Ah yes, of course, I stand corrected. Thanks for pointing these out. Not to mention one has more control over investment choices and strategy if made in year five, and over what in their portfolio to donate as well.You get a $100 tax deduction if donated in year 1 and a $200 tax deduction if donated in year 5. But then there’s tax drag if donated in year 5, which knocks the difference down a bit. And then one should account for the growth of the tax saved if donated in year 1, which would knock the difference down a tiny bit more.
So there's at least a few technical differences which migh t in some cases make a significant difference too, though to both sides of the strategy (donating in year 1 vs 5).
Statistics: Posted by MrJones — Thu Dec 12, 2024 10:56 am