A Better Way to Give

A Schwab Charitable donor-advised fund account is a simple, tax-smart investment solution for charitable giving.
You can open a Schwab Charitable account with a minimum irrevocable contribution of $5,000. You will be eligible for
an immediate tax benefit, if you itemize, when you contribute to your account, and you will enjoy the convenience of
giving to your charities of choice over time. You will have flexibility in your contributions and your investment choices,
the level of customization you want for your giving, and more. You can recommend grants to any IRS-qualified charity
of your choice. Grants can be made online, through a mobile device, or by calling Schwab Charitable. With Schwab
Charitable’s support, you can fulfill your philanthropic goals and potentially have a greater impact on causes that
matter to you—when it’s needed most.

How it works

1. Open

a Schwab Charitable™ account by visiting us online at schwabcharitable.org to complete an application.

2. Contribute

to your account with an irrevocable,
tax-deductible donation, for those
who itemize, of $5,000 or more in
cash, publicly traded securities, or
non-cash assets such as real estate
and private equity.

3. Invest

your contributions for potential
growth—choose from a wide
range of investment pools on your
own or recommend an investment
advisor to professionally manage
a larger account. Make additional
contributions at any time.

4. Grant

recommendations of $50 or
more can be made at any time
to any IRS-qualified 501(c)(3)
organization.

5. Extend

your account, assigning successors,
or setting up recurring gifts—so
your charitable legacy can live on
for generations.

A donor’s ability to claim itemized deductions is subject to a variety of limitations depending on the donor’s specific tax situation.
Schwab Charitable accepts illiquid assets for contribution on a case by case basis Call Schwab Charitable for more information at
1-800-746-6216.

Understanding your Options

A Schwab Charitable™ donor-advised fund account is a flexible and tax-efficient way to give, whether it is used as your primary charitable vehicle or a complement to a private foundation.

Private FoundationDonor-Advised Fund
Asset MinimumsGenerally recommended only for
those with millions of dollars in
charitable assets
$5,000
Startup CostsMay be substantial—legal
documentation, tax filings, other
None
Ongoing Annual ExpensesAdministrative fees apply, and
staffing and attorney or CPA fees
may apply
Administrative fees apply*
PrivacyPublic disclosure of contributions
and grants in annual tax filings
Individual account activity
can be private
Tax deduction limits for
cash contributions
for those who itemize
30% of adjusted gross income (AGI)60% of AGI
Tax deduction limits for
securities contributions
20% of AGI30% of AGI
Tax deduction limits for real
estate and other assets
20% of AGI, deductible at cost basis30% of AGI, deductible at fair
market value
AdministrationRequired recordkeeping, asset
management, review of grant
solicitations, tax filings
Managed by Schwab Charitable™
ReportingRequired annual state and federal
tax returns
None at the account level
TaxesExcise taxes, up to 2% of annual
investment income
None
Annual distribution
requirements
5% distribution required annuallyAt donor’s discretion
Professional asset
management options
NoYes
*Minimum annual fee of $100. Please see “Account Fees and Minimums” at schwabcharitable.org. Donor-advised fund details as
provided here may differ from the legacy donor-advised program. See “Creating a legacy” in this article.

Investment Options

We offer a comprehensive range of investment options to meet a wide variety of goals. You can choose from either a
core or a professionally managed account.

Core account

With a core donor-advised fund account, choose among op-performing investment pools from a variety of leading investment providers.

Pre-Allocated
Investment
Pools
Single Asset Class Investment PoolsSingle Asset Class Investment PoolsSingle Asset Class Investment Pools
– Conservative
= Balanced
– Socially Responsible Balanced
– Growth
Index Pools
Income Index
Total Market
Equity Index
International
Equity Index
Small-Cap Equity
Inflation Protected Bond
Actively Managed Pools
– Short-Term Income
– Income
– Large-Cap Equity
– International Equity
Money Market
– Money Market
Minimum Irrevocable Contribution: $5,000

Core donor-advised fund account holders may choose from a wide variety of investment pools that feature prescreened, competitive mutual funds, including:

Market fluctuations may cause the value of investments held in a donor-advised account to be worth more or less than the value of
the original contribution to the funds.

Account holders should carefully consider information contained in the prospectus for the registered underlying mutual funds,
including investment objectives, risks, charges, and expenses. You can request a prospectus by calling Schwab Charitable™ at
1-800-746-6216. Please read the prospectus carefully before making contributions or recommending investment of funds. Money
market funds are neither insured nor guaranteed by the Federal Deposit Insurance Corporation or any other government agency.
Although the fund seeks to preserve the value of your investment at $1.00 per share, it is possible to lose money by investing in the
fund.

Professionally managed account

With a professionally managed account, you can recommend an investment advisor to create an investment strategy to help support your philanthropic goals.

Publicly Traded SecuritiesAlternative Investments
– Stocks
– Bonds
– Mutual Funds
– Exchange-Traded Funds (ETFs)
– Exchange-Traded Notes (ETNs)
– CDs
– Hedge Funds
– Private Equity/Venture Funds
– Real Estate Funds
– Real Asset Funds
Investments Available

Publicly Traded Securities

For accounts of more than $250,000, you may recommend an independent investment advisor to actively manage a customized investment portfolio for your account (subject to Schwab Charitable™ investment policies and oversight). The advisor has the option to
invest in a broad range of investments.

Alternative Investments

For our largest accounts, an independent investment advisor or wealth manager may also recommend alternative
investments (including hedge funds, private equity/venture funds, and private debt) for your portfolio. All privately
offered alternative investments must be reviewed and approved in advance by Schwab Charitable.

Professionally managed accounts are available only through independent investment advisors working with Schwab Advisor
Services™, a business segment of The Charles Schwab Corporation serving independent investment advisors and including the
custody, trading, and support services of Charles Schwab & Co., Inc. Although donors may recommend an advisor, Schwab
Charitable Fund must approve the recommendation. Advisors must meet certain eligibility requirements and adhere to Fund
fee and investment guidelines. You may request a copy of the investment guidelines by calling 1-800-746-6216.

Granting Made Easy

Creating a Legacy

With a Schwab Charitable™ account, you can make sure your philanthropy extends beyond your lifetime, continuing to
support the causes you care about most for years to come.

Account Minimum at Activation:– $100,000 for core donoradvised fund account
– $250,000 for professionally managed account
Minimum Annual Distribution:– 5% of account balance
Minimum Term:– Five years
– Will terminate with lumpsum grants if balance falls below $5,000
Charitable Legacy Program

Involving your Family:

Charitable Legacy Program:

We encourage you to reach out to our team to help you plan and protect your legacy.

Updated April 21, 2020