A minimum payout is a certain amount of money that certain charitable funds are legally required to pay out to charitable organizations each year. For example, private foundations have to pay out 5% of the fund’s assets to nonprofits each year. DAFs don’t currently have federally imposed minimum payout requirements.
However, as current applicable tax laws may change in the future, it may be helpful to consider how a minimum payout requirement might affect you. It’s also important to note that some financial institutions do require accounts to make at least one grant within established timeframes to maintain their accounts.