Even the fees support the community! How to transfer your donor-advised fund to TCFHR
You care about philanthropic giving and have established a donor-advised fund at a national charitable sponsor or commercial provider.
The structure works well but you’ve recently learned that if that fund moved into a community foundation, even the fees you are paying for management of the fund could benefit the community.
Those fees would go towards supporting administration of scholarship and grant programs, benefiting local students and nonprofits, as well as other programs supporting local literacy, like Dolly Parton’s Imagination Library, and the Great Community Give event, which helps nonprofits fundraise.
So how easy is it to move your fund over to The Community Foundation of Harrisonburg and Rockingham?
It’s easier than people expect. Here is a simple guide to the process.
Step 1: Start a conversation with us
The first step is simply to reach out. The community foundation team can learn about your charitable interests, answer questions, and explain how a donor-advised fund at the community foundation can support your goals. Many donors are surprised to learn that a community foundation offers not only the convenience of a donor-advised fund, but also local knowledge, philanthropic expertise, and a long-term commitment to strengthening the community.
Step 2: Map out a fund that reflects your values
One of the most enjoyable parts of the process is designing a fund that reflects your family’s charitable vision. You can choose a fund name, designate fund advisors, and discuss how future generations might become involved. Many donors use this opportunity to create a structure that encourages family conversations about generosity and community impact, tapping into the community foundation’s resources and expertise.
Step 3: Establish your new donor-advised fund
The community foundation will provide a simple fund agreement that outlines how the fund will operate and who may recommend grants to nonprofit organizations. The process is typically straightforward, and the community foundation team will guide you through each step.
Step 4: Recommend a grant to make the transfer from your current donor-advised fund
Once your new fund is established you can contact your current donor-advised fund provider and recommend a grant to the community foundation for the benefit of your newly created fund. In many cases, this can be completed online and requires only a few minutes.
Step 5: Confirm the details
To help ensure a smooth transfer, be sure to use the exact name of your new fund and any instructions provided by the community foundation team.
Step 6: Decide how much to transfer
Some donors transfer the entire balance of an existing donor-advised fund at once. Others prefer to transfer a portion first and move additional assets later. There is no one-size-fits-all approach. The right decision depends on your charitable goals, giving plans, and personal preferences. Some donors even choose to maintain their existing donor-advised fund at a commercial provider while also establishing a separate locally-focused donor-advised fund or other charitable fund at the community foundation.
Step 7: Put your philanthropy to work in the community
After the transfer is complete, you can begin recommending grants from your community foundation donor-advised fund. Our team is always here as a sounding board and resource if you have questions! You may already support several favorite local nonprofits, and our team is happy to discuss both these organizations and new organizations that might have caught your attention. Many donors find that this deeper connection to the local community—and to professionals who understand it—becomes one of the most rewarding aspects of their giving.
The upshot here is that any donor-advised fund can help you organize and simplify your charitable giving. By moving your fund to the community foundation, you also gain a local partner committed to helping you make a lasting difference close to home. Contact us if you’d like to explore a transfer.
