Choosing the right provider for your Donor-Advised Fund (DAF) can significantly impact your account management and fees. Traditional providers often charge high administrative fees, which can eat into the funds you have set aside for charity. For instance, Fidelity charges a minimum of $100 a year or 0.6% of assets, whichever one is higher, in fees that go to the provider instead of the charities that you care about.
However, Daffy, a new provider of DAF, offers a more cost-effective solution. Daffy charges significantly lower fees, starting at just $36 a year, and offers lower-cost investment options. This means more of your money goes towards the causes and organizations you care about, rather than being lost to administrative costs.
Transferring your DAF account to Daffy is a straightforward process and is free of charge. You can easily do this by visiting daffy.org and logging into your account. The step-by-step process of transferring a DAF account to Daffy is available on their website.
Daffy's mission is to help people be more generous, more often. They've built a not-for-profit community around a modern platform for charitable giving, featuring a best-in-class DAF. They offer an easy-to-use platform that allows you to contribute money in various ways, invest it in multiple portfolios, and donate it to almost any legal charity in the US without charging any additional fees or taking any money out from the donations.
In conclusion, choosing Daffy as your DAF provider can help you save on fees, manage your account more efficiently, and increase your impact on the causes you care about.
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.