Donor Advised Funds Outpace All Other Giving

Donor-advised funds represent seven percent of all individual charitable donations. Their growth has outpaced all other giving vehicles. In 2013 alone, contributions to DAFs grew 23.5 percent. With those numbers, we need to do everything we can to capitalize on this giving vehicle.

In January, we asked Ruben Orduna, vice president of development and donor services for The San Francisco Foundation, to offer strategic advice and recommendations to help fundraising staff understand donor advised funds and how to adapt our cultivation strategies to DAFs. Here's a quick recap from the webinar:

How they work:

“Giving accounts” are set up to give the donor the ability to make grants at donor's pace. Donors receive an immediate charitable tax deduction. Assets in accounts owned by the DAF provider. There are pros and cons compared to private foundations.

Ruben offered these five recommendations: 

  • Focus on community foundation DAFs
  • Look for areas of alignment with community foundation
  • Community foundations want to align with their donors
  • Need access donor services / relationship staff
  • Use your Board members or other donors that have DAFs
Here are some additional resources

Donor-Advised Funds: The Source Fundraisers Can’t Afford to Ignore by Joe Boland, July 2014

Shaking Up the Ranks of America’s Largest Charities, by Holly Hall, Oct. 19, 2014 Chronicle of Philanthropy