Create a Charitable Fund

A qualified charitable distribution (QCD) is a direct transfer of funds from an eligible individual retirement account to a qualified charitable organization. For eligible individuals, a QCD can satisfy all or part of a required minimum distribution (RMD) and allow the donated amount to be excluded from taxable income. Among the many options available, QCDs can be valuable charitable planning strategies for charitable-minded individuals or families, specifically for those at age 70 ½ or older, who wish to support charitable organizations – all while managing their taxable income.

The 2026 QCD limit is $111,000 per individual – an increase from $108,000 in 2025. A QCD and required minimum distribution can work together: an eligible QCD can satisfy all or part of an individual's RMD for the year. Connect with our team at the Community Foundation of Sarasota County to learn more about 2026 QCD limits and the array of options for charitable giving.

A qualified charitable distribution can satisfy all or part of an individual’s required minimum distribution, provided the QCD meets the applicable requirements. For advisors’ clients who are charitably inclined, this can make a QCD a valuable part of their requirement and charitable giving strategy. The Community Foundation of Sarasota County can work alongside an individual or family’s trusted professionals to help match their generous intentions with an effective giving plan.

An individual who is at least age 70 ½ can make a qualified charitable distribution (QCD) from an IRA before required minimum distributions (RMDs) begin. While that QCD will not satisfy a required minimum distribution that has not yet been required, it can create an opportunity to incorporate charitable giving into retirement and tax planning earlier. The Community Foundation of Sarasota County not only offers charitable giving strategies for individuals and families but can also provide an array of options and expertise regarding charitable giving strategies for financial advisors and their clients.

Yes, a QCD can be made directly to the Community Foundation of Sarasota County if the gift meets IRS requirements for a qualified charitable distribution. It can be an effective charitable giving strategy for charitable-minded individuals or donors age 70 ½ or older, allowing IRA assets to support charitable organizations while potentially satisfying all or part of a required minimum distribution. Whether you are looking to give on your own or are the advisor to an individual who is motivated to make a difference, we can partner with you to determine how a QCD fits into a broader charitable giving plan.

To make a QCD to the Community Foundation of Sarasota County, donors should work directly with their IRA custodian to initiate the transfer. Every charitable giving plan is different, which is why we encourage professionals and their clients to connect with the Community Foundation’s philanthropic advisors before making a gift. Our team can provide the information, expertise and support needed to ensure each gift aligns with the donor’s charitable goals.

Generally, a QCD cannot be made to a donor-advised fund because IRS rules prohibit QCDs from being used to fund donor-advised funds. With regard to charitable giving strategies for ages 70 ½ and older, and through our partnerships with professionals who are overseeing their clients’ wealth, this distinction is important in determining which assets and charitable vehicles may be appropriate – and the Community Foundation of Sarasota can help advisors and individuals evaluate alternative strategies.

IRS rules prohibit QCDs from being made to a donor-advised fund, so there is not a direct process for transferring IRA assets to a donor-advised fund as a QCD. Conversely, you can make a qualified charitable distribution from IRA funds, with the 2026 QCD limit being $111,000 per individual per year. Whether you are an advisor or individual, the Community Foundation of Sarasota County can provide information, expertise and support in exploring charitable giving strategies for charitable-minded individuals or donors and charitable giving strategies for financial advisors.

As charitable giving strategies for charitable-minded individuals or donors, QCDs are generally excluded from taxable income when made directly from an eligible IRA to a qualified charity, while a charitable deduction typically reduces taxable income when a taxpayer makes a qualifying charitable contribution and meets the applicable deduction requirements. A donor cannot also claim a charitable deduction for the portion of a QCD that is excluded from income. Your advisor, along with our team at the Community Foundation of Sarasota County, can help you understand the distinctions – and create a plan for charitable giving that fits your goals.

The deadline for a qualified charitable distribution in 2026 is Dec. 31 for it to count toward your charitable giving for this year and, if applicable, required minimum distribution. If you are a financial advisor or other professional overseeing your clients’ wealth, it’s important to allow enough time for the IRA custodian and charity to process the transaction – because the transfer must be made directly from the IRA to the qualified charity.

To ensure a QCD qualifies for the current year, donors should initiate the distribution well in advance of Dec. 31 to allow sufficient time for the IRA custodian to process the distribution and the Community Foundation of Sarasota County to receive the gift. Our team at the Community Foundation works with both advisors and individual investors to explore year-end charitable giving strategies in 2026 and beyond.

