Episode 16: Donor Advised Funds

Today Peter and Alexander cover a topic on the wealth management side of their practice: Donor Advised Funds, or DAFs. When someone wants to make a monetary gift to a charity, they have several options: create a private foundation, donate to the charity directly, or place their funds in a DAF. A DAF is an account at a 501(c)(3) public charity company in which a donor has some advisory privileges over how the funds are expended and/or gifted out. Peter and Alexander talk about the benefits and drawbacks of using a DAF and why you might choose to use one over another gifting method. If you’re also wanting to help people for the foreseeable future, and you think charitable giving could be the best method of doing so, you might also want to think about reading other resources that can be helpful when setting up a charity, such as this guide to forming a charity company or other aid you’re able to find online or using management or advising services that specialize in the likes of creating charities.

What exactly is a donor advised fund? Why donate to a DAF instead of to a charity directly? When will I receive my tax deduction if I give to a DAF? What advisory powers over a gift does a donor maintain when giving to a DAF? What kind of regulations are DAFs subject to? What are the legal risks that accompany using a DAF? Listen to find out.

If you would like to hear more from The Apex Law Group click here.

Leave a Comment

Your email address will not be published. Required fields are marked *

Scroll to Top