*Recorded Jan 28, 2026*
Episode Summary
Chris J Snook welcomed Lukas Dwelly of DonorsTrust, an organization offering a donor-advised fund (DAF) with a focus on free markets and limited government, to discuss Dwelly’s career arc and the unique role of DAFs in philanthropic planning. Lukas Dwelly detailed his extensive background, including military service and social entrepreneurship, before explaining how DonorsTrust serves as a critical turnkey solution for RIAs, financial advisors, and high-net-worth clients for tax minimization, legacy planning, and aligning giving with core values. Both participants emphasized that philanthropy, facilitated by DAFs, acts as an essential bridge for generational wealth transfer and free speech, providing clients with autonomy, anonymity, and a dedicated platform to express their values through giving.
Transcript Details
Introduction of Lukas Dwelly and DonorsTrust Chris J Snook welcomed Lukas Dwelly from DonorsTrust to the show, noting that DonorsTrust works with top financial advisors, RIAs, and family offices, offering a unique market perspective. Lukas Dwelly heads up growth at DonorsTrust (00:00:00).
Lukas Dwelly’s Background and Career Arc Lukas Dwelly shared their upbringing in rural Kentucky, working on farms and developing a strong work ethic that led to them joining the United States Marine Corps two days after high school graduation (00:00:59). Dwelly served four years on active duty, deploying to the Middle East and Bosnia, before moving to Louisville in 1999 (00:01:50).
Experience with Nonprofit and Social Entrepreneurship After their military service, Lukas Dwelly worked for a nonprofit called School Choice Scholarships, which provided tuition assistance to very poor families for private schooling (00:01:50). Dwelly noted that the requirement for families to cover a portion of the tuition helped to break down social economics and lift people out of poverty through education (00:02:48). Dwelly later worked for the US Senate and then the Shriners, where they viewed themself as a social entrepreneur focusing on applying entrepreneurial thinking to social problems, including implementing early online giving for nonprofits around 2005 (00:03:44).
Return to Military Service and Joining DonorsTrust Lukas Dwelly returned to active duty as a commissioned intelligence officer in the Navy, which was woven in and out of their civilian career. Four years ago, Dwelly was recruited to Donor’s Trust to help expand relationships with RIAs, family offices, and estate attorneys (00:05:37).
DonorsTrust’s Unique Focus and Values DonorsTrust is structured like any other Donor Advised Fund (DAF) but specifically works with individuals who believe in free markets, personal responsibility, and limited government (00:05:37). Dwelly noted that while about a third of their grants go to social services and faith-based groups, many support policy groups focused on lowering taxes, economic development, and reducing government intervention. Dwelly’s role involves growing Donor’s Trust by marketing to RIAs and attorneys, often requiring education on the utility and power of DAFs (00:06:44).
Addressing Audience Profile and Philanthropic Vehicles Chris J Snook confirmed that the audience consists of advisors and high net worth families, many of whom may not be experts on DAFs (00:07:40). Snook thanked Dwelly for their military service and acknowledged Dwelly’s early innovation in online giving (00:08:34) (00:10:13). Dwelly’s focus at DonorsTrust is on expanding relationships within the “wealth network” (attorneys, CPAs, money managers) to help clients with impactful giving and legacy planning (00:11:12).
Role of DAFs in Tax Minimization and Aligning Values.
Lukas Dwelly explained that DAFs help minimize estate taxes by reinvesting wealth back into the family’s community instead of paying Uncle Sam. Dwelly stressed the importance of aligning clients with philanthropic vehicles that represent their values; for clients leaning towards limited government and entrepreneurship, DonorsTrust is positioned as a better fit than a community foundation or Fidelity (00:12:09).
DonorsTrust as a Turnkey Solution for RIAs Chris J Snook asked if DonorsTrust acts as a turnkey solution for RIAs, allowing them to offer bespoke DAF conversations without needing to be experts (00:13:59). Lukas Dwelly clarified that partnering firms often involve them in discovery meetings to delve into a client’s philanthropic passions (00:14:50).
