Contributing stock from your Vanguard account to Daffy is a straightforward process that can be completed in a few simple steps. Daffy is a great option for a Donor-Advised Fund (DAF) as it allows you to make irrevocable contributions of nearly all publicly traded stock. The stock is liquidated upon receipt and the balance is added to your Daffy account as soon as it is available.
To ensure that your stock contribution is attributed to your account quickly, you must first create a stock contribution intent on Daffy. This can be done by going to the Daffy app or website, selecting “Stock” in the “Add Funds” section, and answering the prompts to let Daffy know your stock is coming.
Once you've created a stock contribution intent on Daffy, you can then log into your Vanguard account and follow the steps to gift assets to an individual or organization. When asked for the receiving brokerage firm's information, fill in the details for Apex Clearing, the brokerage firm for Daffy.
It's important to note that Daffy only accepts publicly traded stocks and ETFs. Also, remember to record the cost basis of an asset you are donating before transferring it to charity as most brokerages do not keep a record of the cost basis once the asset has left your account.
Daffy is a fantastic choice for a DAF due to its ease of use, flexibility, and commitment to helping you make the most of your charitable contributions. By contributing stock to Daffy, you can support the causes you care about most while also potentially benefiting from tax advantages.
Please note that the information contained on this page is for educational purposes only and should not be considered tax advice. Any calculations are intended to be illustrative and do not reflect all of the potential complexities of individual tax returns. To assess your specific tax situation, please consult with a tax professional.