In looking to create a charitable vehicle, you may be considering whether to establish a private foundation or a donor-advised fund (DAF). At the most basic level, the difference between a DAF and a private foundation is control. A private foundation is a freestanding legal entity over which the donor retains complete control. A donor-advised fund is a giving account within a sponsoring charitable organization. The donor makes recommendation as to how those funds are invested and granted out, but the sponsoring organization must give its approval.
• Comparison of tax advantages
• Comparison of philanthropic options
• Comparison of investment/asset management options
• Organizational differences
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