For Nonprofits

NPT helps donors support organizations like yours.

National Philanthropic Trust (NPT) is one of the largest grantmaking organizations in the country—and our grantmaking is directed by the donors who choose to work with us. For nearly 30 years, we have provided administrative support to some of the world’s most dedicated philanthropists.

If your organization has received a check from NPT, it means that one of your donors has elected to support your mission using a donor-advised fund (DAF) account they opened with us to manage their overall philanthropic strategy. And if you haven’t yet, read below to learn about how you can reach donor prospects who are using DAFs—many of whom are probably already connected to your mission.

Learn more about how NPT works to support your donors and you—and how we can work together.

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FAQs about Donor-Advised Fund Grants

My organization received a check from you. What does this mean?

If you received a grant payment from National Philanthropic Trust, that means one of the donors who holds a donor-advised fund (DAF) account with us chose to issue a grant to your organization. Donors use their DAFs like a private foundation or any other charitable giving vehicle; they make the choice and issue grant recommendations to fulfill their personal philanthropic goals. NPT’s work is to process the grants recommended by donors who are likely already connected to you.

Learn more about how DAFs work.

Do I still have to issue the donor a tax receipt for their gift?

You don’t—and you shouldn’t!

A donor-advised fund works by allowing the donor to take a charitable tax deduction in the year they contribute to their DAF account. Their contribution is an irrevocable contribution to a 501(c)(3)—us. As the stewards of those funds, NPT invests those funds until such time as the donor wishes to recommend a grant to another qualified charitable organization—like yours—and then we conduct due diligence and process the grant.

By the time the funds reach you, the donor has already received a gift receipt for tax purposes. If you wish to thank the donor, please feel free— but because they cannot take a second deduction, there is no need for you to provide them with a receipt.

There isn’t a donor name included with my check. What do I do? 

The majority of grants from a donor-advised fund are not anonymous, and the letter accompanying the grant you receive should contain any information the donor has elected to share: their name, the name of their DAF account, their mailing address, or any combination of the above.

However, sometimes a donor does choose to make the grant anonymously. In that case, no need to thank them or us. If your organization recognizes anonymous donors on your website or print materials, you can thank them that way.

Why wouldn’t the donor just give to my organization directly?

In many cases, your donors will also occasionally give to you directly!

However, structuring their giving through a donor-advised fund affords donors a few additional benefits, including:

the ability to time their tax deduction to manage high-income years
the chance to streamline their own tax receipts by contributing to one account and then granting to several organizations they support
the opportunity to invest their charitable funds for growth

The donor’s DAF is simply a structure for their giving; their connection to your organization is deeply personal, and NPT provides the administrative support.

Learn more about the benefits of a donor-advised fund for your donors.

What is NPT's role?

At National Philanthropic Trust, our mission is to increase philanthropy. We do that by offering turnkey solutions for donors to manage their charitable giving.

By letting us handle the administration of transactional processes, investment, due diligence, and reporting, donors free themselves up to do what they’re meant to: connect with and respond to the needs of organizations like yours.

NPT also offers on-demand philanthropic consulting services to help them hone their own charitable goals.

Learn more about why donors choose NPT.

Connect with DAF donors

Last year, nonprofits like yours received nearly $55 billion in grant funding through donor-advised funds. DAF donors are active philanthropists, with dedicated charitable capital committed to grantmaking. Here are a few strategies that can help you connect with DAF donors.

Keep your contact information up to date on your organization’s online profiles, such as GuideStar. Many donors research nonprofit organizations online before deciding to give. GuideStar is integrated into NPT’s online giving platform, GivingPoint. Updating your information ensures that our donors can find you more easily when they explore their giving options.
Sign up for Grant Payments to receive grants electronically. NPT partners with PayPal to this payment solution, which allows us to send grants electronically and near-instantaneously to nonprofits using PayPal’s platform. If your organization isn’t already signed up, visit paypal.com/charities to ensure you can receive grants from donors using NPT (and other DAF providers) quickly and efficiently.
Start a conversation with your donors by including information about DAFs in your solicitation materials. This can help remind donors that they can use their DAF to give to your organization. For your most engaged donors, like board members and other volunteers, ask them directly if they engage in giving with a DAF. Consider creating a DAF designation in your CRM system, or even segmenting DAF donors for a specific solicitation.

Our DAFs can support your organization by:

Accepting non-cash and complex assets for charity. This can reduce administrative costs for your organization.
Processing recurring grants. In GivingPoint, our online platform, NPT DAF donors can select how much and how often to recommend grants to their favorite charities, making it easier for them and creating consistency for you.
Working with donors to develop grant agreements. If your donors are interested in giving for a capital campaign, challenge grant, or other structured gift, our Philanthropic Solutions team can help develop that agreement.