A donor-advised fund, frequently referred to as a DAF, is often described as a charitable investment account. When you contribute to a DAF at a public charity, you are typically eligible for an immediate tax deduction. Those funds are then invested within the account for tax-free growth until you recommend grants to any qualified public charity. There are many great options for setting up a DAF. In fact, your current bank or retirement account trustee may have a public charity set up for this very purpose.
Purdue Research Foundation also has the ability to set up DAFs and may be the perfect option for you if at least half of your regular donations are made to Purdue. The Purdue Donor-Advised Fund allows you to make a gift and establish your fund when it makes the most financial sense for you, and then make grants to Purdue and other qualified charities when the timing is right. The Purdue Donor-Advised Fund currently requires that half of each distribution be made to support the mission of Purdue University, but the remaining half can be directed to any qualified charity.