85% of us have this situation in common…
Do you know what 85% of the US population has in common?
We do NOT itemize our taxes!
Meaning we use the standard deduction.
Which also means that 85% of us are not experiencing a tax benefit for charitable giving.
That can change in 2020, with the CARES Act from Covid-19!
You can now deduct up to $300 on your taxes this year WITHOUT itemizing.
Two things to keep in mind:
It must be a CASH contribution ONLY…not clothes, furniture, etc
It must be to a qualified charity - 501(c)(3) Public Charity
Depending on your income bracket, this may not be very impactful, but for that reason this may be easily overlooked and every bit of tax planning adds up.
If you would like help determining if you are on pace for your retirement goals, schedule a brief 15-minute call so that we can discuss.
Best
Pat
Disclaimer: This is meant to be educational. This is NOT advice for your specific situation. Please consult a qualified tax professional before making any changes to your tax strategy or charitable giving strategy.