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Why are existing donor-advised funds not designed for average individuals?


Donor-advised funds have been around since the 1930s, designed to encourage giving by allowing individuals to contribute assets into a tax-advantaged charitable account, invest those assets to increase potential impact, and have time to choose a specific charity for their donations. However, the largest donor-advised funds in the country are supported by investment management companies that charge a fee on top of the assets they manage. These fees range from 0.5% to 1.0%, making these funds more suitable for large accounts of $100,000 or more. This is where Daffy comes in. Daffy, the Donor-Advised Fund for You™, was created to bring the donor-advised fund back to its originally intended goal, to help make it easier for people to give to charity. Daffy allows you to put money aside when it is convenient for you, with all the tax benefits of a charitable contribution. They ensure that your money is invested and can grow for additional impact. Unlike traditional donor-advised funds that charge a fee based on assets, Daffy operates on a membership-based community model with a simple, transparent monthly rate. Daffy charges no management fee until members have reached $100 in their fund. This makes Daffy remarkably less expensive than traditional providers. Daffy is designed to make giving a habit. By having a charitable fund and allocating money each week or month, you are proactively setting money aside for charity. Then whenever you want, you can make a donation to any of over 1.5 million charities in the U.S., with just a couple of clicks. Join the Daffy community and make giving a habit. Get started today!

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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