The Rotary Foundation Donor Advised Fund Support Your Favorite Charities Today

Support the Mission of Rotary for Generations

The Rotary Foundation Donor Advised Fund allows an individual

or Rotary-affiliated group to create a special account that is earmarked for charitable giving. You make tax-deductible contributions to the account, advise how you want the funds invested and then recommend grants from the account to your favorite charities at your convenience.

Enjoy Convenience and Flexibility. Manage your charitable giving and charitable receipts through a single account. You decide when and how to recommend grants. No minimum balance is required and there is no limit on the number of grants.

Maximize Tax Benefits. Make contributions when the tax deductions

will benefit you most. You may be able to limit capital gains or income tax with gifts of stock, mutual funds and retirement plan assets.

Allow Funds to Grow, Tax-free. Advise how you want the account funds invested in any combination of four professionally managed portfolios. The investment strategy can change in response to market conditions or changes in your charitable giving plans.

Enhance Rotary’s Image. Each grant bears the Donor Advised Fund account name you have selected and the name of The Rotary Foundation. Show your support for Rotary and remind others of the many ways Rotarians and The Rotary Foundation are working to make a better world.

Visions30th Edition

Charitable Estate & Financial Planning Ideas from The Rotary Foundation

How Do I Get Started?

• Return the enclosed response card for a no-obligation packet of information; or

• Visit www.rotary.org/daf to review the Program Circular for a detailed description of Donor Advised Fund accounts, and download an application; or

• Contact The Rotary Foundation Donor Advised Fund Specialist at the number listed below.

When you are ready to open an account, just complete an application and fund the account with a tax-deductible, irrevocable contribution of U.S. $10,000 or more. Contributions can be made by check, stock transfer and other approved methods of funding.

Give a Gift. Open an account with an irrevocable, tax-deductible contribution of U.S. $10,000 or more.

Let it Grow. Advise The Rotary Foundation how you want the account funds invested in four professionally managed portfolios.

Make a Difference. Recommend grants to IRS-approved charities of your choice and support the work of The Rotary Foundation through an annual grant of U.S. $250 (or 1% for Group Accounts).

For More InformationThe Rotary Foundation staff will be happy to work with you, your advisors or your Rotary group as you explore the opportunities of the Donor Advised Fund.

Nancy M. Hoffman · Donor Advised Fund Specialist The Rotary Foundation · Rotary International · 1560 Sherman Ave. FN110 · Evanston, IL 60201 Phone: (847) 866-3488 · Fax: (847) 556-2178 · plannedgiving@rotary.org · www.rotary.org/DAF

This newsletter can be downloaded at www.rotary.org/visions.

Individual and Family Accounts

ADonor Advised Fund account offers the benefits of a family foundation, without the burdens of

administering one. You receive the same tax advantages, with no start-up costs, excise taxes or mandatory 5% distributions. In fact, you may deduct a higher percentage of your adjusted gross income with a Donor Advised Fund. The Rotary Foundation manages the investments, files the tax returns and takes care of everything else. All you have to do is decide how and when to recommend grants to qualified charities.

Each July, your account will make a $250 transfer to The Rotary Foundation Annual Programs Fund. This grant and any others you recommend to The Rotary Foundation are eligible for Paul Harris Fellow recognition and are applied toward your Major Donor recognition level.

After your lifetime, half of the amount left in the account (or more, if you choose) will go to the Foundation’s Permanent Fund (endowment). The principal of your endowment gift will be invested and a portion of the returns will be used to provide ongoing support for the mission of The Rotary Foundation. If you like, you can designate how you want the spending portion of the earnings to be used: general support of Foundation programs, the Rotary Peace Centers, the Annual Programs Fund or a specific area of focus.

The portion of the account that is not transferred to the Permanent Fund can be directed to a qualified charity you recommend. If the account has a balance of $150,000 or more before the transfer to the Permanent Fund, your children can be named as your successors on the account.

The purpose of this publication is to provide general gift, estate, and financial planning information. It is not intended as legal, accounting, or other professional advice. For assistance in planning charitable gifts with tax and other financial implications, the services of appropriate advisors should be obtained. Consult an attorney for advice if your plans require revision of a will or other legal document. Tax deductions vary based on applicable federal discount rates, which can change on a monthly basis. Some opportunities may not be available in all states. ©MMXI RFSCO, Inc. All Rights Reserved. NFXX-11

Give Anonymously

W ith the Donor Advised Fund, any grant you recommend can be made anonymously. Recently, one donor was moved by the

stories of cholera in Haiti. He wanted to make a sizeable gift to a relief agency, but was concerned it would lead to unwanted solicitations by that agency or others. An anonymous gift through the Donor Advised Fund was the perfect solution. “It was great,” he remarked. “I am confident that the money was well spent by this charity, but I don’t have to worry that it put me on their radar screen.”

