Sponsoring Charity: Renaissance Charitable Foundation
Client Growth Resource Guide – Internal Use Only
Updated 10/09/2023
Minimum initial contribution: $5,000
Minimum additional contributions: $1,000 (per individual donor)
Minimum grant amount: $250 (per individual grant check)
Minimum DAF balance: $2,000
How to best describe fees to advisors:
Each Donor-Advised Fund is subject to annual administration fees that are assessed quarterly. The assets in each DAF are typically invested in marketable securities and may also be charged a fee for investment. The Foundation reserves the right to charge additional fees for extraordinary or special services.
Each DAF at the Foundation is subject to annual administration fees as set forth below, with a minimum fee of $100 annually. This fee is prorated and charged against each fund’s account after the end of each quarter, based upon the fund balance on the last day of the quarter. The assets in each DAF, each of which may carry its own fees and underlying expenses, are typically invested in marketable securities.
Investments are considered SMAs or separately managed accounts. Each advisor needs to setup an investment account with RCF as the owner AND sign an Investment Policy Statement. The investment accounts are custodied by SEI.
Grant Advisors may recommend investments choice from the selected investment portfolios (comprised of SEI funds found in the DAF application – more detailed information on investment options must be obtained through SEI directly. (800) 734-1003).
If the advisor does not indicate a recommendation, your contribution in the Account will be allocated 100% to the Private Client - Moderate Strategy.
Note: The investment strategy can be changed by submitting an Investment Strategy Recommendation Change Form.
1) The DAF application is available on SEI’s internal site: “SEI Advisor Center”. The application is completed and sent to SEI for review.
2) SEI will establish the investment account and email the completed DAF application to Renaissance. The donor-advised fund is set up and placed in pending status.
3) Advisor works with client to fund account with initial contribution.
4) Once funding appears in the SEI account, this will be shown in the daily feed sent to Renaissance.
5) Renaissance will record the initial contribution on the DAF account and place the account Under Administration.
6) Donor(s) and Advisor(s) (if new to the program) will be sent a welcome email with login credentials for https://sei.donorfirstx.com. (NOTE: existing FAs will not receive an email, the account will simply show as active under their book of business).
If you have any account opening questions, call 1-800-SEI-1003
Obstacle:
There is no communication with the FA/client with status updates for this process. The only time we connect with the FA before an account being under admin is if there is an issue with the application or if an account goes unfunded for 90+ days upon discovery during a quarterly review.
If Client already has an account:
All funding should be sent directly to the SEI unless it’s coming from another DAF provider.
If it’s already an opened account when making additional contributions it should just fall into the already selected investment portfolios
Contributions are priced based on the average hi/low price for the contribution date, not the close amount.
Complex or hard-to-value assets may be contributed after review and approval. Please call 866-498-0668
Contribution Letters are uploaded annually the end of January to the donor portal.
Client Approved: Recommend a Grant Tutorial: https://help.donorfirstx.com/grant
As of 8/1/23, all grant recommendations must be submitted via the online portal. Donors complete a Grant Recommendation, which can be done online at sei.donorfirstx.com. If a donor sends a completed Grant Recommendation Form to the advisor, they can enter the information into their account online.
Grant Timeline:
Day 1: Client enters grant online.
Day 3: Vetting and due diligence have generally been completed by RCF.
Day 4: System shows “Divestment Pending”.
Day 5: Divestment instructions are sent to SEI to process. If cash is not available, the advisor on record will be notified to raise cash.
Day 7: Funds received at Renaissance.
Day 8: Funds applied and grant check issued.
FAQs
Can I make a disbursement to my church? A church is considered a qualified public charity by default. If the church is not already listed in the database, then Ren will reach out to the church to obtain the necessary documentation to be compliant with IRS regulations.
Are there any restrictions regarding the types of charities? The only restriction is the disbursement must be made to a qualified public charity and provide no personal benefit to an individual. There are no restrictions regarding the type of mission of the public charity, just the qualification status with the IRS.
What happens when the donor passes away? The donors can name their children or heirs to serve as the successor disbursement advisors when they pass. If there are no successor disbursement advisors available or desired, then they can either have all the funds granted out to the charity(ies) of their choice or granted out over time to the charity(ies) of their choice.
Will a DAF qualify for the Qualified Charitable Distribution (IRA Rollover)? No, a DAF is not a qualified recipient of a QCD transaction. The QCD withdrawal must be transferred directly to a public charity for use in their mission.
Can I contribution Complex Assets to my DAF? Yes, complex assets may be an ideal option to make a contribution to a DAF account. Please note that each asset will require a specific due diligence review prior to acceptance. Any additional questions should be directed to Kim Ledger ( or the consulting@reninc.com email) if they are interested in moving forward with the due diligence process.
When is it too late to make a contribution for the current year? All contributions must be received by 12/31 each year. Please see the Year-End Deadlines document.
What is a 501(c)(3) status? A 501(c)(3) organization is any organization considered tax-exempt by IRS Code Section 501(c)(3). Basically, this includes charities and other groups working towards “charitable, religious, educational, scientific”, and similar purposes. For more information, visit https://www.irs.gov/charities-non-profits/charitable-organizations/exemption-requirements-section-501c3-organizations
How long does it take to open a new account? New account paperwork is processed as it is received. Generally, the new account is established within 3 business days. Timing on funding is controlled by the advisor.
Can I have the disbursement check sent to my home address so I can deliver to the charity? No, the check must be sent directly to the charity’s address on record. However, the disbursement advisor can specify any specific use restrictions when submitting the disbursement to ensure it is used in the correct manner.
Are there any statements for the DAF account? Yes, statements will be generated on a quarterly basis and uploaded to donor portal statements tab for access.
Will the Financial Advisor also receive user credentials to DFX? Yes, user credentials are sent to the donors and financial advisors associated with the account. The advisor can see the same information as the donors and has the ability to initiate disbursements on behalf of the client without a signature from the client.