Frequently Asked Questions

A donor-advised fund (DAF) is a charitable giving vehicle that allows donors to contribute assets to a sponsoring charity, receive an immediate charitable tax deduction in the year of the gift, and then recommend grants to IRS-qualified nonprofits over time. After the contribution, assets may be invested and potentially grow tax-free.

Renaissance Charitable serves as a sponsoring nonprofit for donor-advised funds, accepting and stewarding contributions, establishing contribution and grant policies, and performing the required due diligence and approvals for all grant recommendations.

Donor-advised funds make charitable giving simpler, more tax-efficient, and more flexible. A DAF allows you to take an immediate tax deduction when you contribute, invest the funds for potential tax-free growth, and recommend grants to charities over time. Renaissance Charitable accepts a broad range of assets and supports long-term or multi-generational giving (without the administrative burden of running a private foundation).

A DAF might be a good option for you if you:

• Give regularly
• Give sizably
• Own – or anticipate owning – appreciated assets
• Expect a high income tax year
• Are planning for the future

A DAF can simplify giving for all donors. Moving from checkwriting and receipt tracking to a platform that does all of that for you means that your time, energy, and passions get to focus on who you are giving to and why. A DAF also simplifies for the most substantial givers, when the requirements to organize and execute your efforts grow exponentially — that’s what we’re built for.

Renaissance Charitable offers donor-advised fund programs designed around how you give. You can open a DAF through one of the following options:

• Advisor-managed DAFs for donors who work with a financial advisor and want their charitable strategy integrated into an existing wealth, tax, or investment plan. These accounts offer easy onboarding with easy-to-use grantmaking tools and allow you to continue investing with your trusted advisor.
• Donor-directed DAFs through the Renaissance Charitable Giving Fund are for donors who prefer to manage their charitable giving without a financial advisor. These accounts offer a streamlined setup and intuitive online tools to contribute assets and recommend grants independently.

To compare each option side-by-side, find out which DAF program is right for you. If you’re a financial advisor, check to see if your firm has a Renaissance Charitable program.

Yes, you should! A few decades ago, private foundations offered a more customizable way to give. In that time, DAFs have matured, and it is exceedingly rare that a modern giver truly needs a private foundation.

A DAF can enable you to achieve all your giving goals with greater total impact over time in a much more streamlined way. Working with an experienced provider like Renaissance Charitable means your annual costs will be a fraction of a percent, your contributions can receive more favorable tax treatment, and you save millions of dollars in overhead costs and administrative headaches.

Running a private foundation is as much work as running a business — plus you have the compliance requirements to maintain your charitable status. Using a DAF means you can give in any amount with a few clicks of a button.

If you already have a private foundation, you are already familiar with the workload. If you’ve grown tired of it, talk to our team today about what it would take to seamlessly convert that private foundation into a DAF – we can walk you through the process of streamlining administration while maintaining your impact and preserving your legacy.

You have naming rights for the DAF you establish. So feel free to call it the Smith Family Foundation (even if the legal structure is a DAF) so that receiving charities understand how committed you and your family are to philanthropy, both now and for generations to come.

Yes, you can. The most common conversation we have is around winding down a private foundation, but for those who decide to keep it, most also elect to add a DAF alongside it. Combining a DAF with a private foundation helps you optimize your giving. You’ll gain the tax benefits of a DAF, such as higher deductibility limits for cash (60% AGI vs. PF’s 30%) and appreciated securities (30% AGI vs. PF’s 20%).

Yes, it’s beneficial to open a DAF before selling your business. By contributing business shares to a DAF before your sale is finalized, you can avoid capital gains taxes. Plus, you’ll secure an immediate income tax deduction for their fair market value, up to 30% of your AGI. There’s also no rush to choose charities right away; after things have calmed down post-transaction, take your time to plan your giving strategy and build a powerful legacy.

Renaissance Charitable DAFs offer broad asset acceptance. Donor-advised funds sponsored by Renaissance Charitable Foundation accept cash and publicly traded securities, as well as pre-IPO, alternatives, real estate, crypto, and more.

Yes, and it’s a great way to give. A Renaissance Charitable DAF allows you to strategically donate complex assets such as real estate, private stock, or artwork. This approach helps you avoid capital gains taxes and potentially offset taxable income, maximizing your philanthropic impact.