Addressing Criticisms of DAFs and Donor Intent Lukas Dwelly addressed the criticism that DAFs hoard money, stating the real issue is that philanthropic advisors fail to have honest conversations with clients about deploying dollars (00:15:43). DonorsTrust requires clients to complete a donor intent statement, outlining their wishes for the funds if they were to die suddenly, emphasizing their goal is to sunset the account at some point for impact (00:14:50).
External Factors and DonorsTrust’s Niche Dwelly stated that current high-profile issues like fraud are not an inhibitor for DonorsTrust because they are so niche and “trust is in our name” (00:16:44). Dwelly identified the main inhibitors as people’s lack of understanding about the DAF vehicle and its utility (00:17:32).
The Flexibility of DAFs in Estate Planning Dwelly provided an example of using a DAF as the beneficiary of a Charitable Remainder Unitrust (CRUT) to avoid costly legal changes if the donor’s philanthropic interest (e.g., cat shelter) changes (00:18:23). The donor only needs to change their beneficiary form on the DAF, offering seamless deployment and optionality when circumstances, such as divorce and remarriage, lead to changes in legacy wishes (00:19:56).
DonorsTrust Differentiators and Bespoke Service Lukas Dwelly emphasized three key differentiators for DonorsTrust: they are the leader of donor intent, believing it is the client’s money and not theirs to influence (00:22:04); they offer bespoke, entrepreneurial service, working to find a way to meet the client’s needs; and they have an excellent grants team (00:22:57). Dwelly recounted a story where they helped a client who experienced a major wealth event selling a business by redefining their purpose as a philanthropist, which was instrumental in deepening the relationship (00:23:51).
Philanthropy as a Bridge for Generational Wealth Transfer Dwelly highlighted that philanthropy is crucial during the largest wealth transfer in generations, where 70-80% of second and third-generation families move away from current advisors (00:25:30). Philanthropy facilitates conversations around legacy and creates a family constitution, offering a bridge for RIAs to retain these succeeding generations by reinvesting wealth back into the family and community (00:26:16).
Target Audience and Accessibility Lucas Dwelly clarified that DonorsTrust’s minimum account to start is $10,000, with an average account size around $47,000 to $50,000, making it accessible for individuals who may not be ready for a seven-figure decision (00:35:08). Dwelly explained that this accessibility allows individuals to start now and integrate philanthropic giving into their ongoing financial planning (00:36:06).
Monetization and Financial Mechanics of DAFs Dwelly explained that accounts under $1 million are usually kept in a money market (00:55:03). For accounts of $1 million or more, clients can request that their financial advisor manage the funds, meaning RIAs do not necessarily lose AUM (00:55:40). Dwelly explained that DonorsTrust is a nonprofit, and their fee model varies based on the advisor’s fee structure and relationship, though their goal is to dilute any of their fees with account earnings (00:56:25) (00:58:02).
Philanthropy and Holistic Planning (Wealth 3.0) Dwelly advocated for the “wealth 3.0” concept, emphasizing that holistic client care requires including philanthropy in planning, especially around events like death, to address issues like capital gains (00:36:53) (00:41:47). Philanthropy offers a powerful tool for families to align under common guidelines and bridge generational gaps and historical pain points (00:39:55).
The Importance of Asking “Why” Dwelly discussed the value of asking open-ended questions like “why” to understand a client’s motivations and philanthropic desires, especially since different family members may have different “pictures” associated with the word “philanthropy” (00:42:32) (00:44:12). Dwelly believes that this level of inquiry is necessary for moving beyond transactional advice and fully serving the client (00:46:02).
Donor Intent and Living Documents Lukas Dwelly emphasized that every client completes a donor intent statement, which is a “living, breathing document” that declares how they see the world and informs DonorsTrust’s deployment of capital (00:51:23). DonorsTrust regularly revisits this statement with clients to ensure it still meets their needs (00:52:53).
