Take the Standard Deduction and Still Give to Charity? Good News for 2026

| Concentric Wealth Management Investment Committee

Written by Nicholas Niehaus, CPA, CFP®

If you take the standard deduction, you probably stopped thinking about charitable donations as a tax benefit a long time ago. That’s about to change.

Starting with your 2026 taxes, a new law lets you deduct some of your cash donations even if you don’t itemize. It’s part of the One Big Beautiful Bill, signed in July 2025. There was something similar back in 2020 and 2021 during COVID, but this version is permanent. 

Charitable Deductions in 2026

Here’s what you need to know.

How much you can deduct

  • $1,000 if you’re single
  • $2,000 if you’re married filing jointly 

Those are the caps. If you give more than that in a year, the extra amount doesn’t count. You can’t carry it over to next year. 

Who this is for

You either itemize or take the standard deduction. Never both. This deduction is only for people taking the standard deduction, which is most people. Since the standard deduction got bigger a few years back, not many people still itemize, so this gives most people a benefit for their giving that they haven’t had in years. 

What counts as a donation here

It has to be cash. That means:

  • Check
  • Credit or debit card
  • Bank transfer 
  • Online payment (PayPal, Venmo, etc.)

Donated items like clothes or furniture do not count for this deduction. Those are only deductible if you still itemize.

Two other things to know: donations carried forward from a prior year don’t qualify, and neither do contributions to a donor-advised fund.

Which charities qualify

The usual suspects: churches and other religious organizations, schools, hospitals, museums, veterans’ groups, and other public charities. 

What doesn’t qualify:

  • Country clubs, sports leagues, and other social clubs
  • Labor unions
  • Chambers of commerce
  • HOAs
  • Political campaigns or groups
  • GoFundMe and other gifts to individuals

If you’re not sure a charity qualifies, ask us or check it on the IRS’s website before you count on the deduction.

If you got something back for your donation

Say you paid $100 for a seat at a charity dinner and the meal was worth $35. You can only deduct $65 since that’s the actual gift portion. 

Keep your paperwork

Save something that shows the date, amount, and who you gave it to. A receipt, bank statement, or credit card statement will all work.

If any single donation is $250 or more, get a written acknowledgment letter from the charity. It needs to show the amount you gave, and whether you got anything back for it. Charities are supposed to send these by January 31 of the following year.

Another thing to keep in mind

This deduction lowers your taxable income, but not your AGI. This matters because some other tax breaks phase out based on your AGI. This deduction won’t help any of that.

Bottom line

If you give to charity and take the standard deduction, this is an additional deduction you weren’t getting before. If this applies to you, let’s talk about it before year-end rather than waiting until we’re filing your return. 

This is general information, not personal tax advice. Reach out to our office to talk through how it applies to you.