Donor-Advised Fund Assets Reached $45-Billion in 2012, Study Finds

THE CHORNICLE OF PHILANTHROPY
By Alex Daniels

PHILANTHROPY---Fearing changes in tax policy, contributors poured money into donor-advised funds in 2012, helping assets in those accounts climb to nearly $45.4-billion that year, according to a study released today [Nov. 11] by the National Philanthropic Trust. Contributions to the funds, which allow people to set up charitable accounts, receive an immediate tax deduction, and later decide on beneficiaries, increased 34.6 percent, to top $13.7-billion. Much of the increase occurred in response to the “fiscal cliff” deliberations on Capitol Hill in late 2012, according to Eileen Heisman, president of the trust. Contributors to donor-advised funds are allowed to secure a tax benefit the year a gift is made to the fund, whether or not the money actually gets donated to a charity that year. [link]