Why Donor Advised Funds Are Becoming the Preferred Route for Philanthropy

John Sansome shares his reflections

Over the past few years, I’ve been having more conversations with advisors, family offices, and donors about the structures that best support thoughtful, strategic giving. No matter where the conversation starts, whether tax, a wealth event, impact, or governance, it often ends up in the same place: Donor Advised Funds (DAFs). Which are increasingly becoming the go‑to option for many donors in Ireland.

And honestly, the reasons are quite obvious and straightforward. For individuals and families who want to give back strategically, DAFs offer a level of speed and flexibility that traditional charitable trusts or foundations rarely match. They allow donors to move from idea to action quickly, while also giving them space to explore their philanthropic goals at a comfortable pace.

At Community Foundation Ireland, these trends aren’t theoretical. Total giving to the foundation has more than doubled since 2020, and the number of DAFs have doubled too. This reflects something bigger happening in Ireland. Philanthropy is becoming more mainstream, inclusive, and accessible. People want to give back in meaningful ways, but they also want a structure that works with the realities of their lives. For many, DAFs with Community Foundation Ireland offer exactly that.

Under the Bonnet

One of the reasons DAFs have grown so quickly is how straightforward they are to set up. You can establish a fund in a short timeframe and begin supporting causes straight away. There are no long legal processes, no complex trust structures, and no administrative burden. All governance, due diligence, oversight, and grant administration is managed by our team. That means donors can focus on what matters: making a difference and often involving family members or colleagues in the process.

I’m echoing our donors when I say that philanthropy can be the catalyst that helps families connect around something bigger.

Privacy is another important factor. Some donors prefer to keep their giving quiet, especially in the early stages. A DAF allows them to do that. Others want to give locally, while some are focused on international issues. With a DAF, both are possible, and our team helps navigate the landscape, whether supporting a community organisation in Cork or a global humanitarian response.

For families who already have a private charitable foundation, or for family offices managing multi‑generational wealth, a DAF can also play a powerful complementary role. Community foundations regularly work alongside existing structures, providing specialist advice, due‑diligence support, and deep understanding of the Irish non-profit landscape. DAFs also create opportunities for collaborative funding, allowing families or foundations to leverage their resources with others to increase impact.

Importantly, they offer an accessible way to involve the next generation, giving younger family members a structured, low‑administration space to learn, participate, and shape their own philanthropic identity. For many established entities, a DAF doesn’t replace what they’ve built; it strengthens it, adds flexibility, and opens the door to more dynamic, collective, and future‑focused giving.

But I’m new to philanthropy – how can I be sure my gift will make a difference?

A DAF doesn’t require donors to have everything figured out from day one. Your philanthropic vision can start broad and become more defined over time. We work with donors who come with a fully formed strategy, and we also work with those who begin with a blank page. Both approaches are valid.

A question I’m often asked is: How do Community Foundation Ireland and donors arrive at grant making decisions? The truth is that donors steer the process.

It’s their fund, their vision, and we’re here to support them – offering guidance, insight, and practical help to turn their intentions into meaningful impact. All our work is anchored in three priority areas – people, place, and planet – which reflect our equality mission and 25 years of grant making. Decades of data, insight, and lived experience help us surface opportunities that align with a donor’s interests, whether that’s community wellbeing, local resilience, or environmental action, etc. But we don’t direct donors; we equip them. Our role is to provide options, context, and clarity so they can make confident, informed decisions about the change they want to create.

Each donor’s ambition is different, and they evolve over time. That’s expected and welcomed. DAFs flex with that evolution, and we are here for the entire journey, supporting and advising so donors can shape their giving in the direction that feels right to them.

 

John Sansome is Philanthropy & Development Manager at Community Foundation Ireland

 

Your Philanthropic Journey

 

If this article resonates with you and is along your line of thinking, the next step is to check out our Strategic Giving Page.