“We make a living by what we get. We make a life by what we give.”
–Winston Churchill
Have you ever been to a county or state fair?
The staples are a few sketchy rides, some deep-fried food you never imagined deep-frying, politicians literally shaking hands and kissing babies, and livestock.
For the most part, the livestock is “show” livestock, the farmer’s prized bull or pig. Historically, this was a marketing tool for farmers to demonstrate the quality of their stock.
For most of human history, family wealth was grown, traded, and passed down through stock, livestock. It was portable, tradable, and productive: milk, wool, and more stock.
With the rise of the medieval middle class, merchants and tradesmen sought to own or share in these assets. Groups pooled money to purchase herds of cows or sheep, a share of the stock. When the stock or product was sold, shareholders received their pro rata portion, their dividend.
Naturally, when the first companies raised money from the public, they borrowed this same language: stock, share, market, auction, dividend.
Even the word “capital” comes from the Latin word for “head”, as in, how many head of cattle do you have? How much capital do you have?
Back to the fair…
You’ll often see groups like FFA (Future Farmers of America) or 4-H (Head, Heart, Hands, and Health). In a mix of tradition and responsibility, middle and high schoolers raise and care for a cow, pig, goat, or lamb.
At the fair, they show off their work and often auction it to the highest bidder, a stock market of its own.
Last summer in Spooner, Wisconsin, 12-year-old Lexi Anderson, a 4-H member, prepared all year to show her lamb. But her serious heart condition and pending transplant made it hard to keep up, and her lamb didn’t qualify for the auction.
Her friend, Holly Hargrave, stepped in and offered Lexi her own lamb, saying: “I hope you get a heart transplant, and we want to give you the lamb money.”
When the lamb entered the ring, the auctioneer rolled through: “Two thousand, now twenty-five, now three, now thirty-five, now four—four thousand, now forty-five, now five, now five-five—sold! And she’s goin’ back in for Lexi!”
The buyer donated it back, and it sold again. Then again. Then again. Four times in total. By the end of the night, one lamb—normally less than $1,000—had raised more than $27,000 for Lexi’s medical bills.
In the end, the lamb was donated back to Holly’s family.
We all love stories like this, where a small act of kindness multiplies.
Our clients have shown incredible generosity over the years, and it’s truly an honor for us to play even a small part in that impact.
One of the simplest and most effective vehicles for that generosity has been the Donor Advised Fund (DAF).
A DAF is essentially a charitable giving account. You make a contribution, often in appreciated stock or other assets, receive an immediate tax benefit, and then recommend grants to charities over time. Instead of a one-time gift, it becomes a tool for sustained giving.
Example:
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Suppose you purchased stock for $10,000, and it has grown to $50,000.
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If you sell it outright, you’d realize a $40,000 gain, creating about $10,000 in taxes—leaving roughly $40,000 for charity.
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If you contribute the stock directly to a DAF, your $10,000 cost basis no longer matters. You deduct the full $50,000, avoid capital gains tax, and retain flexibility to direct those charitable dollars later. Meanwhile, the DAF balance can continue to grow tax-free.
This is especially timely with changes on the horizon in 2026.
Starting in 2026, the first portion of charitable giving won’t qualify for a deduction, and the value of deductions for top earners will be capped, making the tax benefits of giving less straightforward than they are today.
For many clients, 2025 represents a unique opportunity. By “bunching” contributions into a DAF this year, you can lock in the current, higher deduction while continuing to grant funds gradually in 2026, 2027, and beyond.
You don’t have to change the rhythm of your giving, you simply secure the tax efficiency now while continuing to support the causes you care about later.
Because every situation is different, it’s also important to check with your tax professional.
