Donor-advised funds

You open a DAF at a sponsoring organization — a community foundation (like the Gorge Community Foundation) or a national provider (Vanguard Charitable, Fidelity Charitable, Schwab Charitable, and others). You contribute cash or appreciated assets to the fund.

The contribution is irrevocable: once funded, the assets legally belong to the sponsoring organization. But you retain the right to recommend grants from the fund to any qualified non-profit, on your own timeline. In the meantime, the assets can be invested and grow tax-free.

DAFs are useful when you want to commit to a charitable giving level (often for a tax purpose) but aren’t ready to decide which non-profits to support — or want to give over multiple years from a single contribution.

They’re also useful for "bunching" deductions: contributing several years’ worth of giving in a single high-income year (when itemizing makes sense) and then granting from the fund in subsequent years.

You receive the tax deduction in the year you contribute to the DAF, not in the year the funds are granted to a non-profit. So timing matters: contribute in a high-income year for the largest benefit.

Most DAFs accept appreciated stock — combining the DAF approach with the appreciated-assets strategy can stack the tax benefits.

For Gorge-area donors interested in keeping their philanthropy regional, the Gorge Community Foundation offers donor-advised funds and is rooted in the community. National providers (Vanguard, Fidelity, Schwab) often have lower minimums and broader investment options but lack the local connection.

Whichever you choose, the process is similar: open the account online (or in person), make a contribution, then recommend grants whenever you’re ready.