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When planning to establish a donor-advised fund (DAF) for a client, the conversation tends to focus upon the impact of that initial gift that funds the account. This certainly makes sense given the time and effort involved in educating the client regarding how the DAF works, identifying the best asset(s) to fund the account, coordinating those efforts with the client’s accountant and attorney, and the operational efforts to bring those pieces together. With the DAF established and funded with an impactful gift, the client can now begin the rewarding process of making grant recommendations to the nonprofit organizations they care to support.

While the initial gift to a client’s fund may tend to be the largest, we should not ignore the opportunity to continue to incorporate the DAF into the client’s ongoing charitable plan.

Many clients view their annual charitable gifts as part of their pre-and post-retirement cash flow plans and the DAF can enhance those efforts to ensure that their philanthropic goals continue to be achieved. If your client(s) have established DAFs in the past, now may be a wonderful time to evaluate whether an additional gift to their DAF might prove to be a beneficial step towards enhancing their means to continue their ongoing grant-making efforts.

The current political environment, international tension between nuclear powers, and a stock market determine to push through all-time highs each day has presented clients with an opportunity to act. Regardless of political allegiances, the missions of nonprofit organizations continue to serve as an area where clients can put their resources to use in furthering the causes of what matter most to them.