Donate
Why donate?
When you donate, you make a difference. Donating is a great way to contribute to a cause because it creates a domino effect. When you donate, you help make your cause more visible to other people. Donating to a charitable organization not only supports the cause you care about, but it promotes community awareness of the issue. Donating can also help you meet other people who care about the same cause as you. If that isn’t enough, when you help others by donating, you are also helping yourself. Many charitable donations are tax deductible, meaning you don’t have to pay taxes on the money you donate.
What is a tax-deductible donation?
Not all donations are tax deductible. When you donate, look on the organization’s website to see if your donation will be tax deductible. When you make a tax-deductible donation, you can claim it on your taxes. Claiming a tax-deductible donation reduces your taxable income. That means you’ll owe less in taxes (or get a bigger tax refund) when you pay your taxes.
How do I donate?
Donating can be quick and simple. Even if you don’t have money to donate, many organizations take donations of goods or services. Before you get started, though, make sure you do your research to make sure the organization you’re donating to is the right one. Find a few different organizations or candidates that support your cause. Then dig a little deeper--figure out which ones have a mission statement you agree with. If you’re donating to a charity, check ratings on sites like Charity Navigator before making a final decision.
Once you’ve donated, make sure to keep records of the donations you make. If you donate goods, you may need to ask for a receipt. If you donate money, you will probably get an email or letter confirming your donation. Store these records away so that you’ll have them ready when it’s time to pay your taxes. If you’re making a large donation, you may want to connect with your personal accountant on strategies and ways to allocate your donations or how you can best donate to your chosen organizations or campaign.
I donated! What else can I do?
If you don’t have much time but want to keep contributing, many organizations will let you sign up for monthly donations. If you have a little more time, you can get more involved, too. For example:
When you donate, you make a difference. Donating is a great way to contribute to a cause because it creates a domino effect. When you donate, you help make your cause more visible to other people. Donating to a charitable organization not only supports the cause you care about, but it promotes community awareness of the issue. Donating can also help you meet other people who care about the same cause as you. If that isn’t enough, when you help others by donating, you are also helping yourself. Many charitable donations are tax deductible, meaning you don’t have to pay taxes on the money you donate.
What is a tax-deductible donation?
Not all donations are tax deductible. When you donate, look on the organization’s website to see if your donation will be tax deductible. When you make a tax-deductible donation, you can claim it on your taxes. Claiming a tax-deductible donation reduces your taxable income. That means you’ll owe less in taxes (or get a bigger tax refund) when you pay your taxes.
- Taxable income: the income that you pay taxes on, like wages and tips
- To find out more about tax-deductible donations, take a look at this article from The Balance
How do I donate?
Donating can be quick and simple. Even if you don’t have money to donate, many organizations take donations of goods or services. Before you get started, though, make sure you do your research to make sure the organization you’re donating to is the right one. Find a few different organizations or candidates that support your cause. Then dig a little deeper--figure out which ones have a mission statement you agree with. If you’re donating to a charity, check ratings on sites like Charity Navigator before making a final decision.
- For more information on the different types of donations, check out this article on The Balance.
Once you’ve donated, make sure to keep records of the donations you make. If you donate goods, you may need to ask for a receipt. If you donate money, you will probably get an email or letter confirming your donation. Store these records away so that you’ll have them ready when it’s time to pay your taxes. If you’re making a large donation, you may want to connect with your personal accountant on strategies and ways to allocate your donations or how you can best donate to your chosen organizations or campaign.
- To find out what you’ll need to claim a donation on your taxes, read this guide from the IRS
I donated! What else can I do?
If you don’t have much time but want to keep contributing, many organizations will let you sign up for monthly donations. If you have a little more time, you can get more involved, too. For example:
- Meet up! Find out if the organization or candidate has an event in your area. If they do, go to the event to meet some of the people behind the campaign or organization.
- Ask questions! You can contact an organization before or after donating to ask how else you can help. You might get a thank-you letter or email from the organization when you make a donation--you can reply if you want to stay involved.
- Find allies! Use the opportunity to connect to people who also care about your cause. You may find other people who want to help in the same ways you do.
- Tip: if you want to donate to a political campaign, donate to a candidate instead of a party to give them a boost and demonstrate your support.