This report is rich in data that can help you better understand effective giving and donor-advised fund grants. This free report is valuable to donors looking to give more effectively and nonprofits looking to understand key partners better. It can also help anyone in the giving sector interested in meaningful trends in giving behavior.
To access the exclusive findings in Why Giving Matters, please complete the form.
A donor-advised fund (DAF) allows for the contribution of assets to a philanthropic account. These are assets that must go to charity. Assets can then grow tax-free to create more charitable dollars while being granted to nonprofits. Vanguard Charitable wanted to better understand how using a DAF influences the giver and the grant recipients.
This DAF report reviewed both internal data and survey data. Surveys were collected from donor-advised fund donors and charities that have received grants from Vanguard Charitable accounts.
Mar 30, 2023
Mar 28, 2023
The laws are black and white for cash vs. non-cash assets: maximum of 60% of AGI for cash donations, 30% for non-cash asset donations. But what if you gave both in 2025? What is the maximum then?
The answer varies from one person to another and the specifics of how you gave last year. If you gave multiple asset types to charity, ask your advisors about what maximum deduction you should expect in 2025.
If you gave more than the maximum deduction available to you in 2025 and you’re starting to worry as you prepare your taxes, don’t fear. A charitable contribution carryover is still an option.
A charitable contribution carryover allows you to spread your charitable contributions over several years, providing you follow certain rules. That way, you can take the charitable tax deduction beyond just the year in which you gave.
The deduction limitation on carryovers in future years is still 60% of your AGI; you can carry over excess deductions for up to five years.
Annual adjustments are made to tax brackets to account for inflation. This means that those on the edge of a tax bracket in 2024 may find themselves in a new one as they prepare their taxes for 2025.
Tax brackets for 2025
| Rate | For unmarried individuals, taxable income over | For married individuals filing joint returns, taxable income over | For heads of households, taxable income over |
|---|---|---|---|
| 10% | $0 | $0 | $0 |
| 12% | $11,925 | $23,850 | $17,000 |
| 22% | $48,475 | $96,950 | $64,850 |
| 24% | $103,350 | $206,700 | $103,350 |
| 32% | $197,300 | $394,600 | $197,300 |
| 35% | $250,525 | $501,050 | $250,500 |
| 37% | $626,350 | $751,600 | $626,350 |
Additionally, the standard deduction was also increased to account for inflation. Taxpayers who itemized on their 2024 taxes will want to make sure their itemized deductions continue to outweigh the standard deduction in 2025.
Standard deduction amounts
| Filing Status | 2024 standard deduction | 2025 Standard deduction |
|---|---|---|
| Single | $14,600 | $15,000 |
| Married, filing separately | $14,600 | $15,000 |
| Married, filing jointly or qualifying widow/widower | $29,200 | $30,000 |
| Head of household | $21,900 | $22,500 |
How does charitable giving play into your tax deductions? For professional advisors, how can you ensure you’re supporting your clients’ charitable giving and tax goals?
Review these must-know 2025 tax trends to discover how to make the most of the charitable giving you did and plan for the year ahead.
Feb 22, 2023
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