Your year-end donation to Heart to Heart International helps provide access to health throughout the United States and the globe. It may also provide a tax deduction. Check out this list of ways to donate that you may not have thought about – just in time for this year’s tax advantages.
Watch the Calendar
The deadline for charitable donations is December 31. If you’re looking to deduct the donation in the current tax year, you will want to make arrangements to ensure the donation is finalized by the close of business on December 31, 2022.
Consider Donor Advised Funds
Donor Advised Funds (DAFs) are growing in popularity and a way to contribute in a tax-efficient way that allows you to help others and still enjoy tax advantages. These funds establish and fund an account by making tax-deductible contributions to 501c (3) organization – like Heart to Heart International. Donors can take an immediate tax deduction as the funds are invested for tax-free growth.
Make a Recurring Commitment
Because tax benefits require careful records to substantiate your donations, why not consider becoming part of a donor community for Heart to Heart International’s recurring donor program? This program offers year-round support, allows you to get a monthly statement that’s easy to track for IRS purposes and strengthens your one-time gift.
HHI allows you to donate monthly through our website using a credit card, so you might be able to earn rewards at the same time. By establishing your donation plans now, you won’t have to even think about end-of-the-year giving next year.
Donating Assets from your Brokerage Account
If you’re looking to lower your capital gains tax, you may want to consider donating assets from your brokerage account to HHI. This can be done seamlessly by donating shares and will benefit not only the recipients but also help alleviate some year-end tax obligations. Keep in mind, it may take some time and planning, but the benefits of donating an account that’s outperforming can be worth it.
As always, speak with your accountant or financial adviser about your options to ensure your choice is the most strategic and efficient charitable decision as well as any specific questions about how the tax laws will impact your charitable contribution.