Introduction
Donor-Advised Funds (DAFs) have become a powerful force in charitable giving, with over $230 billion held in donor-advised accounts. However, many nonprofits struggle to access these funds due to complex donation processes.
Enter DAFPay—seamlessly integrated into CharityEngine’s fundraising platform. The best part? The DAFPay button automatically appears on all new and existing donation forms in CharityEngine, eliminating barriers and making it easier than ever for donors to give.
DAFPay enables donors to contribute directly from their Donor-Advised Fund (DAF) in just a few clicks. By activating DAFPay, nonprofits can connect with high-value donors, as the average online DAF gift exceeds $1,000. The simplified giving process removes friction, ensuring donors can support your mission effortlessly. Plus, with automatic fund transfers, your organization saves valuable time by reducing manual processing.
Table of Contents
What is a Donor-Advised Fund (DAF)
Donor-Advised Funds (DAFs) are charitable giving accounts managed by third-party institutions, such as community foundations or financial service providers like Fidelity Charitable, Schwab Charitable, and Vanguard Charitable. Donors contribute to these accounts, receive an immediate tax deduction, and recommend grants to nonprofits over time.
While DAFs provide donors with a flexible and strategic way to give, many nonprofits face administrative hurdles when trying to accept and process these gifts. Traditional methods often require manual tracking and donor follow-ups, leading to delays and missed opportunities.
What is DAFPay?
DAFPay eliminates the friction in DAF giving by allowing donors to contribute directly through your website—just like a credit card or ACH donation. No more manual tracking, slow disbursements, or confusion over how to process these high-value gifts.
With DAFPay, donors can:
- Easily select their DAF provider and initiate a contribution in seconds
- Avoid the hassle of navigating external portals
- Make a bigger impact with a simple, donor-friendly giving experience
Why DAFPay Matters for Nonprofits
DAF giving is one of the fastest-growing revenue streams for nonprofits. Yet, traditional methods of accepting DAF donations often involve slow paper-based processes, requiring donors to leave your website and navigate external platforms. This leads to delays, missed gifts, and donor frustration.
DAFPay solves this by:
- Streamlining DAF donations—donors can give in just a few clicks
- Reducing administrative burden—automated tracking and reconciliation
- Capturing more high-value gifts—ensuring you never miss a DAF contribution
How It Works:
- A donor visits your website and selects "Donor Advised Fund" on your donation form.
- They choose their DAF provider from a pre-populated list and enter the donation amount.
- The donation is initiated instantly, and you receive tracking details within CharityEngine.
How to Enable/Disable DAFPay Button on Web Forms
Note: The DAFPay button is enabled by default on all CharityEngine forms. If your organization does not wish to accept DAFPay contributions, you can disable it by following these steps:
Step 1: Access the web form by navigating to Online App > Web Forms > Search & Manage > locate form > ACTIONS > Manage
Step 2: Navigate to the Layout Tab on the web form
Step 3: Located the Payment block and locate the Pencil icon to manage the block
Step 4: Toggle Show DAFPay to No to disable DAFPay on your web form.
Step 5: Click Save.
Frequently Asked Questions
Q: How are DAFPay transactions recorded in CharityEngine?
A: Each DAFPay transaction generates two transaction records: a soft credit for the donor and a hard credit for the financial institution making the gift. These records appear sequentially on the transaction listing screen, with the soft credit automatically linked to the corresponding hard credit.
Q: Can I search for a DAFPay gift using an external ID?
A: Yes, you can search for DAFPay gifts in CharityEngine using the external ID. Simply enter “DAFPay: Tracking ID” or “DAFPAY: External Grant ID” in the transaction listing screen search function to locate the transaction.
Q: Where can I find the external ID on the transaction record?
A: The external tracking ID or grant ID is displayed in the description field of the hard credit transaction.
