Thank you for including Catholic Medical Center in your charitable giving.
Important: Be sure to check with your financial advisor to determine whether a provision is right for you. This information is not meant as tax or legal advice.
Charitable Giving in 2018:
Information to Consider
How will the Tax Cuts and Jobs Act of 2017
affect you? Most CMC donors make charitable gifts out of a desire to create positive change
in local healthcare. The new tax law does not change that driving motivation, but it may impact the way you give.
Thank you for your past support of Catholic Medical Center and for your consideration this year!
Changes important to donors:
- The standard deduction nearly doubles to $12,000 for single filers and $24,000 for married couples filing jointly.
- Income-tax rates are lower for most individuals.
- Some individuals and families may continue to choose to itemize deductions; however, some deductions are reduced and/or capped under the Tax Cuts and Jobs Act
Some donors are considering:
Increasing charitable giving to benefit from itemizing deductions.
Making gifts of appreciated stock.
- If the total of your itemized deductions approaches the new higher standard deduction amount, you might consider giving a little more to charity in 2019. This could increase the likelihood that your overall deductions exceed the standard deduction amount, allowing you to itemize and receive the tax benefits.
Bunching or bundling itemized deductions.
- You can still save capital gains taxes by giving appreciated stock owned for more than a year. This is a key part of the tax law that has not changed.
Make retirement-plan or life insurance gifts.
- You have the flexibility to time the payment of qualifying deductible expenses and may want to consider bunching or bundling these expenses, including charitable gifts, into alternate years. This may increase the likelihood of being able to itemize deductions in alternate years. If you make charitable gifts this way, you could notify the charity that your larger gift is for a two-year period.
Thinking about donor-advised funds.
- A simple and smart way to make a charitable gift is through retirement plan or life insurance beneficiary designations. These gifts are not subject to tax, unlike retirement plan gifts to individuals.
Make a gift that costs nothing now.
- You can make a large contribution in one tax year to establish or add to a donor-advised fund. If the gift is large enough, you may be able to itemize deductions that year. In subsequent years, when your deductible expenses are not large enough to itemize, you can ask the donor-advised fund administrator to make a distribution to a favorite charity, thereby continuing your support. Donor-advised funds are relatively inexpensive to establish and maintain.
Note: This information is not meant as tax or legal advice. Be sure to check with your financial advisor or attorney to determine whether a provision is right for you and your individual situation.
- A bequest in a will or trust continues to be a great way to make a significant gift that costs nothing now. There are many ways to design a bequest in order to best meet your family priorities and charitable objectives.
For more information on charitable giving to CMC, please contact Jennifer Higgins Pitre, Vice President of Philanthropy at 603.665.2569 or firstname.lastname@example.org.