Donor-Advised Funds for Philanthropy Lukas Dwelly explained that their organization is a nonprofit, and they serve as a foundation for single-family offices, simplifying the process of philanthropy for high-net-worth individuals and families (01:01:25). He noted that while individuals cannot directly give a Required Minimum Distribution (RMD) to a Donor-Advised Fund (DAF), they can give to DonorsTrust, which is a nonprofit (00:59:35). Chris J Snook highlighted that the service essentially provides a “turnkey white label” solution, offering an efficient path for clients, including athletes, to manage their charitable giving without the overhead of creating a private foundation, which is often unnecessary for 95% of individuals according to Lukas Dwelly (01:02:22).
Anonymity and Autonomy in Giving Lukas Dwelly stressed that their services provide autonomy for clients to make gifts and the ability to give quietly (01:03:31). Chris J Snook emphasized that the ability to give anonymously or publicly is a key feature, protecting individuals from unwanted attention or criticism over their choices in giving, which is especially relevant in the current social climate. Lukas Dwelly further explained that a DAF is crucial because it allows individuals to support causes they believe in without necessarily being subjected to the scrutiny that comes with public giving (01:04:24) (01:11:42).
Growth and Leadership in the DAF Space Chris J Snook observed that the DAF space appears to be growing, which Lukas Dwelly confirmed, noting that many companies are integrating them into their giving plans. Lukas Dwelly asserted that DonorsTrust is the leader in their specific space, distinguishing themself by their dedication to donor intent and high-quality client service (01:04:24). Lukas Dwelly also shared the organization’s core principles, including limited government, personal responsibility, and free enterprise, but clarified that they are politically agnostic and accept clients of all backgrounds (01:06:20) (01:16:26).
Education and Trust with Advisors Lukas Dwelly addressed the education process for advisors, emphasizing that building trust is paramount for Registered Investment Advisors (RIAs) to engage with DonorsTrust (01:05:33). The educational outreach focuses on explaining what a DAF is, its utility for taxation, legacy planning, and family engagement, as well as how they can collaborate effectively (01:12:26). Lukas Dwelly explained that independent brokerages and RIAs are a sweet spot for partnership because DonorsTrust can white-label their services, ensuring a mutually beneficial relationship (01:13:27).
Client Case Study and RIA Partnership Benefits Lukas Dwelly shared a real-world example of working with a Midwest RIA, which began after an established client referred them (01:14:11). The collaboration led to serving a client who was unhappy with their community foundation because they felt their values were not represented and service was lacking. This successful “test case” resulted in the RIA choosing to work almost exclusively with DonorsTrust for the majority of their clients who align with the organization’s values, while still using other institutions when necessary (01:15:00) (01:17:08). The RIA values the partnership for helping clients feel heard, providing legacy and tax planning benefits, and cultivating strong client relationships (01:19:05).
Philanthropy as Free Speech and Meaningful Work Lukas Dwelly defined philanthropy as an expression of free speech, where the allocation of money reflects an individual’s values, and the goal is to amplify the client’s voice (01:10:46). Chris J Snook agreed, linking economic freedom to free speech and praising DonorsTrust for providing a vehicle for entrepreneurial energy to address societal issues effectively at a micro level (01:07:57). Chris J Snook concluded that the service offers a meaningful way for high-net-worth individuals to transition wealth, providing a sense of purpose that transcends mere accumulation (01:20:51).
Attracting Talent through Philanthropic Offerings Lukas Dwelly suggested that offering a partnership with Donor’s Trust can be a strong strategy for RIAs looking to attract younger talent, as this generation often values philanthropy and social impact. They concluded the discussion by noting that this alignment on giving and legacy planning represents a significant market opportunity for firms to secure the best and brightest professionals (01:23:19).
Summary of Next Steps and Contact Info
Lukas Dwelly will ask clients every 12 to 18 months if their donor intent statement has changed to ensure it still meets their needs and those of their family.
Lukas Dwelly will continue to work to grow Donor’s Trust through marketing to RAAs and attorneys.
Lukas Dwelly will offer to get on the phone with a new client aligning with Donor’s Trust’s principles, to do a discovery meeting to understand their philanthropic passions. If you are interested, contact him directly at ldwelly@donorstrust.org
Lukas Dwelly will be available on LinkedIn or DonorsTrust to connect with folks and start a conversation. Connect with him on LinkedIn
