Fall 2024
Read on for the latest edition of Tartan Traditions and learn how incorporating a donor-advised fund into your charitable investments can help push the important work done at Carnegie Mellon forward, all while diversifying your finances and earning tax benefits.
Giving Since The Beginning
A donor-advised fund adds flexibility to CMU alumnus Bob Rifkin’s charitable giving
It wasn’t until recently that Bob, who earned his MBA from Carnegie Mellon University’s Tepper School of Business in 1976, made a more substantial commitment to CMU — he named the university as an estate beneficiary of his donor-advised fund (DAF).
Bob started work at Texas Instruments in Dallas, where he ultimately was employed for 44 years, immediately after receiving his master's degree from CMU. It didn't take him long to decide that he wanted to make an impact at the schools he had attended.
“You get solicitation letters and a lot of them you throw away,” Bob says. “But a lot of them, you say, ‘Well, I believe in this cause — why would I say no?’”
Where do I kind of feel an obligation to pay back?’ And certainly, the universities I went to would be very, very high on that list.
Now and Later
With flexible options that make supporting Carnegie Mellon and other favorite organizations easy and quick, a donor-advised fund (DAF) offers advantages that may make an excellent vehicle for donors looking to impact their favorite organizations, now and in the future.
DAFs are managed by public charities who sponsor such programs. Think of it like a savings account for your philanthropic goals. With a DAF, you can make tax-smart contributions, receive an immediate tax deduction and then recommend grants from the fund to institutions like CMU, all while maximizing your immediate and long-term philanthropic impact.
Already have your own DAF? Don’t forget to appoint successor advisors to your fund, or designate your favorite charities to receive an estate grant from your fund in coordination with your overall legacy plans.
DAF advantages include:
Taking Stock
Did you know that gifting appreciated stock to CMU can be a financially advantageous and tax-savvy way to make an impact?
Tax deduction. If you’ve held the stock for more than a year and gift the stock directly to CMU, you may be eligible to claim a charitable deduction of the full fair market value of the shares.
No gains. By gifting the shares directly to CMU, you’ll avoid capital gains tax on the transfer.
Support CMU. CMU then sells the shares and applies that value to the university priority that you have designated.