A Legacy of Peace

Trustee Stephen Brown and his wife

Susan (Rotary Club of La Jolla Golden Triangle, California) believe in the Rotary Peace Centers. Recently, the Browns created an Endowed Rotary Peace Fellowship. The Brown Fellowship will be funded by a combination of outright and testamentary gifts,

including a portion of their Donor Advised Fund account, which will go to the Permanent Fund after their lifetimes. Trustee Brown explains, “On a long-term basis, I believe that the investment in the education of the Peace Fellows will help to achieve The Rotary Foundation’s mission of enhancing world understanding and promoting peace.”

The Browns have enjoyed the convenience and flexibility of the Donor Advised Fund since

2002. “The Donor Advised Fund is a great tool for managing my charitable giving,” Trustee Brown notes. “I can take advantage of the tax deduction on appreciated stock, and then have the proceeds reinvested and continue to grow. When a project comes along that I want to support, the funds are there.”

The Donor Advised Fund offers the Browns the flexibility to support both the programs of The Rotary Foundation and their club foundation’s charitable work that benefits projects in Afghanistan.

Group Accounts

A club, district or any other Rotary-affiliated group can open a Donor Advised Fund

account, allowing it to accept tax-deductible contributions. With an initial contribution of $10,000 and no start-up costs, a DAF account is a convenient and inexpensive alternative to starting a club foundation.

Let The Rotary Foundation take care of the accounting, reporting and other administrative tasks so that you can focus on what Rotarians do best: changing lives and making a difference.

Group accounts are intended to last indefinitely. You or your Rotary-affiliated group name 2 to 4 individuals as account holders who will have the ability to make grant and investment recommendations. Account holders can be added or removed as needed.

Each July, the account will make a grant to The Rotary Foundation Annual Programs Fund in the amount of 1% of the value of the account. The account is eligible for Paul Harris Fellow recognition for this grant and any others made to The Rotary Foundation.

Rotary Peace Centers alumna Louisa Dow manages the USAID Emergency Community Assistance and Planning program working to move families in Haiti into permanent housing.

Susan and Stephen Brown

Individual and Family Accounts

ADonor Advised Fund account offers the benefits of a family foundation, without the burdens of

administering one. You receive the same tax advantages, with no start-up costs, excise taxes or mandatory 5% distributions. In fact, you may deduct a higher percentage of your adjusted gross income with a Donor Advised Fund. The Rotary Foundation manages the investments, files the tax returns and takes care of everything else. All you have to do is decide how and when to recommend grants to qualified charities.

Each July, your account will make a $250 transfer to The Rotary Foundation Annual Programs Fund. This grant and any others you recommend to The Rotary Foundation are eligible for Paul Harris Fellow recognition and are applied toward your Major Donor recognition level.

After your lifetime, half of the amount left in the account (or more, if you choose) will go to the Foundation’s Permanent Fund (endowment). The principal of your endowment gift will be invested and a portion of the returns will be used to provide ongoing support for the mission of The Rotary Foundation. If you like, you can designate how you want the spending portion of the earnings to be used: general support of Foundation programs, the Rotary Peace Centers, the Annual Programs Fund or a specific area of focus.

The portion of the account that is not transferred to the Permanent Fund can be directed to a qualified charity you recommend. If the account has a balance of $150,000 or more before the transfer to the Permanent Fund, your children can be named as your successors on the account.

The purpose of this publication is to provide general gift, estate, and financial planning information. It is not intended as legal, accounting, or other professional advice. For assistance in planning charitable gifts with tax and other financial implications, the services of appropriate advisors should be obtained. Consult an attorney for advice if your plans require revision of a will or other legal document. Tax deductions vary based on applicable federal discount rates, which can change on a monthly basis. Some opportunities may not be available in all states. ©MMXI RFSCO, Inc. All Rights Reserved. NFXX-11

Give Anonymously

W ith the Donor Advised Fund, any grant you recommend can be made anonymously. Recently, one donor was moved by the

stories of cholera in Haiti. He wanted to make a sizeable gift to a relief agency, but was concerned it would lead to unwanted solicitations by that agency or others. An anonymous gift through the Donor Advised Fund was the perfect solution. “It was great,” he remarked. “I am confident that the money was well spent by this charity, but I don’t have to worry that it put me on their radar screen.”

