Choose to give anonymously—or not—with a donor-advised fund

What does it mean to give anonymously, and what are the benefits and considerations?

Giving anonymously directly to a charity can mean providing a major gift without your name attached or revealing your identity. When you give anonymously directly to a charity, setting up privacy agreements provides an extra step of security—likely an option for a major or significant gift but not for your everyday gift.

You are sharing your name with the staff of the organization. Another consideration is that a charity receipt can only be issued if the donor provides their name and mailing address. 

Other options for giving anonymously could be through a public foundation, a representative, or another third party. These layers of confidentiality would likely require additional planning and administrative requirements. Just like with giving to a charity, a private foundation doesn’t enable full anonymity with regards to the organization and your name may be shared publicly as part of the board of directors list.  

Bottom line: When you give anonymously directly to a charity or through a public foundation, you don’t achieve full anonymity. The donor-advised fund (DAF) makes the difference between privacy and anonymity.

When you give through a DAF, like Charitable Impact you don’t need to share your personal information with the charity—whether you give $5 or $5 million. In other words, you control who can see your name and contact information, like your email and phone number. This giving solution offers the most seamless way of anonymously supporting the causes you care about, because your identity is not revealed to the organization receiving your gift. 

With a DAF, you can give on your own terms, without being added to mailing lists or having to unsubscribe from any emails.

Even if you have opted to give anonymously, charities on our platform maintain the capacity to thank you via a personal message on your Impact Account. And you can add a personalized note to connect directly to the charity. 

When you are considering giving anonymously, it’s important to do so with intention. There may be reasons to share your personal information—or not.

Reasons to give publicly

Some reasons to give publicly might include:

To inspire others to give or model your giving to create a trend. Giving is contagious. Research has found that a single act of generosity by one person can influence their social networks by inspiring individuals even three degrees removed from them. Generosity can spread well beyond your immediate circles when you share your giving with others. 

To lend credibility and momentum to a particular cause you care about. Publicly supporting a charity can be an additional way to voice your support. Even if you don’t have funds to give, advocating for a charitable cause provides value by raising an organization’s public profile. 

Desire to be part of a community or a movement, or simply to be recognized. Recognition might be a decision-making factor—and there is no shame in that. If it’s important for your public reputation, standing in a community, or how you interact with others, public recognition can be a common clinching motivator for giving. 

To tell the world what you care about. Maybe you are proud to share your story about why you care about a particular cause or just excited to tell others about what you believe in. Sharing your story with the world can inspire important conversations and, as indicated above, may have a ripple effect beyond what you can imagine. 

Reasons to give anonymously

Beyond keeping off mailing lists, there can be very personal reasons to give anonymously, such as:

Humility or a feeling of discomfort with attention. Just as public recognition can motivate certain individuals, it can deter others. Someone who has inherited wealth may not feel comfortable getting attention and credit for their philanthropy. Other examples might be if you are more of a private person, would like to maintain an altruistic motivation for giving, or would like to give a small amount.

Religious or value-based motivations. Rather than sharing publicly, you may be inclined to keep giving at your heart when it aligns with very personal values or beliefs. 

Cultivating more joy and doing something for yourself. Giving without seeking praise has often been associated with virtue and altruism, although scientific and philosophical debates persist on the nature of selflessness within generous actions. At Charitable Impact, we believe that you get something in return in giving. If your own personal joy of giving is amplified by doing so anonymously, a DAF makes it easy.

Other reasons for giving without sharing your name may include: wanting to share some of your acquired privileges rather than call attention to wealth, giving without raising your public profile, or giving to causes that may be viewed as controversial in your communities or networks. 

Benefits and disadvantages of giving anonymously

You will not risk receiving any unwanted fundraising materials or being approached for further gifts by giving anonymously. You can decide when and how to give to the charities you care about, while avoiding external pressures as much as possible. 

If you are giving significant or major gifts, doing so anonymously can help to emphasize the charity and its work rather than your name. 

However, there are disadvantages to consider. Giving without disclosing your identity could create a lack of transparency as to where donations to organizations are coming from. Major donations can be made without accountability. 

There could also be fewer opportunities for charities to follow up and share messages or news that may surprise or delight you as a donor. Many charities have developed robust donor recognition programs. Donors who know the narratives around the impact of their giving are apt to feel increased joy and satisfaction in their philanthropic pursuits. 

Choosing for yourself

So open or anonymous giving, which is best? The choice is personal and, on Charitable Impact, it’s completely up to you.

If you are seeking models, you can look to major philanthropists who attach their names to gifts. MacKenzie Scott does so without any strings attached or expectations for deliverables from the receiving organizations.

Famously, Chuck Feeney gave anonymously for years before coming to the conclusion that his generosity could inspire others. Certainly, many major names and philanthropists also give anonymously, but you are naturally much less likely to hear about it.

Remember, when you sign up for an Impact Account, the default Information to share is set to give anonymously. You have options to share what you would like with the charities you support. 

If you are curious about other ways to give that might suit you, take a moment for our fun quiz that offers other suggestions.