Donor Information

Investments

Cidel’s philosophy is to provide clients with as much input and choice as possible in order to design and implement a structure designed to meet their charitable objectives.

Clients have invested with Cidel in order to access our “best in class” third party solutions rather than proprietary investment solutions. We continue this tradition by offering a range of investment options to Donor Advised Fund clients. Please contact us to learn more about these solutions.

Why a Donor Advised Fund?

Reduced costs

A private foundation is more costly to set up and run than a Donor Advised Fund. It entails ongoing accounting and legal costs.  For example, legal costs may include advice on acceptance of gifts other than cash, include the preparation of the trust deed, and accounting costs would include the annual preparation of financial statements and charity Information Returns. Cidel takes care of all the Family Donor Advised foundations obligations and reporting requirements to CRA.

Commitment of Time and Energy
A private foundation requires a person or group of persons who are prepared to take on the administrative burden of various tax and non-tax filing requirements, as well as the important ongoing task of granting funds generated within the foundation. We take on the administrative burdens, leaving you and your family the time and energy to address your charitable objectives.

Privacy
There are certain public disclosure requirements for all registered charities in Canada.  Visitors to the website of Charities Directorate at the CRA can recover the annual filings for any foundation and examine certain financial aspects of the private foundation.  For example, the names of the directors, the value of the assets held in the foundation, annual revenues and gifts made to the private foundation can be viewed.  When you hold your family philanthropic capital in your Family Fund at the Cidel Foundation, no one is able to determine the size of your funding amount or annual gift. Your privacy is assured!

Flexibility
You can change the name of your Family Fund and the charities you wish to support on an annual basis – flexibility is key in this Donor Advised Fund.

Time
Your Family Donor Advised Fund at the Cidel Foundation can be set up in a few days and for a fraction of the cost of establishing a private foundation.  A private foundation may take up to 9 months to register and will incur significant legal and accounting fees to become registered.  Should you decide to pursue a private foundation in the future, the Cidel Foundation will move the capital in your Family Fund to your private foundation, wherever possible.

What types of gifts will be accepted?

We are capable of accepting more than just cash as donations. Contact us for more information.

Tax planning

Donations to your Family Fund or your Corporate Fund receive a charitable donation tax credit.  For individuals, this tax receipt generates tax credits; for corporation, a tax deduction.

You can calculate your charitable donation tax credit by visiting the Charities Directorate website calculator at http://www.cra-arc.gc.ca/chrts-gvng/dnrs/svngs/clmng1b2-eng.html.

Fees

In order for you to maximize your charitable giving strategy, Donor Advised Fund fees are based on the underlying holdings and requirements including investment management and administration.

Comments are closed.