A Legacy of Peace

Trustee Stephen Brown and his wife

Susan (Rotary Club of La Jolla Golden Triangle, California) believe in the Rotary Peace Centers. Recently, the Browns created an Endowed Rotary Peace Fellowship. The Brown Fellowship will be funded by a combination of outright and testamentary gifts,

including a portion of their Donor Advised Fund account, which will go to the Permanent Fund after their lifetimes. Trustee Brown explains, “On a long-term basis, I believe that the investment in the education of the Peace Fellows will help to achieve The Rotary Foundation’s mission of enhancing world understanding and promoting peace.”

The Browns have enjoyed the convenience and flexibility of the Donor Advised Fund since

2002. “The Donor Advised Fund is a great tool for managing my charitable giving,” Trustee Brown notes. “I can take advantage of the tax deduction on appreciated stock, and then have the proceeds reinvested and continue to grow. When a project comes along that I want to support, the funds are there.”

The Donor Advised Fund offers the Browns the flexibility to support both the programs of The Rotary Foundation and their club foundation’s charitable work that benefits projects in Afghanistan.

Group Accounts

A club, district or any other Rotary-affiliated group can open a Donor Advised Fund

account, allowing it to accept tax-deductible contributions. With an initial contribution of $10,000 and no start-up costs, a DAF account is a convenient and inexpensive alternative to starting a club foundation.

Let The Rotary Foundation take care of the accounting, reporting and other administrative tasks so that you can focus on what Rotarians do best: changing lives and making a difference.

Group accounts are intended to last indefinitely. You or your Rotary-affiliated group name 2 to 4 individuals as account holders who will have the ability to make grant and investment recommendations. Account holders can be added or removed as needed.

Each July, the account will make a grant to The Rotary Foundation Annual Programs Fund in the amount of 1% of the value of the account. The account is eligible for Paul Harris Fellow recognition for this grant and any others made to The Rotary Foundation.

Rotary Peace Centers alumna Louisa Dow manages the USAID Emergency Community Assistance and Planning program working to move families in Haiti into permanent housing.

Susan and Stephen Brown

The Rotary Foundation Donor Advised Fund Support Your Favorite Charities Today

Support the Mission of Rotary for Generations

The Rotary Foundation Donor Advised Fund allows an individual

or Rotary-affiliated group to create a special account that is earmarked for charitable giving. You make tax-deductible contributions to the account, advise how you want the funds invested and then recommend grants from the account to your favorite charities at your convenience.

Enjoy Convenience and Flexibility. Manage your charitable giving and charitable receipts through a single account. You decide when and how to recommend grants. No minimum balance is required and there is no limit on the number of grants.

Maximize Tax Benefits. Make contributions when the tax deductions

will benefit you most. You may be able to limit capital gains or income tax with gifts of stock, mutual funds and retirement plan assets.

Allow Funds to Grow, Tax-free. Advise how you want the account funds invested in any combination of four professionally managed portfolios. The investment strategy can change in response to market conditions or changes in your charitable giving plans.

Enhance Rotary’s Image. Each grant bears the Donor Advised Fund account name you have selected and the name of The Rotary Foundation. Show your support for Rotary and remind others of the many ways Rotarians and The Rotary Foundation are working to make a better world.

Visions30th Edition

Charitable Estate & Financial Planning Ideas from The Rotary Foundation

How Do I Get Started?

• Return the enclosed response card for a no-obligation packet of information; or

• Visit www.rotary.org/daf to review the Program Circular for a detailed description of Donor Advised Fund accounts, and download an application; or

• Contact The Rotary Foundation Donor Advised Fund Specialist at the number listed below.

When you are ready to open an account, just complete an application and fund the account with a tax-deductible, irrevocable contribution of U.S. $10,000 or more. Contributions can be made by check, stock transfer and other approved methods of funding.

Give a Gift. Open an account with an irrevocable, tax-deductible contribution of U.S. $10,000 or more.

Let it Grow. Advise The Rotary Foundation how you want the account funds invested in four professionally managed portfolios.

Make a Difference. Recommend grants to IRS-approved charities of your choice and support the work of The Rotary Foundation through an annual grant of U.S. $250 (or 1% for Group Accounts).

For More InformationThe Rotary Foundation staff will be happy to work with you, your advisors or your Rotary group as you explore the opportunities of the Donor Advised Fund.

Nancy M. Hoffman · Donor Advised Fund Specialist The Rotary Foundation · Rotary International · 1560 Sherman Ave. FN110 · Evanston, IL 60201 Phone: (847) 866-3488 · Fax: (847) 556-2178 · plannedgiving@rotary.org · www.rotary.org/DAF

This newsletter can be downloaded at www.rotary.org/visions.