A Veteran Professional Advisor Talks Donor Advised Funds

This is the first post in a series about the professional advisors who work with our donor advised fund holders.

Jewish Community Federation: How long have you been a professional advisor and how have you seen the industry change over the past 5 years?

Carol Weeks Acker: I’ve been an advisor since 2002, earning my CFP in 2005. Prior to that, I was in a related field as an Employee Benefits consultant for 16 years. The last 5 years have seen dramatic change in the sheer volume of options available to investors, and products for planning, which is wonderful and confusing to consumers at the same time. There is a large challenge in communicating options and estate planning issues with an already overwhelmed public, where so much is available on the internet yet it is also difficult to ferret out what the options are and what the advice costs. Our role as educators is vital and primary, and yet that takes time for both parties to do well.

JCF: Why did you choose to be a part of the Federation’s Professional Advisors Network (PAN) and what have been some of the benefits of participation?

CWA: I chose to be part of the PAN in order to broaden my base of planning colleagues to whom I could turn to help me help our clients. The exchange of news and ideas and interpretations thereof provide an educational setting which benefits all of our clients at one point or another. We all provide better service to the community as a result, both within the Jewish Federation, and without.

JCF: How would you describe your typical client and their needs?

CWA: Our typical client is retired or close to it, and is trying to optimize the use of funds already saved and earned for their lifestyle and the benefit of their families and charitable organizations about which they care the most, while preserving for what could be a very long life.

JCF: What factors are most important to you when referring a client to a third-party provider, like the Federation and our Donor Advised Fund (DAF) program?

CWA: The key factors in referring to providers like the Federation and others are education and superior service for reasonable (and transparent) fees. This is a mission of sorts for our firm, as we want all of our clients to understand all the levels of fees they pay along the way of planning.

JCF: How would you describe the benefits of a Donor Advised Fund and who might consider using one as part of their overall financial plan?

CWA: We describe the benefits of a Donor Advised Fund in so many ways: it is a wonderful administrative simplification tool to stop all of those piles of saved appeal letters and envelopes from overwhelming people; then, it’s also a wonderful resource of education for those who may not know what “pulls” at them quite yet in terms of charitable need. Who do they want to benefit, what makes them happiest knowing they have helped? Let the Federation or others help research where the schools in greatest need of X are, who needs clean water the most that I can affect with Y dollars of budget. And, how do I know who’s efficiently running their organization to maximize my gifted dollars? Lastly, what a great tool for grandparents and parents or even aunts and uncles to use to teach children about the fun of giving? The DAF allows this even on a relatively small scale for all clients. And oh, by the way, it’s a great tool for management of taxable gain and estate planning where everyone wins!

JCF: Final thoughts on your relationship with the Federation?

CWA: Our daughter participated in the Jewish Teen Foundation as a board member and on its Leadership council.  It was a wonderful educational experience that will most certainly shape her priorities and actions for the rest of her life.

To learn more about Donor Advised Funds at the Federation, visit our DAF page or contact Ruth Bender, Director of Philanthropic Funds.