Why is my charitable donation taxed?

Why is my charitable contribution taxed?

Well planned and executed charitable donations should result in tax savings. To get the maximum benefit, you must know the rules and how the accounting for donations works. This video Q&A is a great example. The inquirer knew the rule but not the reporting requirements.

Making News…

We frequently produce Q&A columns for Florida Today and MarketWatch, a personal finance website of the Wall Street Journal, as well as pieces for Investopedia, Orlando Sentinel, Financial Advisor magazine and others. Here is a sampling from the last three months.

Derrick Chandler,CFP® helped an Orlando Sentinel reader with a question about using a Health Savings Account to pay medical bills from prior years.

Dan Moisand,CFP® continues to write for MarketWatch and Florida Today:
What are my options with an inherited IRA and 401(k)
Is an annuity a great idea? Or a tax ‘time bomb’?
Stock market blues: My investments are down; what should I do?
Should I convert my retirement accounts to a Roth?
Working seniors and Required Minimum Distributions from 401(k)s
How to donate shares to your favorite charity

In the News…

Charlie Fitzgerald, CFP® completed his four year term in December as a Board Director for the Certified Financial Planner Board of Standards, Inc. The CFP Board is the organization that grants and administers the CFP® certification in the United States. Among the accomplishments during his tenure was the most significant upgrade to the Code of Ethics and Standards of Conduct in a decade. He will remain involved to a lesser extent serving on the Campaign Development Committee of CFP Board’s Center for Financial Planning.  More specifically, he will help solicit donations for the Center which endeavors to increase diversity, attract younger entrants to the profession and increase the academic stature of the profession. Well done, Charlie. Well done.

Tommy Lucas, CFP® recently spoke to the student chapter of the Financial Planning Association at the University of South Florida.  Tommy talked about how our firm’s  100% fee-only fiduciary structure allows us to avoid the most common and problematic conflicts of interests. Since most “financial advisers”  are often product salespeople, the students were interested in what a typical day for someone starting out at a firm like ours looks like. Finally, Tommy suggested that when looking for work, an aspiring financial planner should look for leaders and experts in financial planning, a top notch client service process, a good culture, a defined career path, a general time table for advancement, and an opportunity to be a part of the succession plan of the firm.


Things We Found of Note

This article does a nice job of reinforcing our assertion that most “news” is just noise and if we are not careful, our desire to be informed can be detrimental to our well-being. We get so much information thrown at us, our attention turns to trying to manage the flow rather than redirect it so we don’t drown. The result can be harmful. As the author stresses, “…most of what you read online today is pointless. It’s not important to your life. It’s not going to help you make better decisions. It’s not going to help you understand the world. It’s not going to help you develop deep and meaningful connections with the people around you. The only thing it’s really doing is altering your mood and perhaps your behavior.

The Federal Trade Commission posted an article about a growing scam in which people pretend to be with the Social Security Administration (SSA). They are even able to get your caller ID to show the real phone number for SSA. The post includes a recording of what one Social Security scam sounds like. The SSA is not about to suspend your Social Security or confiscate or freeze any accounts and they will not call to threaten to suspend your benefits.

Please click this link to learn the answer to: What are my chances of being audited by the IRS?

According to a recently released study from UC Irvine, people who drank moderate amounts of alcohol or coffee lived longer than those who abstained. Researcher Dr. Claudia Kawas explained, “I have no explanation for it, but I do firmly believe that modest drinking improves longevity.”


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Moisand Fitzgerald Tamayo, LLC is an Orlando, Tampa and Melbourne, Florida based fee-only financial planner serving central Florida and clients across the country. Moisand Fitzgerald Tamayo, LLC specializes in providing objective financial planning, retirement planning, and investment management to help clients build, manage, grow, and protect their assets through all phases of one’s life and the many transitions in between. If you have any questions or would like to discuss anything further, please give us a call or send us a note. If you are not a client and wish to receive emails notifying you of new posts – no more than once per month – fill out the subscription information in the sidebar to the right. For more frequent updates, follow us on FacebookLinkedIn, or Twitter.  

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Please remember that past performance may not be indicative of future results.  Different types of investments involve varying degrees of risk, and there can be no assurance that the future performance of any specific investment, investment strategy, or product (including the investments and/or investment strategies recommended or undertaken by Moisand Fitzgerald Tamayo, LLC-“MFT”), or any non-investment related content, made reference to directly or indirectly in this blog will be profitable, equal any corresponding indicated historical performance level(s), be suitable for your portfolio or individual situation, or prove successful. 

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About Dan Moisand

Dan Moisand is a fee-only financial advisor with Moisand Fitzgerald Tamayo, LLC. He is a regular contributor for multiple outlets, including Florida Today, MarketWatch, and The Wall Street Journal. His writing and financial advice have also been featured in Financial Planning, Investment Advisor, Wealth Manager/Advising Boomers, Forbes, Smart Money, and The New York Times, among other publications. He is the only two-time winner of the Journal of Financial Planning’s “Call for Papers” competition and has been named a top financial planner and advisor by multiple publications. Investment News named Dan one of the “twenty most influential men and women” in the history of financial planning. He currently serves on the Board of Directors for the CFP (Certified Financial Planner) Board.


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