News & Insights

As December 31st draws near, many of us are asked to or already make charitable contributions. Year-end giving may have tax benefits, when in adherence with the Internal Revenue Code guidelines (Publication 526). Charitable giving and volunteer work can be confusing which is why we have put together a list of the records you need to keep as well as a list of some qualified charitable organizations you can consider.

Charitable records:

  • If donations are made by cash, obtain a receipt, date of donation, value, organization etc.
  • Credit-card receipt
  • Bank statement
  • For cash donations of $250 or more, the charity also must give you a written acknowledgement of the donation.
  • For property (noncash donations), you’ll need a receipt from the charitable organization:
    • Charity’s name
    • Date and location of donation
    • Description of donated item
    • For donations with a fair market value of $250 or more, you’ll also need written acknowledgement of the donation. You might need an appraisal, depending on the value and condition of the property.
    • Keep record of out-of-pocket expenses incurred through charitable work:
      • Mileage
      • Parking Fees / Tolls
      • Bus / taxi fares

Qualified Charitable Organizations:

The American Red Cross is a humanitarian organization led by volunteers, providing relief to victims of disasters. The American Red Cross also helps to prevent, prepare for, and respond to emergencies.

World Vision is a Christian relief and development organization dedicated to helping children and their communities worldwide reach their full potential by tackling the causes of poverty.

Goodwill® works to enhance the dignity and quality of life of individuals and families by strengthening communities, eliminating barriers to opportunity, and helping people in need reach their full potential through learning and the power of work.

“Doing the Most Good.” In these four words, our mission – to feed, to clothe, to comfort, to care. Services include: food distribution, disaster relief, rehabilitation centers, anti-human trafficking efforts, and a wealth of children’s programs. We are a tax-exempt 501(c)(3) organization, and contributions are deductible for Federal Income Tax Purposes to the extent permitted under Section 170(b)(2) for corporations.

DonorsChoose.org is an online charity that makes it easy for anyone to help students in need. Public school teachers from every corner of America post classroom project requests on our site, and you can give any amount to the project that most inspires you. When a project reaches its funding goal, we ship the materials to the school. As a 501(c)3 charity, donations are tax-deductible to the full extent of US law.

Their mission is to ensure that the 800 million people in developing countries have access to clean, safe drinking water. 100 percent of public donations are used to fund clean-water projects. (Overhead costs are covered by foundations, sponsors, and donors who choose to help with operational funding.)

The ASPCA works nationally to rescue animals from abuse pass humane laws and share resources with many shelters across the country. We believe that animals are entitled to kind and respectful treatment at the hands of humans, and must be protected under the law. Learn more about our history, mission, and what we do to help animals nationwide.

Feeding America is the nation’s leading domestic hunger-relief charity. Our mission is to feed America’s hungry through a nationwide network of member food banks and engage our country in the fight to end hunger.

 

Disclaimer: This information should not be construed as financial advice however, it is provided as a resource. The charitable organizations listed are qualified charitable organizations as defined by the Internal Revenue Service, they are not exhaustive nor is this presented as an endorsement. Financial decisions should be made only after a careful review of your personal situation and in consultation with your tax and/or financial advisor.

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