It’s Time to Seize the DA(F)!

The conversation around Donor Advised Funds (DAFs) has been heating up. There’s an estimated $250 billion in DAFs nationally, assets legally designated for public benefit.

While there’s currently no requirement that a minimum percentage of a DAF be disbursed within a certain timeframe, the National Philanthropic Trust’s 2024 DAF Report indicates that DAFs distributed 23% of total assets in 2023.

It’s clear that most donors sincerely intend for their DAF contributions to make the greatest possible difference for the people and communities they believe need it the most. Realizing this potential for good can only happen if the money in DAFs actually reaches nonprofits, and we believe 2025 is the year to lean into making this happen!

What is your nonprofit doing to harness the benefits of DAFs?

In 2025, AmplifyDMC is having important conversations with our nonprofit clients, foundations, and other philanthropic stakeholders around DAFs, a subject that is increasingly important for many nonprofits when the future of government funding streams remains uncertain.

If your organization is in the dark or in the midst of researching DAFs, a useful place to start may be to examine the full picture.

• Zoom out with national reports that can inform your understanding of DAF trends and scale year-over-year:
• The 2024 DAF Report | NPTrust
• DAFRC_Report.pdf
• Zoom in and examine your organization’s gifts and major donors to begin identifying existing DAF contributions and DAF potential.?

If your organization is ready to engage but unsure where to start or is just getting the ball rolling, here are a few ideas to help your organization move the needle on DAF engagement.

For Nonprofits with a Major Gifts Program

This is the year to launch a DAF campaign! It’s time to remind your supporters that donations via their DAFs is a great way to invest in your mission in 2025, because a disbursement won't affect their cash position and can really improve yours.

Here are some steps you can take:

• Make sure your website is DAF-friendly (see below).
• Send a DAF appeal to your Major Donor segment/s. Be sure to include information a donor can easily share with their DAF Manager, along with a form they can complete to let you know that a disbursement has been requested. Tip: These can be enclosures or QR codes that take the donor to your website – or both!
• Highlight a donor who’s already given from their DAF. Use their profile story in the DAF appeal, on your website, and on your social media channels.

For Nonprofits Without a Major Gifts Program

Now is the time to ensure your website is DAF-friendly. This means having a webpage or section within your organization’s “Donate” information that provides both DAF Managers and Donor-Advisors with all the information they need about your organization and the impact they can have with their support.

Here’s a checklist for your website:

• Name, and direct email address or phone number, of the staff member Donor-Advisors and DAF Managers can contact
• ACH and mailing information to direct payments
• A one-page summary document about your organization that the Donor-Advisor or DAF Manager can easily download to print or forward via email
• An online and/or downloadable form to notify you that a contribution has been requested or made

Find more content like this on our blog.