New tax rules that took effect this year may influence how you choose to give. Here’s what you need to know:

Q: What’s the biggest change this year?
A: You can deduct up to $1,000 (single filers) or $2,000 (married couples) charitable donations even if you don’t itemize. So even smaller donations can benefit you while making an impact. Note: Gifts to donor-advised funds are excluded.

Q: Can I claim this on top of the standard deduction?
A: Yes! For 2026, that deduction is $16,100 for single filers and $32,200 for married couples filing jointly.

Q: Any additional benefits if I’m 65 or older?

A: If you are 65 or older, you may claim an additional standard deduction of $2,050 if you are a single filer and head of a household. $1,650 per qualifying individual if you are married filing jointly or separately, or a qualifying widow(er).

A: Through the 2028 tax year, you can claim yet another deduction — up to $6,000 for an individual or $12,000 if married and both spouses qualify. This bonus deduction applies regardless of whether you itemize or take the standard deduction. Note that this deduction phases out for taxpayers with higher incomes, so discuss this with your tax professional or accountant.

Q: Based on all these benefits, how should I give this year?
A: Even if you don’t itemize, you may still benefit if you give appreciated stock or real estate by eliminating capital gains tax on the growth.

A: In addition, if you are 70½ or older, you can make a charitable gift directly from your IRA (QCD-qualified charitable distribution). You pay no tax on the distribution, and if you are required to take an IRA required minimum distribution (RMD), it can satisfy all or part of that obligation

Q: What if I do choose to itemize?
A: Keep these portions of the new tax law in mind:

1. Deduction limit for cash gifts
   You can still deduct cash gifts of up to 60% of your adjusted gross income (AGI). Consider combining your cash and non-cash assets, often called blended giving, to maximize your tax benefits and impact.
2. New floor for itemizers
   You will need to give at least 0.5% of your AGI to claim a charitable deduction.
3. New limit for top earners
   Top earners (those in the 37% tax bracket) now get only a 35-cent tax benefit for every $1 deducted.

Create Your Legacy

No matter how you choose to give, we’re here to help you maximize the impact of your generosity. Contact Lisa Stanger at 203-266-3084 to help you make the most of giving and create a legacy.