Feeling charitable? GoFundMe creates a new way to give money.
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Feeling charitable? GoFundMe creates a new way to give money.
GoFundMe has rolled out Giving Funds, a new way to donate to nonprofits. Donor-advised funds are a simple tax-saving vehicle for making charitable donations. You get an immediate tax deduction for your donation provided you itemize, and then divvy up grants of that money at a later date to a public charity. To write off donations in a given year, your total tax deductions need to exceed the standard deduction to be worthwhile. For 2025, the standard tax deduction is $15,000 for single filers and $30,00 for married couples filing jointly, GoFundMe says.
The crowdfunding platform lets people raise money through fundraisers for personal financial needs like medical bills, or to help give a child who has lost a parent with an education fund.
Last week, the platform rolled out a more formalized way to be charitable — and reap the associated tax benefits. Called Giving Funds, the program lets individuals create their own donor-advised funds which then steer donations to 501(c)(3) nonprofits.
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A donor-advised fund, or DAF, is a simple tax-saving vehicle for making charitable donations and has until now mostly been available from financial services firms like Fidelity, Schwab, and Vanguard.
You get an immediate tax deduction for your donation (whether you’re giving away cash, securities, or other assets) provided you itemize, and then divvy up grants of that money at a later date to a public charity. You can typically make donations for as little as $50 to a charity you select, depending on the firm.
Itemizing your deductions
To write off donations in a given year, your total tax deductions need to exceed the standard deduction to be worthwhile. For 2025, the standard deduction is $15,000 for single filers and $30,000 for married couples filing jointly.
One way to exceed that standard deduction threshold is to bunch together your contributions and give two years’ worth of deductions in one year in a donor-advised fund. That way your total giving will be high enough to allow you to itemize.
Learn more: Standard deduction vs. itemized: Which is right for you?
“We recommend donor-advised funds all the time — I think they are great even for folks who do not typically itemize on their tax returns because they can ‘bundle’ donations,” Ann Reilley, a certified financial planner in Charlotte, N.C., told Yahoo Finance.
These funds, however, aren’t top of mind for many Americans.
“Donor-advised funds have historically been inaccessible for most people, with high minimums and fees,” said Margaret Richardson, GoFundMe’s chief marketing and corporate affairs officer. “We’re launching Giving Funds now because the future of giving depends on making generosity simpler.”
With GoFundMe’s DAF, there’s no minimum amount to open an account and no transaction investment or management fees, per Richardson. Once you create your donor-advised fund on the platform, the account is managed by the GoFundMe Giving Fund with banking services provided by Goldman Sachs. Contributions can grow through investment options from BlackRock and Vanguard, according to Richardson.