In looking to create a charitable vehicle, you may be considering whether to establish a private foundation or a donor-advised fund (DAF). At the most basic level, the difference between a DAF and a private foundation is the construct, or form, in which each entity is created and operated.
A private foundation is a wholly distinct, tax-exempt legal entity governed by its own set of bylaws, articles of incorporation, etc.
A donor-advised fund is a giving account that is offered by and housed in a public charity, which may be connected to a community foundation, a financial institution, or a university.
Click the button below to learn more.