Making the Most of Your Year-end Charitable Giving

As the year draws to a close, many individuals and organizations consider making charitable contributions to support causes close to their hearts—making year-end giving an especially meaningful opportunity to create impact. Beyond reflecting the spirit of generosity during the holiday season, year-end charitable giving can also help maximize support for vital programs while potentially offering tax advantages.

The New Year brings significant changes to charitable tax deductions under the One Big Beautiful Bill Act,^[1] passed in July 2025. This article explores key considerations and tips for making the most of your year-end charitable giving in this new landscape.

1. Plan Ahead

Before the holiday rush sets in, take the time to plan your charitable giving strategy. The new tax laws create both opportunities and limitations that require thoughtful consideration:

Identify causes that resonate with you and align with your values
Create a budget for your charitable contributions to ensure you can support multiple causes or organizations
Determine your tax filing status: Will you itemize deductions or take the standard deduction in 2026?
Consider timing: Depending on your situation, bunching gifts into 2025 versus spreading them into 2026 may optimize your tax benefits

In New York, nearly 940,000 residents remain uninsured, and significant healthcare coverage gaps affect even those with insurance. Planning charitable giving to address these critical needs—from bereavement counseling to specialized care—can make a profound difference in your community.

2. Research and Evaluate

Not all charitable organizations are created equal. Conduct thorough research to identify reputable and effective charities:

Use Charity Navigator, Guidestar and GiveWell to evaluate organizations’ financial health, transparency and impact
Look for charities that allocate a significant portion of their budget to programs rather than administrative costs
Seek organizations that demonstrate measurable results in addressing urgent needs

For health care-focused giving in New York, consider organizations that address critical coverage gaps: extended bereavement support beyond Medicare’s 13-month limit; culturally connected care for diverse populations; specialized therapies excluded from standard benefits; and comprehensive services for uninsured patients.

3. Explore Matching Gifts

Many employers offer matching gift programs that match their employees’ charitable contributions. Check with your employer to see if such a program is in place, or check with our online tool to see if your company matches your gifts. This can significantly increase the impact of your donation without any additional cost to you. Major New York employers, including health care systems and financial institutions, often provide dollar-for-dollar matching, effectively doubling your contribution.

4. Consider Donor-Advised Funds (DAFs)

Donor-advised funds are a popular and powerful vehicle for charitable giving, particularly under the new tax rules^[2]. A Donor-Advised Fund (DAF) can be a smart, flexible way to give as the year comes to a close. Many donors choose a DAF because it may allow them to receive a charitable tax deduction in the current year while recommending grants to causes they care about. To be eligible for a deduction in the year, contributions to a DAF generally must be made by December 31.

5. Explore Non-Cash Donations

Consider donating appreciated securities, real estate, or other non-cash assets instead of cash. This can be a tax-efficient way to support your chosen charity.

6. Check Deadlines

Be mindful of deadlines for year-end contributions, especially if you want to claim a deduction on your current year’s taxes:

December 31 deadlines:

Credit card donations: Must be charged by December 31 (even if paid later)
Check contributions: Must be postmarked by December 31 (keep proof of mailing)
Online donations: Must be completed by 11:59 PM on December 31
DAF contributions: Must be received by the fund sponsor by December 31
IRA/QCD transfers: Must be completed and received by the charity by December 31
Securities transfers: Allow 5-7 business days for processing

Charitable organizations may have specific guidelines for receiving donations before the end of the fiscal year, so check with them directly to avoid missing critical deadlines.

Engage in Year-Round Giving

While year-end giving is significant—representing nearly 30% of annual charitable donations—charitable organizations need support year-round. Consider spreading your contributions evenly or setting up recurring donations to sustain the causes you care about.

Health care organizations, in particular, face ongoing needs: hospice programs require ongoing funding for bereavement support, uninsured patients need year-round care and specialized services cannot operate on seasonal contributions alone.

Making an Impact

Year-end charitable giving is a powerful way to make a positive impact on the world and support the causes that matter most to you. By planning ahead, understanding the new tax rules, researching effectively and exploring various giving strategies, you can ensure that your contributions are meaningful and aligned with your values.

Whether you choose to support local health care charities addressing coverage gaps, international organizations, or both, your generosity can make a profound difference in the lives of those in need.

This article provides general information and should not be construed as tax or legal advice. Consult with a qualified tax advisor to develop a charitable giving strategy tailored to your specific circumstances.

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References

^[1] Fidelity Charitable, “One Big Beautiful Bill (OBBB): Impact on charitable giving” (2025)

^[2] DAFgiving360, “What the One Big Beautiful Bill Act means for charitable giving” (2025)