Comparing Four Approaches to Giving

		Community Foundation Donor Advised Fund	Community Foundation Supporting Organization	Commercial Gift Fund	Private Foundation
Donor Involvement		Donor recommends grants to qualified nonprofit groups.  Grants are approved by the Community Foundation Board of Directors.	Community Foundation and donor work together to appoint board.  Supporting Organization board controls investments and grantmaking.	Donor recommends grants to qualified nonprofit groups.  Grants are approved by trustees of the gift fund.	Donor appoints board, which controls investments and grantmaking.
Tax Status		Public Charity.	Public Charity.	Public Charity.	Private Charity.
Excise Taxes		No.	No.	No.	Excise tax of 1% to 2% of net investment income annually.
Income Tax Deductions for Gifts of: Cash Publicly traded stock Real Estate and closely held stock		Up to 50% of adjusted gross income. Fair market value up to 30% of adjusted gross income. Fair market value up to 30% of adjusted gross income.	Up to 50% of adjusted gross income. Fair market value up to 30% of adjusted gross income. Fair market value up to 30% of adjusted gross income.	Up to 50% of adjusted gross income. Fair market value up to 30% of adjusted gross income. Fair market value up to 30% of adjusted gross income.	Up to 30% of adjusted gross income. Fair market value up to 20% of adjusted gross income. Cost basis up to 20% of adjusted gross income.
Grantmaking Support		Professional staff is available to help identify and assess grantees, provide input on community needs, and verify nonprofit status of groups.	Professional staff available to help identify and assess grantees, provide input on community needs, and verify nonprofit status of groups.	Almost none. Corporate headquarters are not community based.	Donors must arrange and support their own grantmaking and monitoring structure.
Start-up Costs Initial costs Minimum contribution		None. $10,000	Costs kept to a minimum through collaboration with the Community Foundation. Typically millions of dollars.	None. Varies, but often thousands of dollars.	Several thousand dollars for legal and accounting expenses and filing fees. Typically millions of dollars.
Administrative Requirements Ongoing costs Reporting		Pooled administration; 1% annual fee. No additional reporting.	Through collaboration with the Community Foundation, fee is kept to a minimum. The Community Foundation files annual tax forms.	Varies, may include hidden fees. Financial institution handles reporting.	Several thousand dollars annually for legal and accounting expenses and filing fees. Annual tax forms must be filed by donor.