Thumbs Upwards For Dafs

Thumbs Upwards For Dafs

Today's NY Times has a long only ultimately unconvincing article nearly Donor-Advised Funds (DAFs). The headline as well as note of the article propose something nefarious is going on. But unless yous intend that hereafter charitable spending is less admirable than electrical flow charitable spending, null of the form out is the case.

True, the coin managers brand or as well as thus coin from these funds, only they produce for every puddle of coin they manage. Is contributing to a college endowment suspect because or as well as thus coin director volition survive paid to invest the money? Of aeroplane not. Moreover, these fees require non survive excessive. At the Fidelity DAF, which I use, I rate the assets inward low-cost index funds.

True, in that place is lack of transparency. But charitable giving require non survive public. There is no police against anonymous giving to charities. Nor should in that place be.

Most important, the donor of the funds cannot larn the coin dorsum to finance his consumption or that of his heirs. The coin has to eventually larn to IRS-approved charities. Putting coin into a DAF is essentially a commitment to plow over that purpose of your wealth, addition all hereafter returns on it, to charity. As such, DAFs should survive applauded.
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