Succession Planning for Your Donor-Advised Fund

If you are among the many Americans who leverage a donor-advised fund to streamline your charitable giving, thank you for your generosity. 

Have you wondered what will happen if there is money left in your donor-advised fund at the end of your lifetime? Where will that money go? Who will decide how the money is used?

Unless you ensure your wishes are in place, your hard-earned funds may transfer to the control of the sponsoring organization of your account (such as Fidelity, Schwab or a community foundation) to fund their grant making priorities. 

Act now to make sure your money continues to make the difference you want to make. Contact your sponsoring DAF organization to explore succession planning options that might include: 

• Selecting successor Donor Advisors (such as adult children or other loved ones) to continue making grants in your honor, or to choose their own organizations to support during their lifetimes.
• Establishing that whatever is remaining in your DAF be distributed in full to one or more charities of your choice, such as the Christian Brothers of the Midwest.
• Setting up an endowed giving program for your fund which will provide recurring yearly grants for perpetuity to the charities of your choice.

Consider which option will leave the legacy that matters most to you. Generally, you simply need to add an amendment to your DAF agreement, and your DAF sponsor organization can provide the language. 

You worked hard to be able to give back. Spending a little time now ensures that your funds will continue to make the impact you want, on your terms and to the charities that matter most to you, including the Christian Brothers of the Midwest. 

We are here to help! To talk through ideas, reach out to Anthony C. Chimera M.B.A, Director of Development, at 630.323.3725 ext. 211 or at achimera@cbmidwest.org.