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Keep the giving going

December 26, 2008

Another Christmas has come and gone and, as always, it was a fine one. Every year the hubby comes through on special (and other) occasions.

As for me, sure, there were a few things I wanted to get but didn't get around to picking up. No problem. My unpurchased gifts can wait until January. That's the month the hubby and I were married, so I can always call them anniversary presents and still get "good wife" credit! That's our secret, OK?

Salvation army kettle_by pheezy (2)
After the holiday hubbub dies down it's also a good time to think about giving to strangers, specifically folks who didn't enjoy much seasonal cheer.

We all know about the major philanthropic organizations that put on big end-of-year, reason-for-the-season giving pushes. If you've already given to Goodwill, Salvation Army, Toys for Tots or your more local charity of choice, that's fantastic.

If, however, the chaos of Christmas got in the way of donating to your favorite nonprofit, don't despair. They'll gladly take your gift whenever you can get around to it.

And if you contribute by Dec. 31, it also could help your personal tax bill bottom line.

Getting the tax most out of gifts: Taxpayers who itemize can include charitable gifts on their Schedule A. For most folks, that means that all our donations are deductible.

Big givers might face a limit, as will folks whose overall itemized expenses are reduced because they earn over a certain amount; $159,950 is the cutoff amount for 2008 returns.

So go ahead and give by the end of the year to do unto others and do yourself some tax good, too.

And even if you don't get a tax break or get a reduced one, you'll still get the full benefit of knowing you helped out someone else.

Interesting ways to give: Ideal Bite put together this list of intriguing ways to give that I didn't know about.

  • CharityUSA — Choose a specialized e-mail account from a variety of causes and your electronic messages will help support that group.
  • Care2 — Test your knowledge and, among other things, help conserve land, assist children and stop violence against women. 
  • TheNonProfits — Here you'll find links to more than 50 different click-to-donate sites.

Ways to help other than donating directly include:

  • Care2 E-mail — Help different social justice and eco-charities with your free, donation-linked email account.    
  • Free Rice — This online game help you brush up your vocabulary. For each answer you get right, you'll donate 20 grains of rice to the UN World Food Program.   
  • GoodSearch — This search engine powered by Yahoo donates 50  percent of revenues to charities that you choose.

More giving ideas and discussions can be found in my year-end moves post, as well as in this IRS Web page about year-end donations , Practically Speaking and Fun Times Guide to Money & Finances.

Salvation Army drummer photo
courtesy pheezy & Flickr/Creative Commons

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The More Tax Posts tab at the top of this page will take you to, well, more tax posts. You also can search below for a tax topic. 

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TAX-SAVVY WAYS 
TO WRAP UP 2026

It’s over! With October’s extended filing deadline behind us, it is now time to focus on year-end moves to reduce your 2026 tax bill. 

You’ll find ways to do just that on the Tax Tips page (see the More Tax Posts drop-down menu at the top of the blog), as well as the separate tax tip pages for each month, notably October through December. If you’re on the Tax Tips page, you’ll find a monthly list at the end of this column. If you’re on another blog page, you can head straight to the October tips; at the bottom of that tips page you’ll find links to all the other 11 months’ collections of tax advice.

Not to spoil what you’ll find in that tax advice, but it does cover such things as tax deductions for charitable donations, investment moves that could reduce tax due, and ways to max out your tax-favored retirement savings. 

Finally, as the year winds down, things get hectic. There are lots of other things to occupy our time, like the much more fun upcoming holidays. But don’t lose sight of taxes, since timing is key. To be of use, most tax moves must be made by the end of the tax year. That’s Thursday, Dec. 31, which also is the last business day of the year. 

So that you don’t miss that final tax year deadline, also keep an eye on the countdown clock below. It will keep you on top of just how much time is left to make important, tax-saving moves. (Note: I’m in the Central Time Zone, so adjust accordingly for where you live.)

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