My teenage daughters and I recently opened a sub-fund ‘Gumnut account’ with Melbourne Community Foundation [MCF].

We propose to gradually build up our own sub-fund. When the account balance has reached $20,000.00 we intend, through MCF, to direct the income from the sub-fund each year towards charitable activity we want to support.

We think this approach has several things to recommend it –

1. Deposits [donations] can be made into our Gumnut account at any time;
2. The donor receives a tax deduction for the donation in the year it is made;
3. The sub-fund will grow each year by a combination of the deposits and income earned because MCF manage the sub-funds as a pool;
4. When the balance has reached $20,000.00 we shall be able to decide which organisations/activities we help and how we help;
5. I am at the stage of life when I’d rather have money that might be spent on gifts for me on my birthday, Christmas, Father’s Day etc. applied more meaningfully. One way is to suggest a donation to this Gumnut account rather than to buying a gift. My daughters might, in years to come, feel similarly.
6. My daughters and I can work together in a long-term project, which requires a commitment from all of us.The Krils charity fund is a family account where each year we donate $2000 for a Christmas present, and once it is all saved up the three kids will give money to a charity of our choice.