2024 Donor-Advised Fund Report Details Grantmaking Trends
Credit: National Philanthropic Trust
The 2024 Donor-Advised Fund Report, the most comprehensive review of the state of donor-advised fund (DAF) philanthropy in the U.S., details the value of DAF grantmaking to charitable organizations essentially remained flat year-over-year at $54.77 billion while contributions to DAFs decreased 21.7% to $59.43 billion. In 2023, DAFs continued to be one of the most consistent funding sources for charities despite economic and financial market headwinds.
“The 2024 DAF Report affirms DAFs help stabilize the philanthropic ecosystem when outside influences impact giving patterns,” said Holly Welch Stubbing, CEO of National Philanthropic Trust. “While individual charitable giving decreased according to GivingUSA, grantmaking from DAFs to charitable organizations remained a sustainable source for good. DAF grantmaking ultimately helped many charitable organizations fulfill their missions, and some expand their reach, during periods of economic volatility. The 18th annual report data underscores DAF donors continue to give, sometimes despite what economic sentiment may be.”
Welch Stubbing continued, “Pre-funding charitable giving with a DAF is a wise long-term philanthropic and financial strategy benefiting both charities and donors. We see many donors choosing to contribute both liquid and more complex assets such as appreciated stock, cryptocurrency, real estate or fine art, converting various asset classes into new mission-critical funding.”
2024 Donor-Advised Fund Report Key Findings
- Value of grants from DAF accounts to charitable organizations totaled $54.77 billion in 2023, a 1.4% decrease from $55.53 billion in 2022. DAF grantmaking has nearly doubled in the past five years (2019).
- Contributions to DAF accounts totaled $59.43 billion in 2023, a 21.7% decrease from $75.94 billion in 2022. This follows two years after the sharpest increase on record in 2021, attributable to donor response to urgent needs created by the coronavirus pandemic. Contributions to DAFs are irrevocable and destined for qualified charities.
- Charitable assets in all DAF accounts totaled $251.52 billion in 2023, a 9.9% increase from $228.92 billion in 2022. This growth in charitable assets under management is attributable in part to gains in global financial markets.
- Number of DAF accounts in the U.S. totaled 1,782,281 in 2023, a 0.6% increase compared to 1,771,709 in 2022, essentially remaining flat. Growing awareness broadly, interest in workplace giving accounts, lower contribution minimums, consolidation of accounts and the flexibility of DAFs contributed to this slight increase.
- Average DAF account size was $141,120 in 2023, a 9.2% increase compared to $129,206 in 2022. New workplace giving models, growth in popularity of high-volume DAF account sponsors and market volatility contributed to a decrease in the average account size.
- The grant payout rate (a calculation of grantmaking dollars from DAFs to charities relative to total DAF charitable assets) remained steady at 23.9% in 2023, compared to 24.1% in 2022. The aggregate DAF grant payout rate has exceeded 20% for every year on record.
While DAF charitable assets amount to 16.98% of those in private foundations ($251.52 billion v. $1.48 trillion) according to data from the latest DAF Report and FoundationMark, the value of DAF grantmaking ($54.77 billion) in 2023 amounts to almost half (48.0%) of the value of total grants and expenditures from private foundations ($114.11 billion).
The complete 2024 Donor-Advised Fund Report, which includes a comparison by charitable sponsor types, is available at no charge or login requirement.
Download the 2024 Donor-Advised Fund Report here.
2024 DAF Report Methodology
The DAF Report, the most extensive and current examination of DAF philanthropy, primarily uses data from IRS Form 990 filings to provide the most up-to-date and reliable analysis of the DAF sector. The 2024 report examined 1,140 charitable organizations that sponsor donor-advised funds, including national charities, community foundations and other sponsoring charities. Our historic data file includes records from 1,293 DAF sponsors which operated during at least some of the period since 2007. Complete methodology can be found in the 2024 DAF Report.
DAF Report History
The Donor-Advised Fund Report has been published by National Philanthropic Trust as a public service since 2007. The report began as a two-page analysis of 10 DAF sponsors. Today, the annual report compiles data from over 1000 DAF sponsors using the most extensive methodology developed by an independent team of data editors and researchers. The report is recognized as the preeminent source for DAF sector data.
Source: National Philanthropic Trust
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