We’ve been taught the importance of altruistic acts since before grade school, but aside from the good feeling we get from giving, the benefits are less apparent.
I hate being the one having to provide you with the extrinsic motivation urging you to keep giving, but there are many more benefits in it for you than just the “feel-good” quality. Donating to charitable causes is not only tax deductible, but the standard mileage rates apply to driving in service of charitable organizations; for example, driving to Salvation Army to drop off the plastic bag full of clothes that has been sitting in your basement for two years. You can also choose to deduct operating expenses, but as you may know, MileIQ makes it easy to keep track of mileage and plug in tolls and parking fees.
So, what do the tax savings look like for you?
- If you are in the 33% tax bracket, donating $100 is like donating $67
- If you’re in the 35% tax bracket it’s even less — $100 is equivalent to donating $65
Remember: you need to record those donations! So, keep those receipts or use an application like One Today which makes it easy to give a dollar to a host of different organizations. One Today is IRS validated and 100% of your donations will go to the organization, unlike other charity platforms. To explore other similar applications that will help you easily track your giving, click ME.
What else is in it for you? A study conducted by Baris K. Yörük at the University at Albany-SUNY found that there is a potential link between giving to others and improved health. To read more about Yörük’s findings, check out WSJ’s article: Does Charitable Giving Lead to Better Health?
Performing acts of kindness is a huge part of what Taxfyle stands for, and we want to keep it this way. Help us out by filing today! If you use our code: FYLEMCHF, we will donate 30% to the Miami Children’s Health Foundation.
Related Articles: Deducting Non-Business Driving For Medical, Charity, Eight Tips for Deducting Charitable Contributions, Tax Benefits of Giving, 10 Empowering Apps for Social Good
Maey Petrie, Student at UM, burgeoning ping pong player, playlist assembler, content wizard .
