When 401(k) plans emerged, they fundamentally changed how Americans save and invest for retirement. At Daffy, we believe company-backed donor-advised funds are poised to do the same for charitable giving. The same programs and platforms that have enabled millions of people to better save for their retirement can also help millions put aside money for charity.
One of the most impactful insights from decades of experience with retirement plans has been recognizing the importance of matching for both participation and contributions. When Daffy launched cash-based matching for our Daffy for Work platform in 2023, we saw an immediate impact at companies that match contributions.
Today, we’re making our workplace matching capability even more powerful.
Companies can match employee giving with public or private stock through Daffy for Work. With this new capability, Daffy for Work becomes the first workplace giving platform to match employee contributions with cash, public stock, and private stock.
It's a capability we've been building toward for a while, and one we believe will fundamentally change how companies think about corporate philanthropy.
Why This Matters Now
There are currently over 800 venture-backed private companies in the United States¹, and most of them face the same tension: they're equity-rich and cash-sensitive, investing heavily in product and growth. That's not a failure of generosity, it's the reality of building a company. But "we'll give when we can afford to" has always rung a little hollow.
Matching charitable giving with stock changes the calculus.
Many incredible companies have seeded their charitable foundations with company stock — why not extend that benefit more broadly to every employee?
Daffy for Work now makes that possible, whether your company is public or private.
It makes corporate philanthropy both accessible and sustainable at every stage. And the data is clear: matching works. 84% of survey participants say they’re more likely to donate if a match is offered, and one study reported that the average matched gift was between 1.5x and 2x the size of the average unmatched gift.
This is even more important for the growing number of large and valuable private companies. If your company has over 100 employees or a valuation over $1 billion, it’s time to think seriously about how your company will leverage its success to benefit the communities it operates in. We believe that supporting and empowering the generosity of your employees is the most scalable way to solve this problem.
The Broken Promise of Traditional Matching Programs
Here's the problem with traditional donation matching programs: the money often never makes it to charity. An estimated $4 to $7 billion in matching gift funds goes unclaimed every year because employees don't know their company offers a match, can't figure out how to submit a request, or simply never complete the process.
This is where we think the DAF model is fundamentally different, and, frankly, much much better.
When a company matches contributions through a donor-advised fund like Daffy, the match goes directly into the employee's fund. There's no form to fill out. No claim to file. No money left on the table. Every dollar or share of the match is set aside for charity from day one, and 100% of it will go to the causes employees choose. Better yet, any investment growth is tax-free. All of those proceeds can go to the charities and causes that employees care about.
That's the power of building matching on top of a DAF. The infrastructure does the work that's typically left to employees and company program admins to follow through on.
How We Got Here
We launched Daffy for Work in 2023 to bring the power of a donor-advised fund to the workplace. Companies like Acorns, OpenAI, and Lev were among the first to provide every employee with a free, personal donor-advised fund — giving their employees a simple way to set money aside for charity, receive an immediate tax deduction, invest those contributions tax-free, and donate whenever they feel inspired. Employers can encourage giving by either making direct contributions or matching contributions to employee DAF accounts.
In 2024, we extended Daffy for Work to support employee private stock donations. For the first time, employees could donate private stock either on an ad-hoc basis or after liquidity events, like tender offers. This made a strategy previously reserved for founders and venture capitalists accessible to everyone. Figma employees set aside nearly one million shares for charity ahead of its IPO through this program.
Today's launch brings those two capabilities together. Companies can now match their employees' charitable donations with public or private stock, creating a flywheel of generosity that didn't exist before.
How It Works
The process is designed to be simple for both companies and employees:
- The company sets up the program through Daffy for Work by defining match terms: ratio, cap, and contribution type. Companies can match in cash, public stock, or private stock.
- Employees can contribute to their personal DAF and receive an immediate charitable tax deduction.
- The company matches the contribution, deposited directly into the employee's DAF. Private stock is held in the employee's DAF until a liquidity event. Public stock is typically sold and invested tax-free in the employee’s chosen portfolio.
- Once liquid, the funds become available for employees to direct to nearly any U.S. charity.
The Opportunity Ahead for Employer Giving
Consider this: private companies collectively hold trillions in equity. If even a small fraction of that were directed toward charitable giving through programs like this, the impact on American philanthropy would be significant, not as a theoretical future, but through infrastructure that exists today.
We believe company-backed donor-advised funds are going to do for charitable giving what 401(k) plans did for retirement savings. Not because it's mandated, but because it works, and because the best financial products eventually become standard benefits.
If your company is interested in offering a workplace giving program, get in touch at partner@daffy.org. Our team will walk you through how to set up a program that fits your stage and goals.
If you’re an employee who wants to see this at your company, sign up to express interest, and we’ll help make the case.
- PitchBook. "Unicorn Startups List & Trends." January 5, 2026. https://pitchbook.com/news/articles/unicorn-startups-list-trends