In this week’s Wealth Matters column, Paul Sullivan explores a question that many philanthropy-minded people are pondering: should we keep the private foundation going, or switch to a donor-advised fund?
In the wake of the financial crisis and the Internal Revenue Service’s increased scrutiny of private foundations, many wealthy families are reviewing their options. Donor-advised funds provide less control over how the money is invested and given away. But private foundations can be costly to keep running, especially when asset values have taken a turn for the worse.
Have you found yourself in this situation? What helped you make a decision? Please share your thoughts in the comment section below.