Nonprofits play a critical role in our communities, and Fidelity Charitable donors are committed to supporting organizations doing work across a variety of cause areas. You may have some questions about our services or about donor-advised funds in general. Below are answers to common questions we hear from nonprofits.
A donor-advised fund, or DAF, is like a charitable investment account. A DAF program is sponsored by a public charity, called a “DAF sponsor” or “sponsoring organization.” A donor makes a charitable contribution to a DAF sponsor, becomes eligible to claim a tax deduction, and then recommends grants to IRS-qualified 501(c)(3) public charities. Donors can also recommend how their contribution is invested by the DAF sponsor, to potentially grow the contribution tax-free, which may ultimately provide more dollars to support nonprofits.
Fidelity Charitable is an independent, 501(c)(3) public charity. We sponsor the largest donor-advised fund program in the country. Our donor-advised fund is called the Giving Account. In 2019, our donors recommended more than $7.3 billion in grants to support more than 155,000 charitable organizations in every state and around the globe.
Fidelity Charitable generally makes grants only to IRS-qualified public charities, and all grant recommendations must comply with its Program Guidelines. Donors who are logged in to our website can search for nonprofits by name or tax ID number in our database (see image below). To make sure donors can find your organization, ensure that the name your organization is doing business as matches the name you have registered with the IRS. Fidelity Charitable uses IRS data to display your organization’s name to donors logged in to our site. If you would like to make it easier for Fidelity Charitable donors to recommend grants to your nonprofit directly from your website, consider adding the DAF Direct widget to your website.
If your organization is a supporting organization, review the supporting organization guidelines.
Fidelity Charitable grants are generally recommended by individual donors using donor-advised funds (Giving Account). A donor makes a contribution to Fidelity Charitable to establish a Giving Account. The donor can then recommend grants to IRS-qualified 501(c)(3) public charities. Fidelity Charitable does not accept applications for funding. Nonprofits should work directly with their donors who use donor-advised funds to discuss giving opportunities and needs. We recommend specifically naming donor-advised funds on your website as a way to support your organization, right alongside using a credit card or other form of online payment. If you would like to make it easier for Fidelity Charitable donors to recommend grants to your nonprofit directly from your website, consider adding the DAF Direct widget to your website.
We want to make sure you get grant funds quickly and safely during the pandemic. The best way to do that is through our Electronic Funds Transfer (EFT) program. Enrolling in our EFT program means grants will be directly deposited into your nonprofit’s bank account—no trips to the post office or bank needed. You’ll receive the same donor information as you would with a paper check. Enroll in EFT.
If you are currently having trouble receiving mail and do not wish to enroll in EFT, please reach out to us immediately at 1-800-952-4438, prompt 4.
We may reach out to you via phone or email while reviewing a donor’s grant recommendation to your nonprofit. If your best contact information currently does not match what is on file with the IRS, or if you would like to provide additional contact information, please contact us at 1-800-952-4438, prompt 4.
If you received a grant via Electronic Funds Transfer (EFT)
If you received a grant electronically via EFT, any donor-provided contact information was securely emailed to the email address(es) your organization provided during the EFT enrollment process in a document called a grant detail report. If you received an anonymous grant, the acknowledgment name and address columns in your grant detail report will all be blank. Only 3% of Fidelity Charitable grants are made anonymously.
Sample EFT grant detail report:
Grants received via paper check
If you received a paper check in the mail, any donor-provided contact information can be found on the grant transmittal letter that arrived in the envelope with the check.
Sample acknowledgement letters:
If you would like to enroll in the EFT program and have future grants directly deposited into your nonprofit’s bank account, you can start the enrollment process.
When you sign up your nonprofit for Fidelity Charitable’s Electronic Funds Transfer (EFT) program, grants will be directly deposited in your nonprofit’s bank account—no trips to the post office or bank needed. You’ll receive the same donor information as you would with a paper check. Enrollment is easy.
Using any donor-provided information, thank the donor who recommended the grant to your organization, not Fidelity Charitable. The donor was eligible to claim their tax deduction upon making a contribution to Fidelity Charitable, not when recommending grants to charities like yours. Therefore, the donor is not eligible to claim a tax deduction in connection to their grant recommendations, and any language implying such should be removed from your acknowledgment and you should not send the donor a tax receipt.
Need to know where to find the donor information?
Looking for more guidance on how to thank a DAF donor? This article includes tips and a customizable template you can download.
Fidelity Charitable will generally use the contact information on file with the IRS to reach you, information provided by the recommending donor, or information you have provided us over the phone directly to include in our records. The best way to help ensure that we can reach you with any questions would be to provide us a preferred contact email address and phone number by calling 1-800-952-4438 prompt 4.
Fidelity Charitable grants are generally recommended by individual donors using donor-advised funds (Giving Account). A donor makes a contribution to Fidelity Charitable to establish a Giving Account. The donor can then recommend grants to IRS-qualified 501(c)(3) public charities. Fidelity Charitable does not accept applications for funding. Nonprofits should work directly with their donors who use donor-advised funds to discuss giving opportunities and needs. We recommend specifically naming donor-advised funds on your website as a way to support your organization, right alongside using a credit card or other form of online payment. If you would like to make it easier for Fidelity Charitable donors to recommend grants to your nonprofit directly from your website, consider adding the DAF Direct widget to your website.
Electronic Funds Transfer is the fastest, safest, and most direct way to receive grants from Fidelity Charitable. When you sign up your nonprofit for Fidelity Charitable’s Electronic Funds Transfer (EFT) program, grants will be directly deposited in your nonprofit’s bank account—no trips to the post office or bank needed. You’ll receive the same donor information as you would with a paper check. Enrollment is easy.
You can begin the enrollment process by filling out this online form (recommended). This is the fastest way to process your enrollment.
If you would like to process your enrollment without using the online form, you can fill out this form, and email it back to us at EFTFidelityCharitable@fmr.com.