8 Reasons for our Family's Donor Advised Fund


 "The Hahn Family Charitable Gift Fund", that's the title of our family's new Donor Advised Fund with The Catholic Foundation.

A common misconception is that only those with loads of cash can establish an Endowment or Donor Advised Fund. With 8 children under our roof for the past 20 years, I can assure you that there are loads of laundry at our house but not loads of cash!

So, why would I create a Donor Advised Fund for our family? Here are some of the reasons in no particular order:

  1. $0.00 To Create - I'm cheap and so when I realized that it costs $0.00 to open the fund, it was a no-brainer. It allows me the flexibility to add to it when I am able without having to worry about minimum balances or fees.
  2. Flexibility In - I recently added some money to the fund with the hope that I can add more in the future. I like that I can add to it monthly, quarterly, annually, when I have extra cash, if I sell some stuff on eBay, or if we get an income tax refund. Flexibilty is key when you still have a bustling family life but want to keep charity in mind.
  3. Felxibility Out - The Donor Advised Fund at The Catholic Foundation is connected to an online platform (DonorCentral) that allows us to view our balance and make grants easily. We can give to schools, our parish, charities, and other organizations with one-time or reoccuring gifts.
  4. Growth - To put it simply, I like the idea of putting the money in the fund and watching it grow (hopefully) so that we can give more to the organzations we love. It's like watching your stock portfolio grow all the while knowing that someone in need is going to benefit from that growth.
  5. Family Giving - My plan is to gather the children at Thanksgiving, let them know how much is in the fund and then have an open discussion about which charity(ies) are most in need. I think this is a great way to a) raise charitably minded children b) raise awareness of needs in our community among my own family members.
  6. Legacy Giving - The Donor Advised Fund allowed us to name our children as Successor Advisors thus ensuring that fund can be used for a long time after Nicole and I move on to our eternal reward.
  7. Planned Giving - As I've mentioned before, the Charitable Riders that we have on our Life Insurance policies are designated to be deposited in this fund. If both of us were to pass away today, that would mean over $70,000 would enter the Donor Advised Fund allowing our children to give wonderful gifts, in our name, to some of our favorite organizations. In addition, we've set up the fund in such a way that any remaining money in the fund, after the death of the last successor advisor, is moved to a fund to help support vocations.
  8. It's Catholic - Finally, we love the peace of mind that comes from knowing that The Catholic Foundation not only invests our funds according to the teachings of the Church and within USCCB guidelines but also carefully vets organizations that will receive the money to ensure that their work is not contrary to the teachings of the Church.
A Donor Advised Fund is an easy way to enter into the planned giving space. Consider opening your own DAF and funding it as you are able. It's also a great way to get the entire family to think more charitably. It's also a great giving tool for businesses.  Reach out to me to learn more!

Full Disclosure: I am a Life Insurance Agent for The Catholic Order of Foresters, Catholic Financial Life, Stewardship Financial, and a Development Officer with The Catholic Foundation.

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Phone: 740-324-0702

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