No fee everyday banking
Set up direct deposit and skip the monthly fee. Free to open, and the Easy plan has no monthly fee. Worth doing if you will actually move your pay or your CRA deposits over, not if the card sits unused. Code BREMO2026.
A Donor Advised Fund (DAF) is one of the most flexible and tax-efficient charitable giving vehicles available in Canada. It allows donors to make an irrevocable charitable contribution, receive an immediate donation tax receipt, and then recommend grants to specific charities over time — at their own pace. Think of it as a charitable investment account: your donation is invested and grows tax-free, and you direct the grants when and where you choose.
The process is straightforward:
You receive the full donation tax receipt in the year you contribute to the DAF — regardless of when the funds are eventually granted to charities. This makes DAFs ideal for "bunching" donations: making a large contribution in a high-income year (business sale, large bonus, stock option exercise) to capture the maximum donation tax credit, then distributing grants to charities over multiple subsequent years.
As with direct charitable donations, contributing appreciated publicly traded securities to a DAF eliminates capital gains tax on the donated portion entirely. You receive a donation receipt for the full fair market value of the securities, and no capital gain is triggered. This is the single most powerful combination available in Canadian charitable tax planning.
Example: You hold $200,000 of publicly traded stock with an adjusted cost base of $50,000. If sold, you'd face a capital gain of $150,000 and tax of approximately $40,000–$50,000 (depending on province and income). By donating the shares directly to a DAF:
Once contributed, funds in the DAF grow tax-free within the charity's investment pools. Unlike a personal investment account, there is no annual tax drag on interest, dividends, or capital gains within the DAF. This means the impact of your philanthropic capital compounds more effectively over time.
For many donors, a DAF is a superior alternative to a private foundation:
| Feature | DAF | Private Foundation |
|---|---|---|
| Minimum contribution | $5,000–$25,000 | $1M+ practical minimum |
| Administrative burden | Very low (no T300100 filing) | High (annual CRA filing, board, audits) |
| Control over grants | Advisory (recommendations) | Full control |
| Privacy | High (grants can be anonymous) | Public (T300100 is public) |
| Annual disbursement quota | None (DAF has own policy) | 3.5% of investment assets required |
Several organizations offer donor advised funds in Canada:
A DAF is particularly valuable in these situations:
Opening a DAF is typically straightforward:
Even the most sophisticated wealth strategies start with eliminating unnecessary costs. KOHO offers free banking with no monthly fees. Use code BREMO2026 for a bonus when you open your account.
Open KOHO Free — Code BREMO2026