Contributions to a DAF generally qualify for an immediate charitable income tax deduction in the year the gift is made. If you give appreciated assets held for more than a year, you may also avoid capital gains tax on the appreciated portion.

Yes, donor-advised funds are tax-deductible. When you contribute to a donor-advised fund (DAF), you generally receive an immediate charitable tax deduction in the year the gift is made (even if you recommend grants to charities later).

Yes. Once assets are contributed to a Renaissance Charitable DAF, your investment grows without tax.

Cash gifts to a DAF are generally deductible up to 60% of your adjusted gross income, while long-term appreciated securities and other qualifying assets are typically deductible at fair market value up to 30% of AGI. Amounts above these limits can generally be carried forward for up to five years.

No. When donors contribute long-term appreciated securities to a Renaissance Charitable donor-advised fund, they generally do not owe capital gains tax on the appreciation. Plus, donors may be eligible for an income tax deduction based on the fair market value of the contributed assets.

Yes, contributions to a donor-advised fund are irrevocable. Once assets are contributed, they cannot be returned. This irrevocability is what generally qualifies the contribution for an immediate tax deduction. While donors cannot reclaim contributed assets, you retain advisory privileges, including the ability to recommend grants and, in many cases, investment strategies.

You submit a grant recommendation through your donor portal. Renaissance Charitable reviews the request to ensure the recipient is an IRS-qualified public charity and that it complies with legal and policy requirements. Once approved, the grant is distributed to the charity.

Yes. Renaissance Charitable allows donors to recommend whether their name is shared with the recipient charity or whether the grant is made anonymously.

Renaissance Charitable and Ren technology work together to approve and send grant payments, in many cases, within 2–3 business days after a complete grant recommendation is received and reviewed.

Timing can vary depending on the details of the request, such as whether additional verification is needed, whether the recipient is eligible, whether the grant is scheduled/recurring, and whether funds are delivered electronically or by check. Renaissance Charitable oversees grantmaking rules and approvals, and the grant experience is supported by Ren-powered technology.

Yes. Renaissance Charitable donor-advised funds can support international charitable work, provided the grant meets U.S. regulatory requirements and Renaissance Charitable’s grantmaking policies. International grants are typically made through approved intermediary organizations or other compliant structures, and each recommendation is reviewed by Renaissance Charitable to ensure eligibility and proper use of funds.

Yes. Renaissance Charitable donor-advised funds can be used to support disaster relief efforts and emergency giving. Grant recommendations are reviewed by Renaissance Charitable to confirm recipient eligibility and compliance, and once approved, funds can be distributed promptly. Ren-powered technology helps streamline the process so donors and advisors can respond efficiently when urgent needs arise.

Yes, Renaissance Charitable supports shared advisory roles. This makes it easy to involve children or heirs in charitable decision-making and continue building a legacy.

You can designate successor advisors (like family members or others) to continue recommending grants after your passing. If no successor is named, Renaissance Charitable will distribute the remaining assets according to your written instructions or its internal policies if no directions were given.

To learn how to set up a donor-advised fund, contact our team for assistance.

No. While we also open DAFs through financial advisors or wealth management firms, Renaissance Charitable allows you to open and manage a DAF independently.

Renaissance Charitable is a 501(c)(3) public charity that sponsors donor-advised funds. We determine contribution acceptance (including complex assets), investment policy options, grantmaking rules, annual fees, and compliance with IRS regulations. All Renaissance Charitable DAFs are powered by a modern technology platform provided by our partner Ren.

Renaissance Charitable reviews all recommended grants to ensure they are legally permissible and comply with the nonprofit’s policies. While donors recommend grantees and amounts, Renaissance Charitable has final approval authority as required by law.

Renaissance Charitable is the sponsoring public charity that offers donor-advised funds. It is responsible for all charitable, legal, and compliance matters, including contribution acceptance, asset review, investment options, grantmaking policies, and final grant approval.

Ren is the technology and services provider that powers Renaissance Charitable’s programs. Ren supplies the institutional-grade platform, administrative infrastructure, and operational support that make it easier for donors, advisors, and families to manage their charitable giving experience.

Together, this partnership allows Renaissance Charitable to focus exclusively on its mission as a charitable sponsor, while Ren provides the scalable technology and expertise that supports sophisticated, flexible, and efficient philanthropy.