The tax law President TrumpDonald John TrumpEx-ethics chief calls on Trump to end 'monstrous' migrant policies Laura Bush blasts Trump migrant policy as 'cruel' and 'immoral' US denies report of coalition airstrike on Syria MORE signed in December will lower charitable giving in 2018 by $17.2 billion, or 4 percent, before accounting for economic growth, according to a new report from the right-leaning American Enterprise Institute (AEI). The tax law does not directly limit the itemized deduction for charitable contributions. However, the measure significantly increased the standard deduction, which reduces the number of people who will take itemized deductions. The law also cut tax rates for individuals, which could lower the incentive for people who itemize deductions to make charitable donations. AEI researchers estimated that of the projected $17.2 billion decline in giving, $14.2 billion of the reduction will be due to the bigger standard deduction and $3 billion will be due to … [Read more...] about AEI: GOP tax law will reduce charitable giving by $17.2 billion
Charitable giving program
With its annual fall fundraising campaign just months away, United Way Worldwide is concerned that it may have a tough time attracting donors because of the sweeping tax code changes Congress passed last year. The tax reform law that President Donald Trump championed doubled the standard deduction that taxpayers could take on their taxes, raising it to $12,000 for individuals, $18,000 for heads of household and $24,000 for married couples filing jointly and surviving spouses. According to the Tax Policy Center, the law will slash the number of people who itemize their charitable contributions by more than half to 16 million, the vast majority of whom are high earners. "We know that the main reason why people give to charity is not the tax incentive," said Steve Taylor, United Way Worldwide senior vice president and counsel for public policy. "We also know that the tax incentive allows people to give a little bit more than they would have otherwise. What you have is tens of … [Read more...] about Tax reform is squeezing charitable giving
By Marissa Payne, The Gazette Shelly Maharry was recently named executive director of an organization that, she says, strengthens the Johnson County community — the same place that gave her career a kick-start in the 1990s. Maharry, 39, assumed her new role at the Community Foundation of Johnson County this month. Previously, she was the associate director for the Community Foundation of Greater Muscatine. Her work at community foundations started after 15 years with the University of Iowa Hospitals and Clinics, her first job after graduating from the UI. The Community Foundation of Johnson County controls $26.8 million in assets, distributing money to nonprofits that support the arts and humanities, education and health and human services. “Because we don’t support any one particular nonprofit, we are really a promoter of all philanthropic services throughout the county,” Maharry said. “All the good happening in the county, we are a part of.” … [Read more...] about Community Foundation of Johnson County’s new director talks charitable giving
Rev. Ray Lanning, a retired minister of the Reformed Presbyterian Church of North America, responds: “In my experience Christians do have a blind spot in this area. Many ‘middle class’ Christians don’t seem to realize that there is as much poverty and need in certain parts of the USA as there is in any ‘third world’ country, even in parts of the ‘holy city’ of Grand Rapids. The answer is not to withhold aid to other countries, or divert our giving from causes abroad to causes at home. Rather, we should gird up our loins and see what there is to be done closer to home as well. ‘Blessed is he that considereth the poor’ (Psalm 41:1). “Presbyterian and Reformed churches are blessed with an agency to lead the way. We call it the ‘diaconate,’ the body of those elected and ordained to serve as ‘deacons’ in our congregations, after the example of the early church (Acts 6). ‘The office peculiar to … [Read more...] about Ethics and Religion Talk: How do we fairly allocate our charitable giving between local needs and others?
