How
Do I get more information?
Click on Contact
Us in the navigation above.
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What
is Donor Advised Giving?
Donor
Advised Giving is a mechanism for donors to
set up individual accounts within Kingdom Oil.
Those accounts are then used to make tax-deductible
contributions thereafter giving advice to Kingdom
Oil on where the contributions should go. Kingdom
Oil invests the contributions and manages those
investments pending advice from donors. Kingdom
Oil has a specific agreement which it uses to
open and maintain such accounts.
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Who
controls my contributions after I make them?
Importantly, Kingdom Oil takes title
to contributions and exercises final control over
how contributions are invested and distributed.
Donors do not have a continuing right to specify
how investments are made or who gets distributions.
These matters become the legal responsibility
of Kingdom Oil in exchange for the tax deduction
which the donor receives. Kingdom Oil retains
investment managers and determines investment
strategy. Obviously, however, the purpose of this
entire donor advised relationship is to further
the desires of the donor. This requires clear
documentation and a measure of trust..
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Who can establish a DONOR ADVISED FUND
(DAF)?
Individuals, families, businesses, non-profit
organizations, and private foundations.
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What
types of assets can be used to create or add to
a fund?
Cash and publicly traded securities such as stocks,
bonds, and mutual funds. Kingdom Oil receives
non-liquid assets such as closely held stock or
real estate on a case by case basis.
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How
will I keep track of my fund's balance and distributions?
Kingdom Oil provides quarterly reports detailing
contributions, distributions, earnings,
fees, and beginning and ending market value of
your fund.
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What
fees are assessed my DAF?
One percent of each amount deposited into a DAF
plus one percent of the DAF account balance on
the anniversary of opening the account is assessed
to reimburse Kingdom Oil for its services. Fees
for gifts of assets other than cash or publicly
traded stock are determined on a case by case
basis.
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What
about investment income from my DAF account?
All investment income is allocated right back
to your account balance.
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Who
manages Kingdom Oil's investments?
Kindom Oil's funds are managed by investment firms
that are regularly monitored by the Board of Directors.
Funds are pooled to maximize investment advantage,
but Kindom Oil maintains a separate accounting
for each individual fund. Our basic investment
philosophy is conservative and is to preserve
capital with a hedge against inflation.
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Who
receives grants from Kingdom Oil?
Churches and other tax exempt, 501 (c) (3) ministries
whose purposes are consistent with those for which
Kingdom Oil enjoys tax exempt status. Our purposes
are to further the Gospel of Jesus Christ.
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Can
distributions be recommended to foreign organizations?
Generally, grants to foreign organizations should
be made through Kingdom Oil to other domestic
entities, but Kingdom Oil will consider recommendations
for grants to foreign charities on a case by case
basis.
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How
soon can I recommend distributions?
Thirty days from when your contribution is made.
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Who
recommends investment and distribution strategies
for my fund?
Donors establish a Fund Committee consisting of
one or more individuals who submit recommendations.
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What
percent of my DAF must be distributed annually?
Five percent or more of the market value of the
fund.
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Why
establish a DONOR ADVISED FUND (DAF) instead of
a private foundation?
Although both vehicles offer personalized
giving, a Kingdom Oil DAF has additional benefits
including:
- Higher annual deduction limits
of up to 50% of adjusted gross income versus
30% for contributions to a private foundation
- Charitable contributions are
based on the full appreciated value of contributed
assets, while some gifts to private foundations
are restricted to a donor's cost-basis.
- No start-up costs
- Kingdom Oil handles all administrative,
investment, accounting, record-keeping, and
ministry investigation responsibilities.
- DAF investment income is untaxed.
Private foundation excise taxes average 2% annually.
- Kingdom Oil protects your privacy.
All contributions to a DAF are confidential,
and distributions to ministries may be confidential
if requested by a donor. Private foundation
contributions and distributions, in contrast,
are a matter of public record.
- No separate tax return.
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How
can I invest in the Kingdom Fund?
THE KINGDOM FUND has nine separate portfolios
of ministry which you can review elsewhere on
this web-site. You can invest by giving to the
Kingdom Fund without allocating your gift in which
case the leadership of Kingdom Oil will allocate
to areas of greatest opportunity. Or, you can
allocate your gift to one or more of the portfolios
in general in which event the leadership will
likewise decide which ministries within your selected
portfolio can best be supported. Finally, you
can allocate to one or more specific ministries.
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What
fees are charged for Kingdom Fund gifts?
Kingdom Oil charges three percent (3%) of each
amount contributed to the Kingdom Fund and allocates
that fee to its own administration. Kingdom Fund
contributions are charged more than donor advised
contributions (1%) because Kingdom Oil has a covenant
relationship with all ministries in the Kingdom
Fund and incurs considerably more cost in
seeking to empower these ministries.
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