Make DAF Giving Part of Your Year-End Strategy
Donor advised funds (DAFs) have become an increasingly visible part of charitable giving, and year-end giving offers nonprofits a timely reason to make sure donors know they can use these funds to support the organizations they care about.
Consider these three tips for encouraging DAF gifts at year-end:
Make Sure Donors Know You Accept Gifts from Donor Advised Funds
This sounds simple, but it is an important first step. A donor may have money available in a donor advised fund without realizing that your organization can receive a grant from it.
Take a look at your website, giving page, email communications and other donor materials. Is giving through a donor advised fund mentioned anywhere? If not, now is a good time to add a simple reminder.
You do not need to explain the mechanics. A sentence such as, "You can also support our mission by recommending a grant from your donor advised fund," may be enough to prompt a donor who already has a donor advised fund to consider using it.
Connect Donor Advised Fund Giving to Your Mission—Not to the Giving Vehicle
Your communications should still be focused on your organization’s work and the many ways donors can support it. Rather than making the giving vehicle the centerpiece of your message, show donors what their generosity can accomplish. Share a story, highlight a current need, describe an opportunity or remind supporters what their gifts have made possible. Then include donor advised funds as an option alongside the many other ways people can provide support, including gifts of cash, stock, Qualified Charitable Distributions from IRAs (for donors 70½ and older), gifts through an estate plan and much more.
This keeps the emphasis where it belongs: on the donor’s charitable intentions and your mission. A donor advised fund is simply one tool a donor may choose to put those intentions into action.
Use Year-End Giving as a Conversation Starter
Not every communication needs to include an immediate ask. For example, a longtime supporter may have established a donor advised fund as part of a broader financial or estate plan. Another donor may be interested in making a larger gift but has not considered whether assets already set aside for charity could be part of the solution.
The goal is not to assume that every donor has a donor advised fund—or that a donor advised fund is the right giving tool for every donor. Instead, use the occasion to invite conversation and remind supporters that there are many ways to be generous.
Make More Giving Possible
As you plan your year-end fundraising efforts, remember that encouraging gifts from donor advised funds doesn't have to be complicated. By making donors aware of their giving options, sharing the impact of your mission and creating opportunities for meaningful conversations, you can help turn charitable intentions into action.
The Community Foundation of Greater Des Moines is here as a resource to help you better understand donor advised funds and the many ways charitable giving can support your mission.
This year-end, make it easy for donors to give in the ways that work best for them.