Definition
A special fund that is set-up with a sponsoring organization where the fund is:
- Separately identified fund for donor (not pooled with other donors).
- Gives advisory privileges to the donor with respect to the distribution or investment of amounts held in such fund.
- DAF is also known affectionately as a: “poor man’s private foundation.”
Benefits
- All giving is tracked in one location (very easy record-keeping).
- Pay less taxes, particularly if you give appreciated stock or land into the fund.
- Earn investment earnings which increases giving potential.
- Allow for more intergenerational family participation, which improves giving experience.
- Family can easily give anonymously.