As Americans mark Giving Tuesday 2025 on December 2, the culture of generosity is colliding with the biggest rewrite of U.S. tax rules in years — President Donald Trump’s “One Big Beautiful Bill” — and new strategies for making donations last well beyond a single day.
Nonprofits are counting on a surge of year-end gifts, while donors are trying to understand how today’s contributions will interact with new rules taking effect in 2026. At the same time, experts are urging people not to treat Giving Tuesday as a one‑day event, but as the kickoff to a year‑round plan that blends impact and tax efficiency. [1]
This article pulls together the latest guidance from financial planners, tax analysts and philanthropy experts as of December 2, 2025, to explain what’s changing — and how to keep your charitable momentum going all year.
Giving Tuesday 2025: Big Stakes for Charities and Donors
Giving Tuesday has grown into one of the most important fundraising days of the year. In 2024, donations in the U.S. were estimated at about $3.6 billion, with more than 36 million people participating, according to GivingTuesday Data Commons. [2]
This year, the stakes are even higher:
- Economic pressure: High prices and cuts to some government benefits, including a freeze in SNAP food assistance last month, mean many human‑service organizations are seeing more demand with fewer public dollars. [3]
- New tax law in the background: The One Big Beautiful Bill Act (often shortened to “Big Beautiful Bill” or OBBB) — Trump’s 2025 tax and spending law — is reshaping incentives for charitable giving starting in 2026, including new deductions and new limits. [4]
At the same time, coverage from outlets like AP and Newsweek is encouraging donors to give generously but cautiously, checking charities carefully and staying alert to scams that ramp up around Giving Tuesday. [5]
What Trump’s ‘Big Beautiful Bill’ Changed for Charitable Giving
While most headlines about the One Big Beautiful Bill have focused on corporate tax cuts, SALT deductions and bonus depreciation, the law also makes major changes to how charitable donations are treated — especially starting in 2026. [6]
Key provisions affecting individual donors include:
1. New above‑the‑line charitable deduction for non‑itemizers (from 2026)
Beginning with the 2026 tax year, most taxpayers who take the standard deduction will be able to deduct up to $1,000 in cash gifts to qualifying charities (or $2,000 for married couples filing jointly), even if they don’t itemize. [7]
Important details:
- The deduction applies only to cash donations to eligible public charities.
- Gifts to donor‑advised funds (DAFs) and many private foundations don’t qualify for this new non‑itemizer benefit. [8]
2. New “floor” for itemized charitable deductions (from 2026)
For people who do itemize, there’s now a small but real hurdle:
- Starting in 2026, only the portion of charitable giving that exceeds 0.5% of adjusted gross income (AGI) will be deductible.
- Example: If your AGI is $200,000, the first $1,000 of charitable gifts won’t generate a tax deduction. Only donations above that amount count. [9]
This “floor” is designed to raise revenue, but it also changes how larger donors may time or “bunch” their gifts.
3. Cap on the tax value of deductions for high‑income donors
High earners in the top 37% bracket face another change:
- Beginning in 2026, the tax benefit of itemized charitable deductions is capped at 35%, even if the donor’s marginal tax rate is higher. [10]
Practically, that means very wealthy donors will get a slightly smaller tax break per dollar of giving after 2025, which may encourage them to front‑load donations into 2025.
4. Permanent 60% of AGI limit and higher standard deduction
The law also:
- Makes permanent the rule that cash gifts to public charities can be deducted up to 60% of AGI, subject to the new floor and cap. [11]
- Keeps a higher standard deduction in place — about $15,750 for single filers and $31,500 for married couples in 2025, rising again in 2026 under inflation adjustments. [12]
Together, these changes mean most taxpayers will still use the standard deduction — but for the first time in years, they’ll get a small, permanent charitable write‑off even without itemizing.
Why 2025 Is a “Transition Year” for Timing Donations
Tax scholars and financial writers describe 2025 as a bridge year between the old and new giving regimes. [13]
Several factors pull donors in different directions:
- Itemizers and high‑income donors
- Face a future 0.5% AGI floor and 35% cap on deduction value from 2026.
- Often benefit by bunching multi‑year donations into 2025, when every deductible dollar still counts at their full marginal rate and without the floor. [14]
- Non‑itemizers
- Before 2026, they generally get no federal tax break for charitable gifts.
