SAN ANTONIO — You still have a few days left to give to a charity and get a break on your 2021 tax return. A local financial advisor shares ways you can make the most impact with your dollars.
If you are married, taxpayers can take a deduction up to $600 for cash contributions and $300 if you’re single. The temporary break will expire January 1, unless Congress chooses to extend the special tax deduction. KENS 5 spoke with a local financial advisor who shares some ways you can make the most out of your contribution.
With local nonprofits, you may see first-hand how your dollars could benefit the community. Karl Eggerss, principal and financial advisor of CAPTRUST, suggests donating to charities that you may be personally involved in.
“Sometimes giving to a local charity is much more meaningful to you because you may have been involved in it in the past and there’s a lot of your friends that may know about that charity,” said Eggerss. “You’re really getting the spirit and heart of what they’re doing as opposed to just clicking a button on a website.”
There are several websites that can track how contributions are distributed and can give you insight on the organization’s background. Some of the organizations include the Better Business Bureau, Charity Navigator and the Guide Star.
“A lot of these charities have a lot of overhead and expenses. And you really want to see, are your dollars going to the specific needs of the charity or are they really going to run the charity itself? What’s their payroll like and things like that. There are a lot more analytics on charities now than there used to be,” said Eggerss.
While making a contribution, you can also consider generously giving your time to help a nonprofit continue their mission. Nonprofit organizations heavily rely on the community’s help to survive. Eggerss recommends finding a charity that mirrors your interests. If you have special set of skills, you may offer your services to a particular group that can utilize them.