Charitable Giving in 2025: Purpose, Planning, and Tax-Smart Strategies

The Giving Landscape in 2025

Americans remain deeply committed to giving back, even in uncertain economic times. According to recent national data, overall charitable contributions continue to hover near record levels, with strong support for local causes, education, and health-related organizations. At the same time, many donors are becoming more intentional — favoring transparency, measurable impact, and long-term sustainability.

Technology also plays a growing role. Donor-advised funds (DAFs) and online giving platforms have made it easier to contribute to multiple organizations, track your giving, and manage donations from one centralized account.

Strategic Giving: Making the Most of Tax Benefits

While charitable giving is rooted in goodwill, it’s also an important component of a well-rounded financial plan. With thoughtful planning, you can maximize both your impact and your tax efficiency. A few key strategies to consider in 2025 include:

→ Qualified Charitable Distributions (QCDs):

If you’re age 70½ or older, you can direct up to $105,000 per year (as of 2025 limits) from your IRA directly to qualified charities. This can satisfy part or all of your required minimum distribution (RMD) — without increasing your taxable income.

→ Donor-Advised Funds (DAFs):

A DAF allows you to make a charitable contribution, receive an immediate tax deduction, and then recommend grants to charities over time. This flexibility is especially useful in years of higher income or capital gains, helping to offset taxable events while supporting causes you care about.

→ Appreciated Securities:

Rather than donating cash, consider giving appreciated stock or mutual fund shares. You’ll avoid

capital gains tax on the appreciation and receive a deduction for the fair market value of the asset at the time of donation.

→ Bunching Donations:

With the higher standard deduction, some taxpayers find it advantageous to “bunch” multiple years of charitable gifts into a single tax year. This approach can help you itemize deductions in one year, then take the standard deduction in the next.

Giving with Intention

The best charitable plans go beyond tax benefits. They reflect your personal values, family legacy, and vision for making a difference. Many families use charitable giving as an opportunity to involve younger generations — helping children or grandchildren understand the joy and responsibility of stewardship.

In 2025, giving intentionally means thinking about both impact and efficiency: choosing organizations that align with your beliefs, ensuring your dollars go further, and integrating giving into your broader estate or retirement plan.

A Trusted Partner in Your Philanthropic Plan

At JT Stratford, we believe charitable giving should be purposeful, personal, and financially sound. Whether you’re exploring a donor-advised fund, making a large one-time gift, or structuring your giving through your estate plan, we can help you create a strategy that supports both your charitable goals and your long-term financial health.

If charitable giving is part of your 2025 plan — or you’d like it to be — let’s discuss how to make the most of your generosity this year.