Contributions can be made when an account is opened, as a grant is recommended, or at any other time. When a contribution is received from a Donor without an account, an account will be created automatically for the Donor, as long as the Donor agrees to the terms and conditions outlined in this Guide.
CONTRIBUTIONS ARE IRREVOCABLE AND UNCONDITIONAL
Contributions are not refundable and are assets owned and held by the Fund. The Fund retains exclusive legal control over all contributed assets and any future related earnings.
Furthermore, Donors cannot impose conditions or other restrictions that prevent the Fund from freely and effectively using the contribution to further its charitable mission and comply with all legal and regulatory requirements.
ELIGIBLE TYPES OF CONTRIBUTIONS
The Fund accepts cash and cash equivalents in US dollars, drawn from US financial institutions, and delivered by electronic funds transfer, payroll deduction, debit card, or credit card.
The Fund reserves the right to review and reject any contribution to the Program for any reason whatsoever. Any contribution that is not accepted will be returned as soon as possible.
No minimums apply to the initial contribution or to any subsequent contributions.
The Fund generally processes contributions on the same day the funds are received unless it is a weekend or bank holiday. Funds processed by partners made be subject to a different schedule per the partners terms. The Fund is not liable for the failure to complete an electronic funds transfer or other Donor instruction.
The Program will email a receipt for any funds received on the same day, or within a few business days after the funds have cleared unless the giving was done through a partner, in which case the partner may be issuing a receipt on behalf of DonateWell. The email will serve as a substantiation letter, gift receipt, or tax receipt and should be retained for tax reporting purposes. Donors should read all confirmation letters carefully. Any errors must be reported immediately to the Program.
Primary Account Holders may receive notification of third-party contributions, such as an employer match, but such notification is not a tax receipt.
This Guide is not intended to provide legal or tax advice and considers only US federal taxes. Rules and regulations regarding tax deductions for charitable giving vary at the state level. DonateWell strongly encourages Donors to consult with a qualified tax advisor for guidance on how charitable giving will impact their federal, state, and local tax liability.
DonateWell donor-advised fund program is eligible to receive tax-deductible contributions. In general, a Donor who itemizes deductions on a federal tax return may claim a contribution to a DAF account as a deduction in the year the contribution is made, subject to certain limitations. With the exception of contributions, however, DAF account activity has no impact on any Donor’s tax liability. Because the Fund owns the assets once they have been contributed to a DAF account, for example, any investment gains or losses or interest accrued by that account will have no tax consequences for Account Holders. In addition, grants subsequently made from a DAF account to a charitable organization are not tax deductible, as the deduction was already taken when the contribution was made to the DAF account.
Please also note that Account Holders may not claim a tax deduction for contributions to their account(s) by other Donors, such as an employer match, or a gift card.
With cash and cash equivalents, a Donor is entitled to claim the exact amount of the contribution as a deduction.
Contributions to the Program and any associated earnings are not part of a Donor’s taxable estate and are not subject to either estate tax or probate. Any balance that remains in a DAF account upon the Primary Account Holder’s death may not be appointed, transferred by will, or bequeathed to any person or organization.