Even during tough economic times, Americans find time and money to give. This is the perfect time of year to help those in need of a hand. The team at Broussard Poché, LLP wants to help you give back this holiday season.
- Your finances first: It may not always be best to think of yourself first, but in this case, you have to. Think about setting aside a little just for charity as you are setting aside your shopping money. Also, check the IRS rules on charitable giving or consult with your tax professional for any advice on how you could qualify.
- Check out the charity: Make sure you know where your money is going. Check out local nonprofits before cutting a check. Look into whether they are reaching the community where you want your donations to go. CharityNavigator.org, CharityWatch.org, and Give.org can let you know of any complaints against the nonprofits and tell you if they are accredited charities.
- Consider items: If you can’t donate money, most charities and nonprofits are in need of actual items, like clothes, furniture, food, and toys. Clean your closets, look for things in good condition that can be reused. From a tax point of view, vehicle donations are gaining popularity. They are a good way for taxpayers to get a deduction in exchange for a donated car, boat, motorcycle, truck or another vehicle that a charity may need.
- Look into a DAF: Donor-advised funds established through reputable financial companies perform due diligence on the charities their funds can gift to and all of your detailed records are kept, making it much easier come tax season. Speak to your financial planner about setting up a DAF.
Work with your financial advisor, even people with modest means can be charitable during the holiday season.