Give Through Your Donor-Advised Fund
Access Your Benefits Now
Your donor-advised fund gives you the power to support women and girls today, receive an immediate tax deduction, and recommend grants for areas of UNFPA’s lifesaving mission over time.
Frequently Asked Questions
What is a donor-advised fund?
A donor-advised fund, or DAF, is an investment account that is used for charitable giving. Donor-advised funds are considered the fastest-growing charitable giving vehicle in the United States. DAFs can be relatively inexpensive to create and maintain, while offering donors the ability to make tax-advantaged charitable gifts.
It is composed of donations made by individuals and administered by a third party. The third party is called the sponsoring organization. A DAF offers an immediate tax benefit and allows you to support your favorite charities immediately and over time.
How does a donor-advised fund work?
A donor makes an irrevocable gift to their donor-advised fund and receives a tax deduction for the year the gift is made. Once the contribution is made, the sponsoring organization has legal control over the funds and the donor can make grant recommendations to the charity of their choice.
Are there any rules to owning a Donor-Advised Fund?
The IRS has specific guidelines around the kinds of organizations that are eligible to receive grants as well as the purposes these grants can serve. For example, grants can only be made to qualified charities and cannot be made to a person, for example. Also, the donor cannot receive more than an incidental benefit, so DAFs cannot be used to cover the admission price for an event or gala.
What’s the difference between a donor-advised fund and a direct donation?
The donor-advised fund donor receives tax documentation from the sponsoring organization of the DAF, while a direct donor receives tax documentation from the charity.
Can a donor-advised fund be used to donate to a private foundation?
Donor-advised funds can be used alongside private foundations.
Is there a tax benefit for gifts made to donor-advised funds?
Yes. You will receive tax documentation from the sponsoring organization of your DAF.
How can I use my DAF in my legacy giving plans?
Through your DAF, you can request a grant or recurring grants during your lifetime to make an immediate impact. You can also use your fund as a tool for future charitable gifts.
Create a lasting legacy by naming USA for UNFPA as a beneficiary of the entire account or a percentage of the fund. With a percentage, you can also create a family legacy of giving by naming your loved ones as your successor to continue recommending grants from your DAF to charitable organizations beyond your lifetime. Contact your fund administrator for a beneficiary form and to learn more about this option.
