Now leaving ThriventFunds.com

 

You're about to visit a site that is neither owned nor operated by Thrivent Asset Management.

In the interest of protecting your information, we recommend you review the privacy policies at your destination site.

Financial Professional Site Registration

Complete this form to get full access to the entire financial professional site.

By clicking “Register”, you agree to our privacy and security policies and that you are a financial professional.

Access will be granted immediately, but the registration process may take up to 5 business days to complete.

Thank you for registering

You can now enjoy all financial professional content.

If your download does not start automatically, click here.

An error occurred

Please check back later.

Gene Walden
Senior Finance Editor

CLIENT EDUCATION

“Donor Advised Funds” mix charity, investments, and flexibility

08/11/2020
By John Doe, Author | 06/10/2020

Are you driven to put some of your assets to work to help others or support a charitable cause?

Through a vehicle known as a "donor advised fund", you can use your assets to do good. Allocate your charitable contributions to a donor advised fund where they are invested to grow, and then direct them to charities of your choosing. You’ll receive a tax benefit for your donations, based on when and how you give.

Flexibility is one of the key benefits of donor advised funds. You don’t have to decide immediately which charities you want to support. You can donate your money this year – and receive a tax benefit for your donation – then decide later which IRS-qualified charity or charities should receive your donations.

In the meantime, the assets in your donor advised fund are invested in managed investment portfolios options offered by the sponsoring organization.

For example, InFaith Community Foundation offers four fund choices – Income Portfolio, which is 100% invested in fixed income investments, the Core Growth Portfolio or Mission Growth Portfolio, which are both invested in approximately 85% equities and 15% fixed income investments, and the WomenInvest InFaith Portfolio, that is approximately 75% equities and 25% fixed income.  In most cases, you can choose to allocate your assets among one or all four portfolios.

Here are some of the other key options that are typically available through donor advised funds:

Give now. You can invest your donations in a donor advised fund anytime with cash, stock or real estate, and decide later the charities you want to support. For gifts of long-term appreciated securities or real estate, you bypass capital gains taxes on the appreciated value.

Give later. You can arrange to donate life insurance, bequests or beneficiary proceeds upon your death.

Choose your charities. You can support any IRS-qualified charity and even request a specific grant purpose. You can also create a scholarship or simply name an area of charitable interest you want to support.

Build your legacy. You have the opportunity to name successor advisors, such as family or friends, to get involved in giving decisions and continue your legacy. 

Stay informed. Monitor your donor advised fund activity through statements and online access.

Thrivent Mutual Funds is proud to collaborate with InFaith Community Foundation to help people take action on their faith, values, and life experiences by giving.  InFaith Community Foundation is a public charity that serves individuals, organizations and the community through charitable planning, donor advised funds and endowments.  Through InFaith, thousands of donors have given more than $1.5 billion in gifts to over 12,000 charities. InFaith Community Foundation is associated, but not affiliated, with Thrivent Mutual Funds, Thrivent and Thrivent’s financial professionals. Together, they provide services that support the overall mission of Thrivent. Individuals who create a donor advised fund through InFaith Community Foundation may choose from a broad range of giving options. Certain portfolios include investment in Thrivent Mutual Funds.

Learn more about Donor Advised Funds at InFaith Community Foundation.

 


Related Reading

12/22/2020

The power of pairing your 401(k) with a Roth IRA

The power of pairing your 401(k) with a Roth IRA

The power of pairing your 401(k) with a Roth IRA

By contributing to a Roth IRA in addition to your 401(k), you may be able to not only supplement your retirement savings, but also provide more flexibility in addressing your financial situation.

By contributing to a Roth IRA in addition to your 401(k), you may be able to not only supplement your retirement savings, but also provide more flexibility in addressing your financial situation.

12/22/2020

12/22/2020

If you’re self-employed, you can still benefit from a tax-deferred retirement plan

If you’re self-employed, you can still benefit from a tax-deferred retirement plan

If you’re self-employed, you can still benefit from a tax-deferred retirement plan

You don’t have to work for a big corporation to enjoy the same type of tax benefits that many corporate employees experience with their company retirement plans.

You don’t have to work for a big corporation to enjoy the same type of tax benefits that many corporate employees experience with their company retirement plans.

12/22/2020

12/22/2020

A low-cost retirement plan for small business owners

A low-cost retirement plan for small business owners

A low-cost retirement plan for small business owners

Small business owners can offer employees (and themselves) a tax-deferred retirement savings plan similar to the plans offered by larger corporations – but without incurring the high start-up and operating costs of a conventional retirement savings plan such as a 401(k).

Small business owners can offer employees (and themselves) a tax-deferred retirement savings plan similar to the plans offered by larger corporations – but without incurring the high start-up and operating costs of a conventional retirement savings plan such as a 401(k).

12/22/2020