Dragonfly Fund

Opening a Donor Advised Fund is often the optimal option for families trying to organize their finances, streamline their philanthropy, and take advantage of tax benefits. That’s what brought one Davis couple to the Sacramento Region Community Foundation; they wanted to learn how they could make a greater impact through giving and sought an option that could provide anonymity.

“I suspected that we could donate substantially more than we were, but we wanted to make sure to do it in a sustainable way,” they shared. The donor and their spouse were raised to believe in supporting their community, whatever form that may take. “Giving money when we can afford it is a no-brainer.”

Familiar with the Foundation through Big Day of Giving, the family reached out in 2024 to explore opening a charitable fund. After learning more about the Foundation’s investment strategies and fund options, it became clear to them that a Donor Advised Fund was the way to go. “Our financial advisor suggested that a Donor Advised Fund would be easy to track, allow anonymity, and enable us to give more due to the tax advantages.”

Beyond the built-in benefits of opening a Donor Advised Fund, the Foundation provided a benefit to the couple that they couldn’t get with financial institutions: a focus on the community. “I love that the Foundation is a local, community-based organization. It does a great job of paying attention to local issues and nonprofits. The staff is friendly and helpful, and they make it so easy to give—and remain anonymous!”

Anonymity is one attribute some fundholders cherish about the Foundation. While philanthropy drives individuals to give for a variety of reasons, sometimes they prefer that their family or community are not aware of their charitable giving. Thankfully, anonymity at the Foundation provided the family with exactly what they needed to grow their giving.

“We balance supporting organizations that serve people in need, the environment, and the arts,” the fundholder shared. A few specific groups they love and support regularly are Yolo Crisis Nursery, Davis Community Chorale, and Sacramento Splash.

In addition to opening a fund as part of a larger philanthropic movement in the region, these fundholders also recognized the great tax benefit and administrative support the Foundation offers. “It’s much easier to track grants out of one fund than individual donations to multiple nonprofit organizations. Being anonymous makes it far more comfortable to donate generously within our community.” Anonymity can also reduce the amount of solicitations you receive from your favorite organizations. The Foundation team encourages donors to name their funds after something meaningful to them. Oftentimes, this manifests in funds named after families or pets. This family named their Donor Advised Fund the Dragonfly Fund to honor their daughters’ love of the insect. The family felt that opening a Donor Advised Fund could serve as a model in philanthropy for their young children. “We hope our kids learn the same lesson—that giving to the community is an essential part of being human.”