Giving With Assistance

The Donor Advised Funds Information Hub

Donor advised funds, or DAFs, make it easy to give to causes you care about while enjoying immediate tax benefits. Whether you’re just learning about them or comparing options, this hub will walk you through how DAFs work, why people use them, and how they can support your long-term legacy goals.

Donor Advised Funds

Table of Contents

Key Things To Know

Donor advised funds are one of the most popular charitable giving tools for a reason. Here's what you should understand before opening one.

  • What is a DAF? It’s an account you fund with charitable dollars, managed by a sponsoring organization, from which you can recommend grants over time.
  • Tax benefits upfront: You get a tax deduction the year you contribute, even if you decide where the money goes later.
  • Low barrier to entry: Many DAFs can be opened with $5,000 or less, and they don’t require attorneys or accountants to maintain.
  • Flexible grantmaking: You can support multiple charities, change recipients over time, or grant anonymously.
  • Investment growth potential: While funds sit in the account, they can be invested and potentially grow tax-free before being granted.
  • No annual payout requirement: Unlike private foundations, DAFs don’t have minimum distribution rules—but regular granting is encouraged.
  • Limits to control: You recommend where funds go, but the sponsoring organization has final approval authority.
  • Great for legacy giving: You can name successors to continue grantmaking after you're gone, making it a simple vehicle for multigenerational philanthropy.

Frequently Asked Questions

Here are some helpful answers to common questions about donor advised funds and how they compare to other giving tools.

Yes. Many large firms like Fidelity, Schwab, and Vanguard offer DAF options, and your advisor can help you manage the investments and grantmaking.

You can donate cash, stocks, mutual funds, cryptocurrency, and sometimes even privately held business interests or real estate.

No. Once donated, the money is irrevocably committed to charitable purposes and cannot be returned to you or your estate.

There’s no legal requirement to grant immediately, but many sponsoring organizations encourage regular giving.

Yes. You can name successors who can recommend future grants, helping your values live on through your charitable giving.

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Disclaimer: The information provided on this website and by Buried in Work is for general informational purposes only and should not be considered legal advice. Please consult with a qualified attorney or subject matter expert for advice specific to your situation.