When exploring the best year-end charitable giving strategies for 2026, individual donors and wealth management teams should consider their specific charitable goals alongside their tax situation, income, retirement distributions and what assets they have available. Potential strategies may include:

• Making a QCD: For eligible individuals, a qualified charitable distribution in 2026 can support charitable goals while satisfying all or part of a required minimum distribution.
• Donating appreciated securities: Gifting appreciated stock to charitable organizations can allow you to support causes you believe in while potentially avoiding capital gains tax on the appreciation.
• Complex charitable gifts: Real estate, privately held business interests and other noncash assets can provide meaningful opportunities for high-net-worth individuals with significant or concentrated holdings. Because these gifts often require additional review, valuation, and coordination, donors and their advisors should begin the process well in advance of year-end to allow sufficient time for evaluation and acceptance.
• Donor-advised funds: These funds allow donors to make tax-deductible contributions to a personal charitable fund – and it’s the Community Foundation of Sarasota County’s most flexible option.
• Charitable estate plans: Year-end planning can also present opportunities to review beneficiary designations, charitable bequests and other long-term intentions for giving.

It all depends on the specific assets and tax situation in question. Both cash and publicly traded securities can be contributed to DAFs. For clients who hold highly appreciated, low-basis stock – or have concentrated positions they are looking to diversify – donating securities directly to charity may be more tax-efficient than giving cash.

When securities have been held long-term, a direct charitable gift can generally allow the donor to avoid recognizing the capital gain while potentially qualifying for a charitable deduction based on the asset’s fair market value, subject to applicable tax rules and limitations. By comparison, selling securities first and donating the cash may trigger capital gains tax. The right strategy depends on the client’s overall financial, tax and charitable goals. The Community Foundation of Sarasota County works alongside advisors, CPAs and estate planning attorneys gifts of appreciated securities and other assets to determine which charitable vehicles may be best to support a client’s objectives.

Yes, you can donate appreciated securities to charity through the Community Foundation of Sarasota County. If you are part of a client’s wealth management team, we can work with you to facilitate the transfer and determine how the gift can have maximum impact. To fully explore all available charitable giving strategies for financial advisors, connect with our experienced philanthropy team.

When donating real estate to charity, clients may consider appreciated, mortgage-free property that has been owned for more than a year. The Community Foundation of Sarasota County can accept qualifying real estate gifts, with a qualified appraisal required to establish the property’s fair market value for charitable deduction purposes. If you are part of a client’s wealth management team and exploring charitable giving options, it’s important to involve the Community Foundation early in the process.

Donating privately held business interests is a valuable charitable planning strategy, when you, as an individual donor, or your client – if you are on a wealth management team – is considering a business sale or succession. The Community Foundation of Sarasota County can accept privately held business interests. If you are a part of a client’s wealth management team and exploring charitable giving options, it’s important to involve the Community Foundation early in the process.

Charitable planning should begin well before a business sale is underway – ideally before a buyer is identified or negotiations begin. If you are an advisor or part of a wealth management team, early planning gives you and your client necessary time to evaluate donating privately held business interests, charitable vehicles, valuation and tax considerations prior to the transaction being legally or practically committed. The Community Foundation of Sarasota County can work alongside any individual or family’s team early in the process to help structure the charitable component of a sale.

When comparing a donor-advised fund vs. private foundation, the differences generally come down to control, administration and complexity. A donor-advised fund is held and administered by a sponsoring public charity, while a private foundation is a separate charitable entity typically established and funded by an individual, family or corporation and subject to additional reporting requirements and regulatory rules. For families looking for flexibility with their giving, along with support and philanthropic expertise, the Community Foundation of Sarasota County can help their wealth management team evaluate whether a donor-advised fund or another structure is right for them.

If you are comparing a community foundation vs. donor advised fund, it’s important to understand that organizations, like the Community Foundation of Sarasota County, combine donor-advised giving with deep local knowledge, relationships within the community and philanthropic expertise, painting a clear picture for donors and wealth management teams of where needs are – and how to direct their giving for greater impact. That has been who we are since our founding in 1979 by the Southwest Florida Estate Planning Council, and now with assets of $605 million in over 1,600 charitable funds.

For individual donors and families who are looking for philanthropic opportunities, the Community Foundation also works alongside the professionals you trust to provide highly personal support and guidance on complex charitable gifts, donating appreciated stock to charity, charitable giving strategies for charitable-minded individuals or donors and other charitable strategies.

