Planned Charitable Giving
Charitable giving can bring personal satisfaction and can also play an important role in your estate plan.
If you’re planning to donate money to charity, then consider implementing a tax-smart charitable giving strategy that could help you give more to support the causes you care about while increasing your tax savings.
You could donate appreciated securities rather than cash, start a foundation, or create a donor advised fund. Donors who plan to give more than $100,000 may want to consider a charitable lead trust (CLT).
Azzad’s financial advisors can help you choose a strategy that’s right for you.
Charitable lead trust
A charitable lead trust (CLT) is a special kind of trust that allows you to give money to charity while also giving you the opportunity to reduce income, estate, or gift taxes, or even transfer assets in a tax-efficient way.
When you fund the trust, a percentage you determine will donated to a charity each year. At the end of the trust term, the balance returns to you or your family. You can learn more and see a detailed hypothetical example on our CLT page.
Foundations
With more than $600 billion in assets in the United States, foundations are among the world’s leading institutional investors. As such, most tend to be invested for the long term. Sadly, the values that drive the mission and goals of foundations may be completely disconnected from the way their assets are managed.
We can help your foundation leverage its assets more fully for its core philanthropic purpose, while managing risk and creating lasting value. If you desire to incorporate your values into your endowment’s investment management, then consider our Ethical Wrap Program for your foundation.
Donor-advised fund – an affordable alternative
A donor-advised fund can achieve many of the goals of private foundations without the legal, administrative and accounting costs. As a public charity, the program may also provide higher charitable contribution deduction limits. Your donor-advised fund also allows you to name multiple advisers and contributors so you can promote charitable giving in your family or business.
Get Started
You can open a donor advised fund account with as little as $5,000. Call us at 703-207-7005 to learn how to get started.
