With today's ongoing market volatility and economic uncertainty, it's more important than ever for donors to embrace a tax-smart approach to charitable giving in order to achieve maximum impact on the causes they support. An article from Schwab Charitable lists 12 ways to increase donor impact:
1. Donate appreciated non-cash assets instead of cash.
2. Combine tax-loss harvesting with a cash gift.
3. Give private business interests.
4. Contribute restricted stock.
5. Bunch multiple years of charitable contributions in tax year 2023.
6. Combine charitable giving with investment portfolio rebalancing.
7. Offset the tax liability on converting a retirement account to a Roth IRA.
8. Offset the tax liability on a retirement account withdrawal.
9. Leave a legacy by naming a charity as a beneficiary of IRA assets.
10. Establish a charitable trust.
11. Use a donor-advised fund account as a component of any of the 10 strategies above.
12. Satisfy an IRA RMD through a non-taxable qualified charitable distribution (QCD).
Click here to read the full article.
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