Tensions between Japan and South Korea come as the U.S. and its trading partners are embroiled in a global trade war.Technologyread more
The one-to-eight stock split would mean the current number of ordinary shares — which stands at 4 billion — will increase to 32 billion. It comes ahead of a reported Hong Kong...Asia Marketsread more
Minutes from the Reserve Bank of Australia's monetary policy meeting in July showed the central bank was ready to adjust interest rates if required.Asia Marketsread more
Current and former Tesla employees working in the company's open-air "tent" factory say they felt pressure to take shortcuts to hit aggressive Model 3 production goals,...Technologyread more
China's fiscal spending increased 10.7% in the first six months from a year earlier, the finance ministry said on Tuesday, underlining the government's bid to support the...China Economyread more
The findings by McKinsey and Company come amid a year-long tariff fight between the U.S. and China, which has spilled into areas such as technology and security.China Economyread more
Microsoft's considerable reach into the corporate world isn't something Slack CEO Stewart Butterfield is very concerned about.Technologyread more
A devastating outbreak of African swine fever that has killed millions of pigs in China is changing attitudes in a country where farm hygiene has often been seen as lax by...Livestockread more
In a closed-door meeting at a Manhattan mansion, executives outlined changes to controversial software that was implicated in two crashes.Aerospace & Defenseread more
President Donald Trump and the RNC are picking up key supporters in the business community who did not back him as a candidate in 2016.2020 Electionsread more
Amazon workers in Minnesota and Germany are striking as Prime Day kicks off, in a stand against working conditions and wage practices. The action in Minnesota represents the...Retailread more
Doing good is its own reward. Reaping the tax benefits is a nice perk.
While taxes might not have been at the forefront when providing aid to others, the tax deduction for charitable contributions has typically helped shave money off your tax bill if you itemize instead of taking the standard deduction.
But under the new Tax Cuts and Jobs Act, that threshold is tougher to clear. Although the deduction for donations is unchanged, you'll still need to itemize to claim it, and that's a much higher bar with the nearly doubled standard deduction.
"With a higher standard deduction, there will be less people who benefit from donating to charity," said Eric Bronnenkant, a certified financial planner and CPA and the Head of Tax at online financial advisor Betterment.
(Under the legislation, an individual would need total itemized deductions to exceed $12,000, the bill's new standard deduction for individual taxpayers, up from the current $6,350. Married couples would need deductions exceeding $24,000, up from a current $12,700.)
"Without itemized deductions, most people will lose all tax benefits associated with charitable giving," said Kimberly Dula, a partner at the accounting firm Friedman LLP in Marlton, New Jersey.
For charitable donors aren't ready to let go of that tax break, there are still several ways around the new rules.
For starters, try a strategy called "bunching. " Rather than giving every year, "give a greater amount every other year," said Amy O'Loughlin, a director in CBIZ MHM's tax and business services division in Phoenix, Arizona.
For example, instead of giving $5,000 to charity annually, accelerate the gift by giving $10,000 every two years. This way, you can get your itemized deductions over the limit one year and take the standard deduction the next.
Similarly, a donor-advised fund lets you make a charitable contribution and receive an immediate tax break for the full donation, and then recommend grants from the fund to your favorite charities over time.
"You can put in $10,000 and get a one-time tax deduction and spread your donations out to the charities you support," O'Loughlin said.
Retirees, age 70½ or older, might also consider transferring money from their IRA to a qualifying charity. Such qualified charitable distributions can be a tax-efficient way of meeting your required minimum distribution — and you don't need to itemize your deductions to benefit, according to Bronnenkant.
There are a few other tricks, too, like avoiding the capital gains tax on investments by giving stocks or other appreciated assets, such as artwork and antiques, which have grown in value.
"A standard practice on how to leverage charitable donations is to donate appreciated assets," said Bronnenkant.
High-income earners, in particular, should consider a noncash donation specifically because of the tax advantages, he said.
And of course, "you can always give to charities without getting the tax break," O'Loughlin added. Regardless, "Americans are very generous. I think they will always give to charity."
"On the Money" airs on CNBC Saturdays at 5:30 a.m. ET. Check listings for air times in local markets.
More from Personal Finance:
Bill Clinton to CNBC: New tax law is 'bullet aimed at New York and California'
Ramp up your tax savings in 2018 with this strategy
Tax bill will slash by half the number of homeowners using the mortgage deduction