Just do a Fidelity DAF.
You have already figured out the advantage of making your charitable donations via appreciated assests (shares) to avoid the CG tax and give the charity more.
If you currently do not itemize, you may also find another tax advantage with a DAF: It offers the opportunity to bunch your donations. Every 3-4 year, donate a big chunk to your DAF. That allows you to deduct the portion of the DAF donation that brings you over the standard deduction limit. All other years, make all charitable donations from the DAF and take the standard deduction. That way you are not leaving as much on the table. Example: You donate $3k/year, but are consistently $2k under the standard deduction for your household so you don't itemize. Give your DAF $12k in year 1, which puts you over the standard deduction that year, and allows you to itemize, realizing $7k greater deduction that you would normally get from the standard. In years 2, 3 and 4, you make no donations (because you are giving from your DAF), and take the standard deduction.
You have already figured out the advantage of making your charitable donations via appreciated assests (shares) to avoid the CG tax and give the charity more.
If you currently do not itemize, you may also find another tax advantage with a DAF: It offers the opportunity to bunch your donations. Every 3-4 year, donate a big chunk to your DAF. That allows you to deduct the portion of the DAF donation that brings you over the standard deduction limit. All other years, make all charitable donations from the DAF and take the standard deduction. That way you are not leaving as much on the table. Example: You donate $3k/year, but are consistently $2k under the standard deduction for your household so you don't itemize. Give your DAF $12k in year 1, which puts you over the standard deduction that year, and allows you to itemize, realizing $7k greater deduction that you would normally get from the standard. In years 2, 3 and 4, you make no donations (because you are giving from your DAF), and take the standard deduction.
Statistics: Posted by Saving$ — Sat Oct 19, 2024 1:37 am