Enter Fund Details
Example Data Table
| Scenario | AGI | Gift | Asset Basis | Tax Rate | Return | Grant Rate |
|---|---|---|---|---|---|---|
| Cash gift | $180,000 | $25,000 | $25,000 | 32% | 5% | 10% |
| Stock gift | $180,000 | $25,000 | $12,000 | 32% | 5% | 10% |
| Bunched gift | $220,000 | $60,000 | $30,000 | 35% | 6% | 12% |
Formula Used
Deduction limit = AGI × selected deduction limit rate.
Current deduction = smaller of contribution amount and deduction limit.
Carryforward = contribution amount − current deduction.
Extra deduction = max(0, other itemized deductions + current deduction − standard deduction).
Income tax savings = extra deduction × marginal tax rate.
Capital gain tax avoided = max(0, fair value − basis) × capital gain tax rate.
Fund growth = balance × expected return rate.
Annual fee = balance after growth × admin fee rate.
Grant = available balance × annual grant rate.
How to Use This Calculator
Enter your adjusted gross income first. Add the planned gift value. Select cash or appreciated asset. Enter the cost basis when using stock or another asset. Add your tax rates and deduction limits. Then set the expected fund return, fee, grant rate, and projection period.
Press calculate. The result appears above the form. Review the deduction, carryforward, tax benefit, grants, and ending fund balance. Use the CSV or PDF buttons to save the projection.
Donor Advised Fund Planning Guide
What This Calculator Shows
A donor advised fund can help organize charitable giving. It lets a donor make a contribution now. The donor may recommend grants later. This calculator estimates the first year deduction. It also projects fund growth, fees, grants, and ending value. The goal is simple. You can compare gift size, asset type, tax rate, and grant pace in one place.
Why Asset Type Matters
Cash gifts are easy to model. Appreciated asset gifts need more detail. The calculator asks for fair value and basis. The difference is the built in gain. When the asset is donated, the avoided capital gain tax may become a major benefit. This is only an estimate. Real results depend on tax rules, fund policies, and your full return.
Deduction and Carryforward
The tool uses adjustable deduction limits. This makes it flexible for different planning assumptions. The current deduction is capped by income and the chosen limit rate. Any excess becomes a carryforward estimate. Carryforward planning is useful when one large gift is made in a high income year. It may also help when a donor bunches gifts.
Grant and Growth Projection
The projection starts with the contribution amount. Each year applies the selected grant timing. It then applies expected investment return and administrative fee. Grants reduce the balance. Growth increases it. Fees reduce it. The table shows each step by year. This helps donors see how long the fund may support charities.
Using Bunching Ideas
Bunching means giving several years of donations in one year. The donor may itemize in the gift year. Later years may use the standard deduction. This calculator shows an average annual gift amount for the bunching period. It does not replace tax software. It gives a planning view before a donor speaks with an adviser.
Reading the Result
Start with the current deduction. Then review income tax savings. Next check capital gain tax avoided. The total estimated tax benefit lowers the apparent after tax gift cost. Finally, study total projected grants and ending balance. A strong plan balances tax value, charity timing, investment risk, and personal giving goals.
FAQs
What is a donor advised fund?
It is a charitable account. A donor contributes assets, may receive a deduction, and later recommends grants to qualified charities.
Does this calculator give tax advice?
No. It gives estimates only. Tax rules vary by year, asset, income level, and personal filing details.
Why enter adjusted gross income?
Adjusted gross income helps estimate deduction limits. Many charitable deduction limits are calculated as a percentage of income.
Why enter asset basis?
Basis helps estimate built in gain. This matters when donating appreciated stock, funds, or other capital assets.
What is carryforward?
Carryforward is the contribution amount not used in the current year estimate. It may be usable in future years.
Why compare standard and itemized deductions?
The tax value often depends on whether itemized deductions exceed the standard deduction. The calculator estimates that difference.
What does grant rate mean?
Grant rate is the percentage of the fund balance you expect to recommend as charitable grants each year.
Can fees and returns change?
Yes. Investment returns and fees can change over time. Use conservative assumptions for a safer planning estimate.