WASHINGTON, D.C. (March 26) – The Alliance for Strong Families and Communities, a strategic action network of thousands of social sector leaders, announced today that it is urging investment managers for donor-advised funds to designate charitable dollars toward community-based human service organizations, which are among those hardest hit by the COVID-19 pandemic.
“Community-based human services organizations are essential to our nation’s response to this crisis,” said Susan N. Dreyfus, president and CEO of the Alliance. “These organizations, which make up our membership, meet the basic needs of families including the provision of shelter, food, child welfare services, child care and elder care services, mental health and substance abuse services, and so much more. Community-based human services organizations are continuing to serve people in need and create new ways to deliver services during this pandemic, and they need your help.”
A donor-advised fund is similar to a charitable investment account. Contributions of cash, securities, or other assets to a donor-advised fund at a public charity, like Fidelity Charitable, make donors eligible for an immediate tax deduction. Then those funds are invested for tax-free growth. Donors can recommend grants to virtually any IRS-qualified public charity.
Donor-advised funds are the fastest-growing charitable giving vehicle in the U.S. Goldman Sachs, Fidelity Charitable, Vanguard, and Schwab are four of the largest managers of donor-advised funds. Their clients make donations to their organizations and get an immediate tax deduction. As of 2018, these four institutions held $56.4 billion dollars of charitable funds, waiting to be designated for a good cause.
“For donor-advised fund account holders, we have a message—the time to designate to your local community-based organizations is now,” noted Dreyfus. “Your support will have an immediate impact on the health and well-being of your neighbors, community, and our wider society.”
About the Alliance for Strong Families and Communities
The Alliance for Strong Families and Communities is a strategic action network of thousands of committed social sector leaders who through their excellence, distinction, and influence are working to achieve a healthy and equitable society. We aggregate the very best sector knowledge and serve as an incubator for learning and innovation to generate new solutions to the toughest problems. We accelerate change through dynamic leadership development and collective actions to ensure policies and systems provide equal access and opportunity for all people in our nation to reach their fullest potential through improvements in health and well-being, educational success, economic opportunity, and safety and security. Go to alliance1.org for more information.
Contact Jennifer Devlin with any questions, 703-966-3241