5 takeaways on 2024 trends in DAF giving

Faced with federal funding cuts, grantmakers’ shifting priorities, and economic uncertainty, many nonprofits are looking to diversify their revenue streams—including by tapping into giving through donor-advised funds (DAFs). Chariot and K2D Strategies’ 2025 DAF Fundraising Report analyzed DAF giving data from 32 nonprofits on DAF gifts totaling over $1.15 billion received between 2020 and 2024.  

Here are five takeaways about DAF giving trends and implications for 2025.  

1. Half of donors who switched to DAF giving more than doubled their annual giving to that organization  

The nonprofits in the dataset reported that in 2024, 67% of their existing donors who switched to giving through DAFs increased their annual giving, half of them more than doubling the amount. The median increase in annual giving after switching to DAF giving was $110. The fact that half increased their giving by less than $110, the report’s authors note, refutes the theory that new DAF donors gave more because they only opened DAF accounts following “a significant wealth event” and were inclined to give more anyway.  

2. ‘Small donors’ also make DAF gifts  

In 2024, the average DAF gift (excluding those over $25,000) was 19 times as large as the average non-DAF gift ($1,157 vs. $61). The median DAF gift was 12 times as large as the median non-DAF gift ($300 vs. $25). The data shows that not all DAF donors are ultra-wealthy individuals and that DAF gifts come in all sizes. Two in five (42%) DAF gifts to the nonprofits in the study were under $250—28% were between $100 and $250 and, and 14% were under $100.  

3. The share of DAF giving has grown across donor levels  

The percentage of DAF dollars as a share of total annual giving increases with the level of giving. In 2024, DAF gifts accounted for 0.1% of dollars from donors giving less than $100, compared with 25.1% of dollars from those giving between $10,000 and $25,000. That said, the share of DAF giving has increased for all donor levels since 2020. For example, the share of DAF dollars grew from 3.4% to nearly 5% for those giving between $250 and $500, and from 13% to 21% for those giving more than $25,000.  

4. High retention rate for DAF donors suggests potential for more support  

Since 2020, the year-over-year retention rates for DAF donors to the nonprofits in the study have held steady at around 60%, compared with about 46% for non-DAF donors. In addition, 20% of DAF donors made at least two gifts to the same nonprofit per year. Given that DAF donors have shown themselves to be consistent donors, the authors note, investments in improving DAF donor experience may drive retention rates even higher.  

5. DAF giving is increasing its share of revenue for small nonprofits  

More than 80% of the participating nonprofits saw their DAF revenue grow year-over-year in 2024, with half reporting increases of at least 30%. By contrast, the median change in non-DAF revenue was a 1% decline. Small nonprofits in particular are seeing DAF revenue as a share of total revenue grow much faster than larger organizations. Nonprofits with less than $10 million in revenue reported that DAF dollars accounted for 15% of total revenue—2.5 times the 6% reported in 2020. By comparison, at larger organizations, DAF revenue accounted for 11% of total revenue in 2024.  

The report also outlines best practices for compiling accurate DAF data and a marketing strategy for maximizing DAF giving. It also offers guidance for nonprofit websites and digital channels, online and offline communications with donors, peer-to-peer fundraisers, and multi-channel campaigns, as well as a checklist for ensuring all communications make it easy for donors to give through DAFs.  

Source: Candid