What is a Donor Advised Fund (DAF)?
A Donor Advised Fund (DAF) is a philanthropic vehicle established at a public charity. It allows donors to make a charitable contribution, receive an immediate tax benefit and then recommend grants from the fund over time. An easy way to think about a donor advised fund is like a charitable savings account: a donor contributes to the fund as frequently as they like and then recommends grants to their favorite cause when they are ready.
Benefits of a Donor Advised Fund
- Privacy – Your Donor Advised Fund is never subject to public record. This means that your fund will not be solicited by charities except through your own activity.
- Tax Advantages – Your Donor Advised Fund qualifies for the highest charitable income and estate tax deductions allowed by law, while bypassing capital gains tax on gifts of appreciated assets to the fund.
- Gifting Advice – As the name implies, each year you can advise how much, when, and to whom you would like to distribute funds. Additionally, you can name successors to carry on your charitable goals. This allows you to pass your giving values on to future generations.
The Bo Dollis Public Donor Advised Fund
The Bo Dollis Public Donor Advised Fund was established to sustain the wellbeing of NOMC patients who are masking Mardi Gras Indians. Bo Dollis was a remarkable musician, mentor and cultural leader in the Mardi Gras Indian community. In addition, he was a dedicated NOMC patient since our founding in 1998 and until he passed away in 2015. The Bo Dollis Donor Advised Fund is an example of a DAF at the New Orleans Musicians’ Assistance Foundation, managed by an advisory council, open to public donations and intended to keep his legacy alive.