Make a lasting impact.
Partnering with the Hawai‘i Community Foundation makes it easy to realize your philanthropic goals through a charitable fund. A simple fund agreement and an initial tax-deductible gift are all you need to create your personal giving vehicle. Our team of philanthropic advisors can discuss with you the benefits of the various types of funds listed below and answer any questions you may have.
Create a Donor Advised Fund
A donor advised fund (often referred to as a DAF) at the Hawai‘i Community Foundation is an extremely popular philanthropic vehicle that is simple to create, convenient to manage, and flexible enough to offer you as much hands-on involvement as you would like.
You contribute to the fund when it is financially most suitable, receive a tax benefit, and then make grants to qualifying charities from the fund you set up—without the administrative burden and expense of a private foundation. Every donor advised fund is named by its creators. Contributions to donor advised funds at HCF are deductible as gifts to a public charity, and you won’t be liable for capital gains tax when the fund sells appreciated assets.
How does it work?
- Set up your fund
You make a gift of cash or other assets to establish your fund at HCF. You choose the name for your fund and select a fund advisor—that can be you, or another one or two individuals whom you name.
- Receive a tax deduction
You receive a tax deduction in the year contributions are made.
- Fund growth
Your funds are invested with the intention to protect principal, generate income, and ensure capital growth to benefit your charitable purpose.
- Recommend grants
You recommend grants from your donor advised fund to support local or national charitable organizations. After our review and approval, we make the grants in your fund’s name.
What are the benefits of creating my donor advised fund at HCF?
A philanthropic advisor will be your personal guide. We will research charitable organizations and answer your questions to help tailor your giving plan and support your grantmaking. Online tools allow you to manage your fund 24/7, if you choose.
With offices across the state, we know the community. We know firsthand the changing needs of each island community, which nonprofits are effectively addressing those needs, and how you can maximize the impact of your giving.
Philanthropic regulations can get complicated—you don’t have to go it alone. Our experience ensuring federal and state compliance, relieving you of administrative burdens, and our scale enables us to service your fund at a very reasonable cost.
You’re in good company. You will join a large network of individuals, families, and businesses who are deeply committed to Hawai‘i. You can be acknowledged for our philanthropy in our publications and invited to donor events.
How much input do I have?
Once the fund is established, you recommend grants to charities of your choice. These charities are then vetted by HCF to ensure they meet the legal requirements. You can also choose to give alongside other donors through existing HCF initiatives and pooled funding opportunities that further leverage your grants.
When you establish your donor advised fund – or at a later point – you might consider making a bequest to your fund or to the Hawai‘i Community Foundation. That way, your gift will benefit charitable organizations during and after your lifetime. It’s up to you.
The basics of a donor advised fund
HCF donor advised funds are established with a minimum gift of $10,000 and additional resources can be added to the fund at any point. The minimum grant amount is $250 and you can recommend grants at any time. If the fund balance drops below $5,000, we ask that you plan to add to the fund or spend out the fund within 12 months. If you hope to have multiple donors support the fund, talk with us about potential structures and restrictions.
The annual fee for a donor advised fund—covering the administrative costs and support services such as donor consulting, workshops, and community work—is 1% with a minimum fee of $250. Additions to non-endowed (non-permanent) funds are subject to a one-time 2% fee on the contribution. (Fees are subject to change without prior notice.)
Create a Scholarship Fund
A scholarship fund at Hawai‘i Community Foundation can change a student’s life for the better by helping make education a reality. Choose the name you would like for your fund and HCF staff will guide you in creating scholarship criteria that helps those with the greatest challenges further their education and build better lives for themselves, their families, and their communities. Email us for more information at donorservices@hcf-hawaii.org.
Create a Field of Interest Fund
A field of interest fund at Hawai‘i Community Foundation allows you to identify and support a broad charitable purpose or category of interest, such as the arts, education, or human services, or a particular geographic area of Hawai‘i.
With a field of interest fund, you can rely on HCF to identify organizations capable of making the greatest impact in the specific issue or region of particular importance to you. Field of interest funds are especially good for legacy gifts.
Create a Designated Fund
A designated fund at Hawai‘i Community Foundation is a way to support specific nonprofits for generations to come. Many donors recognize their gifts are a critical resource for the nonprofit organizations they care about. Designated funds name specific nonprofits that are the beneficiaries of their grants and can ensure that giving in the donor’s name continues in perpetuity.
You choose the name for your designated fund and select the organization(s) you would like to support.
Contact us
Interested in starting a fund? We have philanthropic advisors across the state who can help you. Contact our island teams or our donor services department at 808-566-5560 or email donorservices@hcf-hawaii.org.