Charitable Giving

You've worked hard to grow your wealth. Now you desire to give your wealth a mission. Discover a tax-smart way to use your wealth to build a better tomorrow with a donor advised fund.
Discover how we can help align your foundations' philanthropic mission with its investments.

How a donor advised fund works

Instead of giving directly to your favorite charity, you make an irrevocable contribution to your donor-advised fund account. Then you receive a tax deduction in the year you make your contribution. You decide when and how much to give to your favorite charity. In the meantime, Azzad invests and manages your contribution to potentially grow, increasing your giving power.

Align you tax needs and charitable giving goals

You'll receive a tax deduction in the year you make a contribution. So, even if you haven't decided on your charitable cause, you'll still receive the tax benefits. Let's say, for example, you sold property and the sale will put you in a higher tax bracket this year. You decide to take a larger tax deduction this year by using these funds to support your favorite charity over time. You can even avoid capital gains taxes by donating appreciated securities. Contributions above IRS limits can be carried over and deducted in future years (consult your tax adviser for more information).

Your charitable contribution will be invested to potentially grow

Your contribution in the donor advised fund is generally invested in the Azzad mutual funds. The funds follow our ethical investment philosophy and are professionally managed. Read their prospectus before sending any money.
For account balances over $100,000, your contributions may be invested in the Ethical Wrap Program.

Affordable alternative to establishing a private foundation

This program provides many of the rewards of private foundation grant making without the legal, administrative and accounting costs. Plus, as a public charity, the program offers higher charitable contribution deduction limits. The program also allows you to name multiple advisors and contributors so you can promote charitable giving in your family or business.

Establishing your donor advised fund

1. Complete the program account form. Make sure to identify primary and joint donor advisors to the account and name the account for yourself, your family or a particular charitable objective.
2. Create a legacy. To have your account continue beyond your lifetime, make sure to name your successors. If you wish to have the account balance donated to your favorite charity upon your death, make sure to name it as beneficiary to the account.
3. Make your tax-deductible contribution. The initial account minimum with the Azzad Funds is $5,000 & with the Ethical Wrap Program $100,000 (subsequent donations may be $250 or more). Keep in mind that all gifts are irrevocable.
4. Recommend investments for your contribution. You may choose to potentially grow your contribution by investing in either the Azzad Ethical Mid Cap Fund or the Azzad Ethical Income Fund. For balances over $100,000 you may have it invested in the Ethical Wrap Program.
5. Once your account is established, you'll receive a welcome letter that includes how to report your contributions with the IRS. You'll also receive quarterly account statements.

Making your grant recommendation

You may make grant recommendations whenever you wish, based on your account's assets. It's easy. Just complete a grant recommendation form and indicate how you wish to be identified to the charity. You may use your name, request the grant be made "anonymously" or "in memory of" or "in honor of" a particular person. The minimum grant amount is $250. Your grant should be made to an IRC approved charitable organization or it may be rejected.

* This information is not intended as tax advice. For more complete guidance on your particular financial situation, please consult your tax advisor or speak to an Azzad investment advisor at 888-862-9923. Please make sure to read the Azzad mutual funds' prospectus or Ethical Wrap Program's brochure before you invest. The wrap minimum applies after meeting standard minimum with other accounts.