Creative Ways to Use a Charitable Gift Account

With a donor-advised fund such as Schwab Charitable Fund, there are many creative ways to express your generosity and your values.

Did you know that you can open a Charitable Gift Account with the Fund in someone else’s name? It might be a way to say thank you, to celebrate a special day, to remember someone or simply to share your values with someone you love. Here are some recent examples.

One donor opened a $5,000 Charitable Gift Account as a gift to his grandchild when she graduated from his alma mater. Through the account he passed along his commitment to a lifetime of giving while empowering his granddaughter to identify the charities she’d like to support. Each time she recommends a grant, she will think of her grandfather.

A couple opened a $250,000 account as a present to each other on their 25th wedding anniversary. Each time they sit down to discuss the charities they would like to support, they celebrate the life they’ve built together.

Siblings might pool their funds to open a Charitable Gift Account in memory of a parent. A husband might open an account in his wife’s name for her birthday. Grandparents might open Charitable Gift Accounts for each of their grandchildren to impress upon them the importance the family places on giving.

Opening a Charitable Gift Account for someone else benefits both the giver and the receiver. The giver who opens and funds the Charitable Gift Account receives the tax deduction, while the recipient enjoys the opportunity of selecting charities to support.

Because of its flexibility, a donor may use an established Charitable Gift Account for creative purposes as well — such as recommending a grant as a gift, a tribute or a memorial. As another example, parents of young children may set aside time once a year, often at Thanksgiving or another holiday, and let each minor child select a charity to support through the family’s Charitable Gift Account. Each child gets to express his or her individual giving interests while participating in the family’s philanthropic tradition.

To learn more about the many ways to use a Charitable Gift Account, please call 1-800-746-6216.