For individuals who seek to save on their taxes while still being charitable and making a difference in their communities, donor-advised funds (DAFs) are a strong possibility to consider.
Understanding donor-advised funds – what are they?
Simply put, a DAF is a charitable investment account. DAF accounts can be funded with liquid and/or illiquid assets such as cash, publicly traded securities, patents/royalties, C-corp stock or even artwork and life insurance policies. Once made, the donor contribution is irrevocable. In other words, the donor is no longer the legal title holder of the assets transferred into the account.