Art Taylor well understands how donors might feel overwhelmed by charitable appeals at this time of year. Roughly one-quarter of all charitable gifts are made in just the final six weeks of any given year -- likely the result of holiday spirit and the need to give before year-end for tax purposes. So, philanthropic organizations go into overdrive during the holiday season, shooting out millions of pleas for help. They're tough to ignore, Taylor added. In fact, an increasing number are using the "reciprocity principal" -- sending little gifts of greeting cards or mailing labels, for instance -- to make donors feel compelled to give something back. "You would be surprised at the number of people who feel obligated," said Taylor, president and chief executive of the Better Business Bureau's Wise Giving Alliance. "Some donors almost treat these appeals like an invoice." While many of the organizations sending out pitches at this time of year may be worthy, it makes no sense to be … [Read more...] about 7 simple steps to wise charitable giving
Charitable donations have reached new records for two years running, according to a Giving USA report published in June 2016, but with more than one million charities across America, knowing which cause to donate to can get tricky. Many charities get up to half of all the donations they receive throughout the year in the five weeks between “Giving Tuesday” (also known as the Tuesday after Thanksgiving) and New Year’s Eve. One reason for the crush: the Dec. 31 IRS deadline for donors to make contributions to get tax deductions for the calendar year, according to Charity Navigator, a nonprofit watchdog that has been rating charitable organizations in the U.S. since 2001. For more tips on budgeting and spending for the festive season, see our Holiday Financial Guide Charity Navigator offers a zero to four-star rating of approximately 8,000 U.S.-based charities operating across the globe. Here are some of its tips for “intelligent … [Read more...] about How to be smart about charitable giving over the holidays
Among the tax-saving strategies to consider as part of your year-end planning involves your charitable donations. First, some background regarding how President-elect Trump’ tax plan could affect your 1040 in 2017. He wants to reduce the number of individual income tax brackets from the current seven to three, with rates of 12, 25 and 33 percent. This means the current top tax rate of 39.6 percent would be cut by 6.6 percentage points, to 33 percent. Trump’s tax plan would also cap the total amount of itemized deductions at $100,000 for single filers and $200,000 for joint filers. Under today’s rules, if you’re in the top 39.6 percent bracket, each $1,000 donated to a charity in 2016 will result in federal tax savings of about $400. But if Trump’s plan becomes reality in 2017, that same donation made next year would yield a tax savings of only about $330 (under the proposed top 33 percent bracket). If you fall into the proposed 25 percent tax … [Read more...] about Charitable givers, Trump’s tax plan means move fast
The 2017 holiday charitable giving season began on a cheery note, heartening nonprofit executives who feared that donors' wallets were thinned by contributions to disaster relief and that generous spirits would be deadened by depressing news on numerous fronts. Donations on Giving Tuesday soared 50 percent to more than $274 million as both the number of contributions and gift amounts jumped, according to the 92nd Street Y, a founder of the movement. Giving Tuesday began six years ago as a way to encourage charitable giving just as Black Friday and Cyber Monday promote shopping. It has become the unofficial start of the all-important holiday giving season -- a period of about six weeks during which nonprofits can raise as much as 50 percent of their revenue. This year, the number of Giving Tuesday donations grew 22 percent to 2 million, while the average gift size increased 11 percent to $111. The amounts include only the digital platforms working with the 92nd Street Y. The actual … [Read more...] about In a tough year, charitable giving rises this holiday season
Visit The Boston Globe Share on Twitter Share on Facebook Comment on this Scroll to top of page By Lisa Alberghini and Karen LaFrazia February 08, 2018 History came full circle recently as construction began at the former Boston Young Men’s Christian Union on Boylston Street to convert it into 46 units of permanent affordable housing for men and women experiencing homelessness, and for people with very modest incomes. This new use continues the legacy of the BYMCU’s 150-year old mission of service to others. When it opened its doors in 1852, the BYMCU’s goal was to welcome young men who, because of their backgrounds or religion, had been unwelcome in other community clubs. When the doors re-open next year, the building will provide homes for those in need who have not always been welcome in their communities. It will provide jobs for people experiencing homelessness, through a new ground-floor business venture. And it will become home to the … [Read more...] about How the tax law hurts charitable giving and affordable housing
Brianna McGurran, NerdWallet Published 9:00 am, Friday, December 22, 2017 This article was first published on NerdWallet.com. “Ask Brianna” is a Q&A column for 20-somethings or anyone else starting out. I’m here to help you manage your money, find a job and pay off student loans — all the real-world stuff no one taught us how to do in college. Send your questions about postgrad life to [email protected] This week’s question: “This time of year, I’m getting a lot of requests to donate money, but bills and debt payments are hanging over my head. I want to be generous. Can I give to charity anyway?” LATEST BUSINESS VIDEOS Now Playing: Now Playing Teen entrepreneurs finding success through their own business Fox5DC Congratulations: You have a heart. The desire to donate comes from a place of compassion and empathy, and it’s worth celebrating. “We can’t avoid being human … [Read more...] about Ask Brianna: Can I Give to Charity If Money Is Tight?