For the first time, the charitable deduction rules from the One Big Beautiful Bill are fully in effect. Some of your donors now have a tax benefit they didn't have a year ago. Others, mostly your larger donors, are working with new limits.
Many of your donors may not be aware of these changes. That's not a knock on donors. Tax law isn't exactly beach reading.
You don't need to become a tax expert to help your donors take full advantage of all their tax saving opportunities. You just need to know what changed and point donors to their advisors.
Here three of the changes to know before December 31:
Donors who take the standard deduction can now often deduct up to $1,000 (single filers) in cash gifts to qualified charities, or $2,000 for married couples filing jointly. That covers many of your donors, since the IRS reports that about 88% of filers take the standard deduction.
The fine print matters. Only cash gifts count (check, card, or online). Gifts of stock or gifts to donor-advised funds generally don't qualify.
Now, most donors don’t give for the tax write-off. They give because they believe in your mission.
But knowing a gift is deductible may nudge some of them to give a little more, and it’s useful information they deserve to have if they’re already supporting your work.
Now imagine that across your donor base. A slightly larger gift from many supporters could add up to a meaningful difference for your mission.
For the full breakdown, including how to talk about it, read The Above-the-Line Charitable Deduction for Non-Itemizers: What Your Nonprofit Should Tell Donors.
For donors who itemize, charitable gifts are now deductible only above 0.5% of their adjusted gross income. A donor with $200,000 of AGI, for example, can't deduct the first $1,000 they give.
For most donors, that's a small change. For major donors who give the same amount every year, it may be worth a conversation with their advisor about timing.
Starting in 2026, taxpayers in the highest federal income tax bracket will see a slight reduction in the tax benefit they receive from charitable giving. Under the new rule, charitable deductions for these high earners will be capped at 35%, even though their top marginal tax rate is currently 37%.
In practical terms, that means each dollar donated will reduce taxes by 35 cents, not 37 cents.
Some of the most useful year-end tools still work the way they did:
Keep it short, keep it accurate, and always point back to the donor's tax advisor. Your job is awareness, not advice. Here's language you can copy and adapt.
Did you know? If you take the standard deduction, cash gifts made by December 31 may be deductible on this year's tax return. We encourage you to check with your tax advisor to see how this applies to you.
P.S. New tax rules may let you deduct your gift even if you don't itemize. Gifts must be made by December 31 to count for this year.
Giving before December 31? Your gift may be tax-deductible, even if you take the standard deduction. Consult your tax advisor for details.
A few small updates now can save your team a lot of December scrambling:
Most of your donors don't give for the tax break. But this year, many of them have one they didn't have before, and some of your biggest supporters have new reasons to plan ahead. A clear sentence in the right place helps both groups give with confidence.
For templates, sample language, and more planning tools, visit our Year-End Giving Resource Library. For a deeper look at the broader law changes, watch our on-demand webinar, Year-End Giving Under the One Big Beautiful Bill.