Donor-Advised Funds
A donor-advised fund (DAF), which is like a charitable savings account, is a simple, flexible and tax-efficient way to manage your giving. Administered by a charitable sponsor like a community foundation, donors contribute to a fund and then recommend how much and how often money is granted to the nonprofits they care about—like Sacramento Food Bank & Family Services.
Benefits of Donor-Advised Funds
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DAFs are simple to set up, with limited paperwork or via an online form in a matter of minutes. The organization that acts as your charitable sponsor handles all recordkeeping, disbursements and tax receipts.
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Donors receive a federal income tax deduction during the year the gift was made to the DAF, regardless of when the funds are awarded to the nonprofit.
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Any investment growth in the DAF is tax free. This means that more money is generated for charities, increasing the donor’s impact.
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There are many ways for donors to contribute to DAFs, such as cash, stocks, real estate and cryptocurrency.
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Unlike private foundations, there is no legal payout requirement from DAFs.
How Donor-Advised Funds Work
You make an initial, irrevocable gift to fund a DAF at a sponsoring organization.
The assets in your DAF grow tax-free.
You make annual recommendations on gifts to be made from your DAF to qualified charities.
Next Steps
Contact our Director of Development, Christina Cleveland, at (916) 456-1980 ext. 2639 or ccleveland@sacramentofoodbank.org to discuss using your DAF to support SFBFS and our mission.
Seek the advice of your financial or legal advisor.
If you include SFBFS in your plans, please use our legal name and federal tax ID.
Legal name: Sacramento Food Bank & Family Services
Address: 1951 Bell Avenue, Sacramento, CA 95838
Federal Tax ID Number: 94-3315566