- From 2026 onward, they can claim up to $1,000 or $2,000 in above‑the‑line charitable deductions, so smaller donors might consider shifting some routine cash giving into 2026 to take advantage of that new deduction. [15]
- SALT and other deductions
- The higher cap on state and local tax (SALT) deductions beginning in 2025 means certain households will start itemizing again, which can make charitable deductions more valuable — at least until the SALT cap sunsets in 2030. [16]
Financial planners interviewed in coverage by CNBC and others are emphasizing that the “right” answer depends on a donor’s income, whether they itemize, and how committed they are to a particular level of annual giving. [17]
Kiplinger’s Message Today: Giving Tuesday Is Only the Beginning
On December 2, 2025, Kiplinger published a detailed guide urging donors not to stop at Giving Tuesday, but to use year‑end generosity as a springboard for year‑round impact. [18]
Key themes from that piece:
1. Separate when you give from when charities receive the money
Kiplinger highlights donor‑advised funds (DAFs) as a powerful tool in the new tax environment: [19]
- You can make a lump‑sum contribution to a DAF in a high‑income year (like 2025), potentially maximizing tax benefits.
- The money can then be invested inside the DAF and granted out over many years, allowing you to support nonprofits steadily even if your income fluctuates later.
- DAF grants can be timed around real‑world events — disasters, policy changes, new programs — rather than just tax deadlines.
This structure is tailor‑made for a year where many donors are considering front‑loading contributions before 2026’s new limits kick in, while still wanting to fund charities consistently in the future. [20]
2. Prioritize recurring giving for nonprofit stability
Kiplinger also points to research from Vanguard Charitable showing that nonprofits strongly prefer recurring gifts and that donors who set up ongoing grants tend to increase their giving over time. [21]
For charities, predictable revenue can be more valuable than one‑off spikes:
- Monthly or quarterly gifts make budgeting easier.
- Recurring grants help smooth out the “December spike” and support organizations in off‑season months when fundraising typically falls off but needs don’t.
3. Use advanced tools like recoverable and unrestricted grants
The same Kiplinger piece describes newer mechanisms such as:
- Recoverable grants – flexible funding that can be repaid to the DAF if a project succeeds, allowing the same dollars to be redeployed to other nonprofits later.
- Unrestricted giving – donations that let organizations decide where funds are most needed, whether that’s programs, staffing or emergency needs. [22]
Both approaches reflect a shift in philanthropy toward trust‑based relationships, where donors support long‑term mission rather than narrowly constrained projects.
Today’s Headline Risk: Scams and “Charity Theater”
Generosity is high on Giving Tuesday, but so is fraud risk.
A Newsweek explainer published on November 30 notes that the FBI tracked more than 4,500 complaints and around $96 million in losses related to fraudulent charities and disaster‑relief campaigns in a single recent year. [23]
Experts and regulators recommend that donors:
- Verify the charity
- Be wary of pressure tactics and strange payment methods
- Scammers often push for gift cards, wire transfers or anonymous payment apps that are hard to trace or reverse.
- Legitimate nonprofits can explain their mission, answer questions and give you time to decide. [26]
- Document your gifts
- Keep receipts, acknowledgment letters and bank records; these are essential both to claim a tax deduction and to protect yourself if something looks suspicious later. [27]
The bottom line: Treat charitable giving with the same level of due diligence you’d use for any financial decision.
A Massive Tax Law in the Background: More Than Just Charity
Charitable provisions are only one slice of the One Big Beautiful Bill. On the same day Kiplinger urged donors to think long‑term, the Washington Post reported that corporations are expected to claim about $16 billion in new tax breaks this year from a retroactive bonus‑depreciation provision in the law. [28]
The Joint Committee on Taxation estimates this 100% bonus depreciation rule could cost the Treasury over $360 billion in the next decade, even as supporters argue it encourages investment and growth. Critics see the retroactive design as a windfall for past investments rather than a true incentive for new ones. [29]
For donors and nonprofits, this context matters:
- The same law that creates new charitable deductions also reshapes corporate and high‑income tax bills.
- Over time, that may influence not just how much individuals give, but how much corporate philanthropy and government funding are available.
Practical Strategies to Keep Your Giving Momentum All Year
Pulling all of this together, here are concrete ways donors can align Giving Tuesday enthusiasm, new tax rules and year‑round impact.
