Tellico Village residents should be receiving 2018 United Way campaign donation forms in the mail.
The mailing contains a brochure about the 28 United Way of Loudon County partner agencies that receive funds, general information about United Way and the campaign, a donor pledge form and a pre-addressed envelope to mail a donation.
The form provides options for the method of giving. The simplest is to enclose a check made out to United Way Loudon County. Donors can also defer the full amount into payments over time. Another option allows donors to designate a specific charity or charities.
Some questions have arisen regarding the impact the 2017 tax law has on charitable donation deductibility. Under the provisions of the new law, there is no change in the deductibility of donations made to qualified charitable organizations. United Way and its partner agencies meet that qualification.
However, there are two changes that may impact giving. The first is the deductibility threshold. Previously, it was 50 percent of adjusted gross income, but that has been raised to 60 percent.
The other change is in the standard deduction, which has almost doubled from $6,350 to $12,000 for a single taxpayer and from $12,700 to $24,000 for a married joint return. The primary impact of this change is that the tax impact of charitable donations is reduced. Hopefully, this will not be a factor since you donate to help those less fortunate and not just to get a tax break.
One thing that has not changed in the law is the use of the required minimum distribution for an IRA. A donation made in that manner is tax-free so this may be a way to save some tax dollars and not neutralize, to some degree, the impact of the higher standard deduction. If you choose this route, consult with your financial advisor on how best to accomplish this method of giving.
Whatever you do, please choose one of these methods and make a donation to United Way. You will be helping your neighbors, both here in the Village and the county at-large, to solve some overbearing problems and help them lead a better life.