For clients considering charitable giving through a community foundation, the right fund structure is dependent on their philanthropic goals, the assets they wish to give, the level of involvement they wish to have and the impact they envision making. The Community Foundation of Sarasota County regularly provides guidance on charitable giving strategies for financial advisors and other professionals, and will work alongside clients’ wealth management teams to evaluate options, including donor-advised and other charitable funds. Connect with our philanthropy team to learn more about how the Community Foundation partners closely with professionals – and how we can help your client add to their legacy.

A financial advisor should involve the Community Foundation of Sarasota County when a client first begins considering charitable giving as part of their broader financial or estate plan. The earlier our team is participating in conversations, the better – especially if your client is looking into complex charitable gifts, establishing a fund or searching for guidance on how to maximize the impact of their generosity.

The Community Foundation works as an extension of the client’s trusted wealth management team, bringing in charitable expertise to conversations that already involve financial, tax and estate planning. Our team discerns the best charitable strategy for your client’s generosity based on tax law, whether they are donating appreciated stock to charity, donating real estate to charity, exploring options for complex charitable gifts, comparing a donor-advised fund vs. private foundation or have other goals in mind.

Financial advisors, CPAs and estate-planning attorneys remain in control of their client relationships while the Community Foundation translates your clients’ philanthropic goals into effective avenues for making the most impact – both for their legacy and within the community.

Yes, the Community Foundation of Sarasota County works with an individual or family’s financial advisor as a supportive part of their wealth management team, providing charitable administration and philanthropic expertise. Our approach is designed to complement the advisor relationship and help professionals develop charitable and legacy planning strategies that strengthen the relationships they have built with their clients.

In certain circumstances, a family’s financial advisor may also have an opportunity to remain involved in the management of assets held at the Community Foundation. Investment minimums, our Investment Policy Statement and other requirements apply, so we encourage advisors to contact our team to learn more about the process and explore whether this approach may be appropriate for their clients. For families establishing a long-term charitable fund, this can provide an opportunity for the advisor relationship to continue across generations.

If you are part of an individual or family’s wealth management team, your client can create a charitable legacy planning strategy through the Community Foundation of Sarasota County by establishing a fund or incorporating charitable gifts into their estate plan. There are many ways you and your client can create a charitable legacy planning strategy, leaning on our expertise and support, including, but not limited to:

• Establishing an endowed fund
• Creating a donor-advised fund
• Including the Community Foundation in charitable bequests or a beneficiary designation
• Donating appreciated securities to charity, donating real estate to charity or opting to give other complex charitable gifts

Donors can protect their charitable wishes by creating a clear plan, establishing how their charitable gifts should be used now – and in the future. The Community Foundation of Sarasota County offers philanthropic expertise and support for a range of charitable giving strategies for financial advisors, and other members of an individual or family’s wealth team, including charitable bequest planning via wills and living trusts. Donors can document their intentions while working with the Community Foundation, alongside their trusted professionals, to develop the framework for future generations to follow.

Families can involve children and grandchildren by giving them a meaningful role in deciding where and how the family gives. By taking this approach, philanthropy becomes a shared family value rather than the prerogative of one generation. With charitable giving through a community foundation, like the Community Foundation of Sarasota County, families can establish a fund, involve younger generations in grantmaking and introduce them to the needs of communities in Sarasota, Manatee, Charlotte and DeSoto counties. Making a difference today can leave a lasting impact for generations to come – especially when that generosity impacts people and families close to home.

Donors can start by looking beyond each organization’s mission to understand its leadership, financial health, measurable results and the role they play within the community. But that’s also our role at the Community Foundation of Sarasota County – we bring local knowledge and charitable expertise to the table to guide donors in identifying 501(c)(3) organizations meeting community needs head on and making a meaningful impact.

Our extensive directory of more than 700 local nonprofit organizations – known as The Giving Partner – offers extensive details on finances, governance and impact measurements. We also call upon an extensive Community Indicators Dashboard to guide charitable decisions informed by data about community needs and anticipated trends. For nearly 50 years, our work has been especially valuable for individuals and families – and their trusted professionals – in creating plans for charitable giving in Sarasota, Florida and beyond, matching both their values and real community needs.

The most pressing needs across Sarasota, Manatee, Charlotte and DeSoto counties span housing affordability, food availability, health and human services, education and workforce development, and support for communities’ vulnerable populations. Understanding both the needs of the region and the organizations meeting them head on matters when identifying how funds can be allocated to have maximum impact locally – and that’s where the Community Foundation of Sarasota County can help you, whether you are an individual donor or a professional advisor representing an entire family. We bring local knowledge, charitable expertise and an acute understanding of tax law, working alongside wealth management teams to find opportunities for their clients to make a difference and create a legacy now, and lasting for years to come.