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End of Year Giving and Your Taxes

By: Mandy Fleming, Director of Philanthropy

Tis the season for so many things…Holiday parties, baking sugar cookies, letters to Santa, spending time with loved ones – and for many nonprofit organizations, it is a time of great need!

End of year giving is so important to Heartspring because we rely on donations to help make a significant impact on the children and families we serve. As an organization, we continue to be committed to providing evidence-based, early intervention therapies and educational services to children and their families with an array of needs to help them grow and learn on a path to greater independence.

Last year alone, Heartspring created hope and opportunity for nearly 800 children, birth through age 22, and their families through the Heartspring Therapeutic School, a full spectrum of Outpatient Services, and Family and Community Outreach as well as support 498 children with $1,221,813 in free and reduced fee services.

Many donors choose to give a charitable gift at this time of year as they reflect on the things that are meaningful to them and most people have specific nonprofits they choose to support each year.

Donors like to feel like they can make a small contribution to the greater good. And since nonprofits do a great job of setting end-of-year fundraising goals, it’s rewarding for donors to see themselves make an impact.

And, of course, there can be tax benefits to giving as well! Donors seize the end of the year as the last moment to make charitable donations that they can claim on their tax returns.

In general, you can deduct up to 60% of your adjusted gross income via charitable donations, but you may be limited to 20%, 30% or 50% depending on the type of contributions and the type of organization (contributions to certain private foundations, veterans organizations, fraternal societies, etc. come with a lower limit).

The limit applies to all donations made throughout the year, no matter how many organizations an individual donates to.

When you file your tax return, you will need to itemize your deductions in order to claim tax deductible donations. There are pros and cons to itemizing, so be sure to check with your tax professional on what’s right for you.

Below are the standard deductions for the 2022 tax year by filing status:

• Single: $12,950
• Married, filing jointly: $25,900
• Married, filing separately: $12,950
• Head of Household: $19,400

Heartspring’s generous donors have helped accomplish many milestones over our 88 years. We are especially grateful for end-of-year donations because they can make a tremendous impact on the families we serve.

For more information on end-of-year giving, please feel to reach out to me. mfleming@heartspring.org