Strong stock market returns and tax reform led to a boost in charitable giving in 2025, with DAFgiving360 reporting a record $9.9 billion granted to charities, a 28% increase from the previous year. A record 74% of contributions were made in non-cash assets like ETFs, index funds, real estate, and cryptocurrency.

President Donald Trump’s One Big Beautiful Bill Act, which reduced tax benefits for high-income donors, prompted many to increase charitable giving before the changes took effect. The bill cut the effective tax benefit of charitable giving from 37% to 35%, leading experts to advise clients to fund DAFs with multiple years of contributions before the changes.

Tax planner David Perez advised clients to fund their DAFs with several years’ worth of contributions before the tax changes, allowing for donations to be spread out over time. The tax law changes are expected to shift donors away from checkbook philanthropy, as DAFs cannot be used for certain deductions like galas or charitable events.

Read more at CNBC: Donor-advised fund giving surges as tax cuts expire and stocks soar