Tax Reform: Maximize Your Charitable Giving

With changes in federal tax law that include doubling the standard deduction to $12,000 for single individuals, and $24,000 for married couples, fewer people are itemizing their deductions. However, there are still things people can do to maximize charitable giving, and the Community Foundation is a great resource to help you at no cost.

CREATE OR USE YOUR DONOR-ADVISED FUND (DAF) at the Foundation to “bunch” multiple years of gifts into one year to take advantage of itemizing. Then, make grants from your DAF over time to provide regular support to your favorite organizations, even in years when you will not itemize. Check out our flyer that provides a simple overview of bunching.

MAKE A CHARITABLE GIFT WITH YOUR REQUIRED MINIMUM DISTRIBUTION (RMD) from your IRA. If you’re 72 or older, this may be a tax-smart way to directly transfer up to $100,000 per year to the Foundation without having to claim the distribution as income.

STOCKS, BONDS AND MUTUAL FUNDS MAKE GREAT GIFTS. Simply transfer appreciated securities straight to the Foundation rather than selling first, and typically, you avoid capital gains tax. Direct this gift to one of our 460+ existing funds or create a fund of your own.

In addition to your tax and financial advisors, we are honored to be part of your team. We’d love to talk further or answer any questions to help you figure out the best way to continue giving in the new tax climate.