When it comes to charitable giving, the yield you receive, both spiritually and financially, can be significant. 
Spiritually, giving to John Wesley Methodist Church (JWMC) aligns with our mission
to connect people to Jesus. Financially, your charitable donations can also provide a clear 
and immediate benefit in the form of tax deductions.

STANDARD DEDUCTIONS & ITEMIZED DEDUCTIONS
When preparing your taxes, you have two options for deductions:
the “standard” deduction and “itemized” deductions.

• Standard Deduction: A fixed amount, adjusted annually for inflation,
regardless of actual deductible expenses.
For 2024, the standard deduction is:
$14,600 for singles or $29,200 for married couples filing jointly

• Itemized Deductions: These include mortgage interest, state income and property taxes,
and charitable contributions. If your itemized deductions exceed the standard deduction,
itemizing allows you to reduce your taxable income even further.

ALTERNATING STANDARD & ITEMIZED DEDUCTIONS
For some individuals, itemized deductions may never exceed the standard deduction.
However, with planning, you can optimize your charitable giving and deductions:

• Doubling Up or Bunching: Combine your 2024 charitable contributions and
other deductible expenses into a single year.
This may allow you to exceed the standard deduction for 2024,
gaining an incremental tax benefit. In 2025,
you could then return to using the standard deduction
if itemized deductions fall short.
This strategy is worth considering if your deductions often hover
near the standard deduction threshold.

CASH DONATIONS
Cash gifts are simple, and if you itemize deductions, the tax benefit is easy to calculate.
A cash donation generally reduces your taxable income by the amount given.
To claim a deduction for 2024, ensure your contribution is made (post-marked) on or before December 31, 2024.

NON-CASH DONATIONS
While cash is straightforward, non-cash donations can sometimes provide additional tax benefits:

• Appreciated Stock: Donating investments that have increased in value
can allow you to claim a deduction for the fair market value of the stock
without paying capital gains taxes.

• Qualified IRA Distributions: Individuals aged 70½ or older can make a
Qualified Charitable Distribution (QCD) directly from their IRA to JWMC,
satisfying all or part of their required minimum distribution while avoiding taxable income.

DONOR-ADVISED FUNDS & CHARITABLE TRUSTS
• Donor-Advised Funds (DAF): A DAF is a flexible tool that allows you
to make a charitable contribution, receive an immediate tax deduction,
and recommend grants to JWMC over time.

• Charitable Trusts: These can provide current tax benefits
while ensuring assets are used for charitable purposes in the future.
They’re a great option for long-term planning and legacy giving.

ESTATE PLANNING AND JWMC
For those considering how to leave a lasting impact,
estate planning offers additional opportunities to give while managing your tax situation.
Options like charitable trusts or bequests in your will can secure
JWMC’s future ministries while providing current tax benefits or income during your lifetime.

WHAT ABOUT PENDING TAX CHANGES?
No significant changes to the tax treatment of charitable contributions are expected in 2024.
However, the “tax cliff” in 2025 may lead to new tax legislation as expiring provisions are addressed. F
or now, the strategies outlined here remain effective for 2024 and 2025.

By planning your giving and understanding the tax implications,
you can maximize your impact for the mission of John Wesley Methodist Church
while stewarding your resources wisely.
For more information or assistance, please reach out to our church office or email Jill Oliver.

EOG cards as of November 11, 2024
Target for campaign: 240 pledges for$1,900,000
Received to date: 198 pledges for $1,743,279