Opening a Donor-Advised Fund Easier Than Ever

ALEXANDRIA, VA, UNITED STATES, March 10, 2022 /EINPresswire.com/ -- The team at DonorsTrust, a donor-advised fund (DAF) committed to encouraging philanthropic giving and protecting donor intent, announced it is lowering administrative fees across the board, making more account-holder resources available for giving. The move, recently approved by the DonorsTrust board of directors, marks the most sweeping reduction in administrative fees in the organization’s 22-year history.

From its inception, DonorsTrust charged a standard 1% administrative fee for all accounts, with customized rates for very sizable funds. The new fee schedule offers a more tiered and transparent system in line with many other donor-advised-fund providers. The new fee schedule is as follows:

First $1 million – 75 basis points (0.75%)
Next $1.5 million – 65 basis points (0.65%)
Next $2.5 million – 60 basis points (0.60%)
Next $5 million – 50 basis points (0.50%)
Next $15 million – 40 basis points (0.40%)
Above $25 million – Please call to discuss

“Our administrative fees are our primary means of sustaining our operations,” explained Lawson Bader, the CEO of DonorsTrust. “Thanks to continued growth in both the number, size, and duration of our funds, we’re pleased to reduce those fees without compromising the value we create for our advisors.”

DonorsTrust accountholder contributions made in 2021 more than doubled from 2020 to exceed $1 billion. Grant recommendations from accountholders (essentially, a donation made from a DAF to a charity) are also on a record-breaking pace.

In 2020, DonorsTrust granted more than $186 million to charitable causes. With the surge in additional giving around the holidays and year-end, the amount in 2021 again broke records.

“While fees are rarely a factor in considering a DAF, this move should make it easier and more enticing for philanthropists,” Bader continued. “We offer many investment options for DAF accounts, and it’s quite common fees are more than covered by market returns. Additionally, our donor advisors view our fee as a simple way to support the mission of DonorsTrust – to safeguard the intent of our donor-advisors and to ensure a revenue stream to organizations seeking to defend and grow a free society.”

“Donor-advised funds remain the fastest-growing charitable vehicle in the country to centralize and simplify giving. We are excited to provide these critical services to philanthropists with reduced fees at a time when charitable organizations need it most,” Bader said. “Commercial banks may have more competitive fee structures, but as a missional DAF provider, we are providing a unique service to and protection for donors that is unmatched.”



Established in 1999 as a 501(c)(3) public charity, DonorsTrust is a community of donors devoted to creating a better future. Our donors support charities they believe protect our nation’s constitutional liberties and strengthen civil society through private institutions rather than government programs. Our boutique size lets us offer our donors personal attention and advice that helps them achieve their philanthropic goals. We ensure donor intentions are protected. We offer simple, effective, and tax-advantaged ways to give. Since its inception, DonorsTrust has granted more than $1.7 billion to more than 4,000 charities that protect our constitutional liberties and strengthen civil society without government funding.

###

To learn more about DAFs and DonorsTrust, please visit http://www.donorstrust.org and listen to the Giving Ventures Podcast here: https://www.donorstrust.org/podcast/.

To schedule an interview with a DonorsTrust spokesperson, please contact Dan Rene at 202-329-8357 or daniel.rene@kglobal.com

Dan Rene
kglobal
+ +1 2023298357
email us here

Legal Disclaimer:

EIN Presswire provides this news content "as is" without warranty of any kind. We do not accept any responsibility or liability for the accuracy, content, images, videos, licenses, completeness, legality, or reliability of the information contained in this article. If you have any complaints or copyright issues related to this article, kindly contact the author above.