in charitable giving. This allows donors to remain involved annually in recommending where grants are disbursed, how much is given, and how often.
Donor Advised Funds
On Donor Advised Fund Day, a sector-wide giving day, the Northern New Jersey Community Foundation (NNJCF) wants to increase awareness about the value of Donor Advised Funds. There are a variety of fund types that can be established that support causes meaningful to you. A sponsoring organization – such as the NNJCF – manages Donor Advised Funds. The NNJCF vets potential grantees, manages the grantmaking process, and makes recommendations based on your charitable goals. 
Furthermore, you get a tax deduction when you open a fund. Any interest the fund generates is also tax-free. Your contribution grows and lasts a long time. Actually, foundations provide support to organizations this way year after year.
NNJCF can be your best partner and advisor if you want to help a community, support nonprofit organizations or provide scholarships – in North Jersey, anywhere in the United States, or even internationally. We remain committed to making life better for everyone who lives in North Jersey, and to making our region a better place to live, work and be. Through our various programs serving many communities, our staff know the nonprofits, schools, elected officials and other community leaders in the region. We ask the questions and get the valuable information to ensure your charitable dollars are well-spent.
NNJCF manages several Donor Advised Funds, which together provide tens of thousands of dollars every year for a wide variety of causes. These include scholarships, support for families living with cancer, causes in the Armenian-American community, and more.
Establish a Donor Advised Fund
Creating a Donor Advised Fund through NNJCF is easy. You can open a fund with NNJCF for as little as $5,000 in cash, and securities, IRA distribution or life insurance. If you do not have $5,000, we can work with you in creating a Giving Circle, where you can pool dollars with other donors to support your shared causes.
There are several types of funds we can help you create, depending on your interests:
- Donor Advised Funds or Corporate Advised Funds allow individuals or corporations to recommend specific charities as grantees. We can also help you determine your own spending policies.
- Field of Interest Funds support programs, projects, and initiatives in a specific area of interest. This could be a community or a cause. This is the best choice if you do not know which organizations you want to give money to.
- Designated Funds benefit one or more charitable institutions that the donor selects. Why create a fund, rather than just give the money to the organization? Because we can provide an extra level of oversight to ensure your dollars are well used.
- Scholarship Funds typically provide grants for tuition or room and board to college and university students. We work with donors to develop scholarship criteria and selection processes, as well as track the performance of recipients to ensure they continue to meet the terms for scholarship support.
- Unrestricted Funds help meet emerging needs or opportunities in the community. Donors place no restrictions on how their funds are used. The Foundation decides where the dollars can have the best impact.
With NNJCF, you get a smart, thoughtful collaborator who will work closely with you to achieve your goals. Let’s create a better future. Imagine what we can do together.
Contact Us
For further information about Donor Advised Funds, please contact NNJCF Associate Director Danielle De Laurentis at danielle@nnjcf.org or 201-568-5608, x1
