With changes to the U.S. tax code expected to take effect Jan. 1, 2018, you might be looking for ways to maximize your charitable giving before year-end. The Oklahoma City Community Foundation offers a number of efficient giving options to help you take advantage of current tax incentives.
The new legislation will roughly double the standard deduction for all taxpayers, increasing to $12,000 for individuals and $24,000 for couples. The higher standard deduction will likely result in fewer taxpayers itemizing deductions thus eliminating the ability to deduct contributions to charity that fall under the standard deduction threshold.
While getting a few dollars knocked off your tax bill probably isn’t the main reason you give to charity, the added financial incentive is a nice benefit. During this season of giving – and last minute tax planning – we encourage you to contact your professional advisor about how you can maximize the existing charitable tax deduction, and as a result, maximize your charitable giving.
To learn how we can help you make the most of your year-end giving before current tax incentives expire Dec. 31, contact Joe Carter at 405/606-2914.
With the holiday season upon us, many local charities are concerned how a year of back-to-back, unprecedented natural disasters will impact their year-end contributions. While giving to disaster relief and recovery efforts across the nation is vital to help rebuild devastated communities, the need to support the ongoing charitable work here at home is no less important. Below are five tips to help ensure your charitable gifts make the greatest impact this giving season.
- Pinpoint Your Passion: Take the time to determine what causes you care about most and consider what type of charity can make the greatest impact in your areas of interest. For example, if you want to help support education, do you want to give to a public school foundation to fund programs and equipment at your local school? Or, would you prefer to give to a small nonprofit tutoring and mentoring underserved students?
- Explore Your Options: Once you’ve identified your giving goals, take the time to learn about the different charities serving that need in your community. Discover local charities serving a specific cause at GiveSmartOKC.org. The online directory offers a keyword search to help you find charities that fit your interests.
- Do Your Homework: Learn more about the organization and ensure its legitimacy. Several websites such as GuideStar.org and IRS.gov allow you to verify if an organization is tax-exempt. For charities in central Oklahoma, GiveSmartOKC.org offers a deeper look into the organization’s specific programs to evaluate their impact and ensure they will make the best use of your contribution.
- Maximize your Donation with a Matching Gift: Ask your employer if they offer matching gifts for charitable contributions made by employees. Locally, you can take advantage of the Kirkpatrick Family Fund Endowment Matching Program. To find organizations currently eligible for a matching gift, visit occf.org/KFFmatch.
- Look for Alternatives to Cash Donations: While cash gifts are always welcome, many charities also encourage other types of gifts such as stocks, real estate or gifts from your retirement account. These alternative giving options may also reduce your taxable income for the year. If your chosen charity is unable to accept these gifts, the Oklahoma City Community Foundation may be able to facilitate the gift to support the charity through its endowment fund.
By giving more effectively, you can maximize the impact of your charitable support and help our local charities make a lasting impact in our community this giving season.