How does Daffy help in saving money on taxes?


Daffy, the Donor-Advised Fund for You™, is a fantastic tool for those looking to save money on taxes while also contributing to their favorite causes. As a registered 501(c)(3) not-for-profit organization, all contributions made to Daffy qualify as tax-deductible in the year they are made. This means that you can lower your income taxes by receiving an immediate income tax deduction when you contribute to your fund. Moreover, Daffy offers a smart and convenient way to give. You can choose how much you want to give this year, select whether you want to put money aside weekly or monthly, and Daffy will automate the rest. You can donate to your favorite causes and non-profits, from your alma mater to your place of worship, all from one app. Daffy supports nearly every U.S. non-profit, over 1.5 million to be exact, and more each day. One of the great advantages of Daffy is that it allows for tax-free growth. There are no capital gains taxes when you contribute long-term appreciated stock or crypto. This means that your contributions can be invested tax-free and you can make more donation recommendations whenever you’re ready. For example, if you make a $10,000 contribution with some of the funds from your bonus, you don't have to give all of the money at once. You can give some to the causes you already support and the rest of your contributions will be invested tax-free. When tax season rolls around, you can deduct that extra amount, potentially doubling your deduction from the standardized limit through both charitable giving and other eligible expenses. In conclusion, Daffy is a great option for a Donor-Advised Fund (DAF). It not only simplifies the process of charitable giving but also provides significant tax benefits. So why not make giving (and saving on taxes) a habit by downloading the Daffy app today? Please note that the information contained in this blog post is for educational purposes only and should not be considered tax advice. To assess your specific tax situation, we always recommend that members consult with a certified tax professional.

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.

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