If you donate money to somebody in need, you can write off that gift on your tax returns, right? If only the charitable contribution laws were that simple. The actual rules say that you can itemize your charitable donations on Schedule A of IRS Form 1040. But (and these are enormous ‘buts’) only if you’re … Continue reading “Charitable Contribution Complexity”
Charitable Contribution Complexity
September 27th, 2022
Cash Alternatives for Charitable Giving
Thinking about donating? Think of these choices. The year is winding down, and many Middle-Class Millionaires may be thinking of giving. In fact, you may want to explore the different ways in which you can donate to a charity or non-profit organization, apart from just making a cash gift. Consider some of the alternatives. Donor-advised … Continue reading “Cash Alternatives for Charitable Giving”
QCDs to the Rescue
When the 2017 Tax Cuts and Jobs Act raised the standard deduction for taxpayers to $24,000 for couples ($12,000 for singles), and lowered individual tax rates, an unintended consequence was to reduce the tax benefits of making charitable donations. Fewer taxpayers were itemizing, which means their donations didn’t count as deductions. Itemizing taxpayers—including people who … Continue reading “QCDs to the Rescue”
End-of-the-Year Money Moves for Middle-Class Millionaires
Here are some things you might consider before saying goodbye to 2020. What has changed for you in 2020? For many, this year has been complicated to say the least. Did you start a new job or leave a job behind? Did you retire? Did you start a family? If notable changes occurred in your … Continue reading “End-of-the-Year Money Moves for Middle-Class Millionaires”
A Financial To-do List for the New Year
As we enter not only a new year but a new decade, now is a good time to think about financial tasks and priorities for the year ahead. Here are seven items Kendall Capital recommends you add to your financial to-do list for 2020: 1. Contribute up to the maximum in tax-advantaged accounts. Planning ahead … Continue reading “A Financial To-do List for the New Year”
Reap Tax Benefits From Giving with a Qualified Charitable Distribution
Montgomery County residents overall tend to be generous people, with the average person donating between three percent and five percent of his or her income to charitable causes each year. However, changes to federal tax law in 2017 that can make it less advantageous tax-wise to make charitable contributions were one factor that led to … Continue reading “Reap Tax Benefits From Giving with a Qualified Charitable Distribution”
Gifts- Taxable or Not?
In Clark Kendall’s book, Middle-Class Millionaire: Surprisingly Simple Strategies to Grow and Enjoy Your Wealth, chapter 18 explains “Planned Giving” and walks through best practices of gifting. Below is a story about Rich and Barbara and real-life examples of how to gift efficiently. Rich is a retired film stuntman who, after a long career, is … Continue reading “Gifts- Taxable or Not?”
When Should You Consider an IRA Charitable Rollover?
Have you ever wanted to make a major charitable gift? Would you like a federal tax break in acknowledgment of that gift? If so, an IRA charitable rollover might be a good option. If you are age 70½ or older and have one or more traditional IRAs, you may want to explore this tax provision. … Continue reading “When Should You Consider an IRA Charitable Rollover?”
