Fast Company Recognizes Social Capitalists

The current issue of Fast Company provides its annual ranking of social capitalists (aka really creative and cutting edge nonprofit organizations). While many of those recognized are past winners, it is always an instructive and inspiring group of institutions doing some fantastic work.

Senate tax bill opens new doors for charitable giving

The Senate's recently passed tax bill includes a section that aims to encourage charitable giving. The bill, S. 2020, contains incentives for charitable giving such as allowing tax-free charitable gifts from individual retirement accounts and new deductions for people who can't deduct their donations, because they don't itemize on their tax returns. Among the bill's other provisions are stricter rules governing deductions when donating clothing and household goods. For more details of the bill's section on charitable giving click here.

School Daze: Alumni Ante Up

According to the latest issue of Kiplinger's Personal Finance, if you plan to endow a scholarship at your alma mater, prepare to dig a little deeper. For example, Duke raised the amount needed to fund a restricted scholarship (the kind that gives you some say over who receives the award, such as specifiying the student's field of study) from $100,000 to $250,000. Johns Hopkins raised their requirement from $20,000 to $100,000. A quick search on the web reveals that to endow a chair or professorship can easily exceed $2 million -- one endowed chair established at Harvard Law Schoool was funded with a $3 million gift. With costs rising, and the increased need of financial aid, colleges are looking to alumni and their major benefactors to foot more of the bill. With the higher donation level, many colleges will give you the option of spreading your donation over a period of five to ten years.

Leaving a Legacy, Large and Small

A variety of options are available to create legacy -- from private foundations to donor advised funds and supporting organizations. Each vehicle for donor-advised giving has its strengths and limitations, as well as a minimum investment threshold that may help you quickly narrow your options. But all of them have one thing in common: They help the 1.2 million charities in the United States.

New Donor Advised Fund for Financial Advisors

The National Philanthropic Trust, in partnership with Concord Equity Group Advisors, have launched a new donor advised fund offered exclusively to independent financial advisors, brokers, estate planners, accountants, trust officers, wealth managers and other professionals. The new program, the Independent Charitable Gift Fund, is also the first donor advised fund to invest in exchange-traded funds.

“Charitable giving is a fundamental element of financial planning and an important addition to the services offered through our wealth management infrastructure,” said Alan Gavornik, Co-Founder and Executive Managing Director of Concord Equity Group Advisors. “The Independent Charitable Gift Fund provides institutions, advisors, and investment representatives with the tools to do well by doing good through sophisticated, high-touch philanthropic services that will deepen their client relationships, while maximizing tax-efficient philanthropy.”

This is the first donor advised fund to invest in exchange-traded funds for low cost, diversified and efficient investment performance. In addition, the program can accept the widest variety of assets – appreciated securities, restricted stock, privately-held stock, real estate and more. The program also provides competitive compensation to advisors that improves their bottom line.

"Advisors will benefit from our expertise and experience," said Eileen Heisman, President & CEO, of NPT. "NPT will provide comprehensive support to help advisors effectively market the program to your existing clients, identify and cultivate prospects, and to attract new clients."

“NPT’s relationship with Concord Equity Group Advisors is truly a win-win,” said Heisman. “NPT has expanded its philanthropic reach to a greater number of individuals interested in making charitable gifts, while Concord has instantly acquired the technical, nonprofit, and operating knowledge necessary to get their program up and running in time for giving season. Our donor-advised fund platform empowers any financial services provider to offer an important and growing service to their clients almost immediately,” she added.

Advisors interested in obtaining more information about the program should contact Andrew Hastings, Vice President, National Philanthropic Trust toll-free at (888) 878-7900.

Charitable Gift Annuity Calculator

Calculate your payout from a charitable gift annuity for one or two lives with this simple charitable gift calculator from PGCalc.

Seen and Be Seen - Upcoming Conferences

Make your reservations now and chase away the winter blues by attending these conferences:

40th Annual Heckerling Institute on Estate Planning
January 9-13
Fountainbleu Hilton Resort
Miami Beach, FL
Sponsored by the University of Miami Law School
(305) 284-4762

2006 Mid-Winter Tax & Estate Planning Conference
January 15-22
St. Croix, U.S. Virgin Islands;
Sponsored by the National Law Foundation
(302) 656-4757

2006 Family Office Management Conference
January 30 - February 1
The Biltmore Hotel
Coral Gables, FL