Donor Advised Funds and Your Personality Type
Personality type matters, even when it comes to supporting community causes. Your "social impact personality type" is especially important as you gear up to structure your Donor Advised Fund at the Jewish Community Foundation. A Donor Advised Fund is a terrific vehicle to help you and your family organize gifts to charities, whether you identify as an "investor," a "connector," or an "activator" personality type. Read on to discover your personality type.
Why should you ask the professionals at the Jewish Community Foundation about opening a Donor Advised Fund in the first place, though? Donor Advised Funds are the fastest growing philanthropic planning vehicle in today's wealth management marketplace. Donor Advised Funds are popular because they allow an individual or family to make a tax-deductible transfer that qualifies as a charitable contribution, and then later recommend gifts to favorite charities from the fund when the time is right. A Donor Advised Fund operates a lot like a checking account just for charity, except it’s established according to the IRS guidelines that create the tax advantages. Plus, when you establish a Donor Advised Fund at the Foundation, you know you are setting up your charitable giving to make the biggest impact on the community through the causes you love the most.
So what is your social impact personality type and how does it fit into the equation?
The Investor Social Impact Personality
Investors prefer to engage in social impact activities that are independent and do not require scheduling dedicated time or working directly with others in pursuit of a charitable endeavor.
People who lean toward the investor personality type are typically a good match for setting up a Donor Advised Fund to maximize tax benefits. If you’re the investor type, you probably enjoy acting independently as much as you enjoy "doing good" with a group. You look at the bottom line when you invest in the community, both from the perspective of your own financial objectives as well as those of the nonprofit organizations you support. In other words, you’re looking at charitable giving and social impact as an investment to improve the lives of others, and you want to maximize results not only for the people you intend to help, but also for your own tax and estate planning portfolio. Investors love the elegance of the Donor Advised Fund to achieve many goals through one vehicle.
The Connector Social Impact Personality
Connectors prefer to engage in social impact activities that are social in nature, involving the opportunity to get together with others.
Connectors love Donor Advised Funds because they enjoy the opportunities through the Foundation to get together with other donors and involve their friends and family members in their favorite charitable pursuits.
The Activator Social Impact Personality
Activators are passionate about participating in the causes they care about most, and they tend to focus on "changing the world" and impacting one or more social issues on a broad scale.
Activators, who like to focus on a particular cause, are well suited for a Donor Advised Fund because they can gain valuable insights about community impact by working closely with the team at the Foundation.
Regardless of your personality type, the Foundation can help create a customized strategy to achieve your personal charitable giving goals. Contact us to learn more and let us know if you're interested in a free book about social impact personality types.