by Ashley Coldiron, Chief Development Officer
The One Big Beautiful Bill Act (OBBBA), signed into law on July 4, brings significant updates to charitable giving rules. We’re here to help you and your advisors make the most of them.
Key planning points:
- 2025 may be the year to “bunch” your giving. With the standard deduction increasing to $15,750 (single) and $31,500 (joint), front-loading contributions to a donor-advised fund could boost tax savings.
- New limits are coming. In 2026, deductions will only apply to giving above 0.5% of AGI. And if you’re in the highest tax bracket (37%) you can only deduct charitable contributions at the 35% rate.
- Non-itemizer deduction returns in 2026. A new “above-the-line” deduction—$1,000 for individuals, $2,000 for couple will apply to certain cash gifts. Non-cash gifts and contributions to donor advised funds are excluded.
- QCDs remain powerful. For those 70½+, Qualified Charitable Distributions from IRAs, up to $108,000/year, still offer unmatched tax efficiency.