When to Team Up

SITUATION

We worked with an advisor whose client received a large year-end bonus. The client wanted to give back, but wanted time to decide which charities to support.

HOW WE HELPED

We worked with the advisor and client to establish a Donor Advised Fund at the Community Foundation. The client realized a tax deduction and began working with our team to develop a philanthropic strategy that matched her long-term goals with her charitable passions. We shared community needs and analysis and even arranged a meeting with a local nonprofit so the client could see the impact of her giving in real time.

SITUATION

An advisor sought our guidance on how best to help his clients — a couple who’d spent their lives teaching in Sioux Falls. They were passionate about education, specifically providing disadvantaged youth with opportunities to succeed.

HOW WE HELPED

We worked with the couple to craft a legacy agreement to capture their charitable wishes for after their lifetime. Today, this couple’s endowment provides annual distributions to a number of local organizations benefiting youth across Sioux Falls.

SITUATION

An advisor reached out to the Community Foundation after a client expressed interest in creating a private foundation for his family’s charitable giving.

HOW WE HELPED

We worked with the advisor to help address concerns the client had about private foundation management, including administrative costs, tax liabilities and privacy options. Ultimately, the client saw a Donor Advised Fund at the Community Foundation as the best vehicle to achieve his family’s charitable giving goals. Administrative costs were lower, tax deductibility was greater, and the family has access to our local experts who can offer impactful philanthropic and grant-making strategies.

SITUATION

A client wanted to involve her children and grandchildren in her philanthropy, but didn’t know where to start. Her advisor turned to us.

HOW WE HELPED

We helped the client’s family define their philanthropic purpose based on shared values and passions. From there, we helped the family select the best philanthropic vehicle to achieve their charitable vision and provided insights for grant-making decisions. Today, multiple generations work together to advise this charitable fund based on the family’s established philanthropic vision.

SITUATION

We recently worked with an advisor whose client was selling his business and wanted to continue giving back to the community in his retirement.

HOW WE HELPED

We worked with the advisor to help the client donate a portion of his business interests before the sale to a Donor Advised Fund at the Community Foundation. Not only did the client minimize capital gains, he also received an income tax deduction for the fair market value.

SITUATION

An advisor reached out after his client had a taxable event, and with an increased giving budget, he needed help in identifying where to give. His donor advised fund through Schwab Charitable couldn’t offer him local insight on funding opportunities.

HOW WE HELPED

Establishing a new DAF with the Community Foundation, we learned about the client’s passions and values, and we shared insights and analysis on current needs and emerging opportunities. After understanding the needs, and seeing what kind of impact his giving could have, the client went on to make a significant investment in a local project he was excited about.