Establishment and operation

	Donor-Advised Fund at the NCCF	Private Foundation
Recommended Size	$25,000 minimum, as of July 1	$10 million recommended minimum to justify operating costs
Start-up and initial costs	None	All legal, accounting and filing fees
Ongoing administration and annual costs	1% annual fee (may be negotiated favorably for funds above $1 million)	All costs (legal, accounting, payroll, audit) are incurred by private foundation

Tax considerations

Excise taxes	None	Subject to 1-2% annually
Tax status and filings	Qualifies under NCCF’s public charity status; no filing necessary	Must file for private foundation tax-exempt status
Excise taxes	None	Subject to 1-2% annually
Tax-deducibility of gifts Cash Appreciated stock (held more than one year) Real estate and closely held stock (held more than one year)	Deduction of up to 60% of adjusted gross income Fair market value up to 30% of adjusted gross income Fair market value up to 30% of adjusted gross income	Deduction limited 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 and requirements

Grantmaking support	NCCF provides due diligence review of grantees recommended by donor. Research on specific non-profits provided upon request.	Donor must establish and oversee all evaluation, monitoring and reporting procedures.
Payout requirements	None. Grant recommendations of 5% recommended but no government-required payout	Annual minimum payout of 5% of assets required (subject to penalty on undistributed amount)

Investment management

Investments

Fund assets professionally invested through NCCF. Donor may choose from selection of NCCF asset managers.

Must secure and oversee own investments.  Investment management fees the responsibility of the private foundation

Donor involvement and privacy

Donor involvement	Donor recommends grants to qualified nonprofits. Grants are approved by NCCF.	Donor appoints initial board of a nonprofit corporation.  Board controls investment and grantmaking.
Privacy and confidentiality	Fund may be named or anonymous.  Contributions, assets and grants may be kept confidential.	Detailed public disclosure annually from posting of IRS 990PF, which makes public all assets and grants.