Donor Advised Funds

The Greater Europe Mission Donor Advised Fund program makes it easier for you to set up one gift account that makes regular charitable distributions for our missionaries and programs, as well as other ministries.  The fund provides you an alternative to commercial gift funds and to the legal and tax complexities of establishing and operating a private foundation. A Donor Advised Fund offers administrative support, experienced grant-making counsel, and careful financial management.

The Donor Advised Fund program is coordinated by our Office of Gift Planning and managed through our ministry partner, The Christian Community Foundation.

How A Donor Advised Fund Works

A donor makes a minimum initial gift of $10,000 to establish a Donor Advised Fund. Additional contributions to the fund can be made at any time. The gift is made to The Christian Community Foundation, referencing the Greater Europe Mission Charitable Fund. We encourage a minimum annual distribution of 10% of the fund. You suggest the recipients of grants to be made from this distribution amount, and after approving your recommendation the distributions are made to the named ministries, identifying the grants as coming from your Donor Advised Fund. (Placing this ultimate grant-making authority in our hands ensures that your gift establishing the Donor Advised Fund is complete in the eyes of the IRS and therefore deductible.)

The Christian Community Foundation will charge a reasonable management fee to the principal of a Donor Advised Fund. The minimum set-up fee is $1,000. Annual fees range between .75% and 1.25%.

You may suggest the name for your Donor Advised Fund.

Making Grants

You or your advisors recommend the recipients of annual grants from the Donor Advised Fund through Greater Europe Mission’s Gift Planning Office. We encourage that a minimum of 25% of the annual grants from the Donor Advised Fund be distributed to Greater Europe Mission. Similarly, on termination of the Donor Advised Fund, we encourage that 25% of the assets remaining in the fund be distributed to Greater Europe Mission. Due to requirements and standards, we could not approve a grant that would benefit the donor or an advisor, go to a private foundation, support political activities, or be used for any purpose that is not wholly charitable and consistent with our Christian mission.

Comparison

Comparing the Greater Europe Mission Donor Advised Fund with other commercial funds or private foundations shows these advantages:

• A current deduction at 50% of Adjusted Gross Income is possible, compared with 30% in a Private Foundation.
• There is no tax on net-investment income on the fund, as there is in a Private Foundation.
• Our costs are much more moderate than a commercial fund or Private Foundation.
• Tax compliance and other administrative and grant-making services are provided for you.

How Do I Create A Donor Advised Fund?

For further information and assistance, please contact Steve Hoffman of our Gift and Estate Design services.

Phone: 1-800-436-4488
Email: shoffman@gemission.com

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