1. Decide whether you’re a 2025 “accelerator” or a 2026 “optimizer”
Given the 2026 changes, many advisors suggest donors think in two broad categories:
- Accelerators (often higher‑income, itemizing households)
- Optimizers (often standard‑deduction filers)
- Maintain your planned giving, but you might schedule more of your routine cash donations for 2026 and beyond, when you can claim the new $1,000 / $2,000 above‑the‑line deduction. [32]
Either way, the starting point is a multi‑year giving plan, not a one‑day impulse.
Important: Individual situations vary widely. For anyone giving significant amounts, talking with a qualified tax professional or financial planner is essential.
2. Use a donor‑advised fund as your “philanthropy hub”
A DAF can help you:
- Lock in a deduction in a year where your income — or tax rate — is unusually high.
- Invest contributions so they may grow tax‑free, potentially increasing the dollars you eventually grant out.
- Set up automatic, recurring grants so nonprofits receive support every month or quarter, regardless of your own cash‑flow ups and downs. [33]
Keep in mind: DAF contributions don’t count toward the new above‑the‑line deduction for non‑itemizers in 2026, but they do count for those who itemize. [34]
3. Build a “giving calendar,” not just a giving day
To keep momentum beyond December:
- Pick a fixed annual giving budget (for example, 3–5% of income or a set dollar figure).
- Divide it across the year:
- Automatic monthly donations to your top causes.
- A quarterly or semi‑annual “special grant” session where you respond to new needs or opportunities.
- Use Giving Tuesday as an annual check‑in: Are you still aligned with the causes you care about most?
This approach reflects what many nonprofits say they need: predictable support, not just year‑end spikes. [35]
4. Match tax strategy with mission
Some practical combinations:
- Bunching + DAF + recurring grants
- Make a large, deductible contribution to a DAF in 2025.
- Set up recurring grants from the DAF so your favorite nonprofits receive monthly or quarterly funding in 2026, 2027 and beyond. [36]
- Qualified charitable distributions (QCDs)
- For donors over age 70½ with traditional IRAs, QCDs — direct gifts from IRAs to charity — are not affected by the new floors and caps and can still be a highly tax‑efficient way to give. [37]
- Appreciated assets + DAF
- Donating appreciated stock held more than a year can avoid capital gains tax and give you a deduction for the full fair market value, subject to AGI limits. [38]
Always check that gifts go to qualified charities if you plan to claim a deduction.
5. Embrace unrestricted and long‑term support
Many community foundations and nonprofit leaders stress that unrestricted gifts — donations not tied to a specific project — can be the most valuable, especially in a period of policy and economic change. [39]
If you want your giving to stretch beyond one day:
- Consider at least one anchor nonprofit you support annually with no strings attached.
- Ask organizations what kind of funding (general operating support, multi‑year commitments, emergency reserves) is most helpful right now.
What This All Means for Nonprofits
For charities, the policy shift is complex:
- Short‑term:
- Medium‑term:
- Research from the Tax Policy Center and Tax Foundation suggests that while the new rules may slightly reduce the tax subsidy for large gifts, they could expand the base of donors who get some benefit from giving at all — potentially stabilizing broad participation. [42]
In other words, charitable giving isn’t going away, but fundraising teams may need to:
- Invest in education, explaining how the new rules work for their donors.
- Offer flexible ways to give — DAFs, recurring donations, legacy gifts, corporate matching, and more.
- Focus on relationships and impact stories, not just tax receipts.
How To Act Today — and All Year
On Giving Tuesday 2025, you can do more than click once and move on:
- Give to at least one cause today that aligns with your values — and verify the charity before you donate. [43]
- Sketch a two‑year giving plan (2025–2026) with your tax adviser or financial planner, considering whether you’re better off accelerating or deferring certain gifts. [44]
- If your giving is substantial, consider opening or using a donor‑advised fund so you can separate tax timing from grant timing. [45]
- Turn at least one of your favorite charities into a recurring monthly commitment so they can plan ahead. [46]
- Revisit your plan every Giving Tuesday to adjust for income changes, new tax rules, and evolving priorities.
The new tax law has made charitable giving more complicated on paper, but the core idea hasn’t changed: thoughtful, sustained generosity can support communities long after the hashtags stop trending.
References
1. www.kiplinger.com, 2. apnews.com, 3. apnews.com, 4. en.wikipedia.org, 5. apnews.com, 6. en.wikipedia.org, 7. en.wikipedia.org, 8. en.wikipedia.org, 9. www.oc-cf.org, 10. netrf.org, 11. www.oc-cf.org, 12. www.irs.gov, 13. taxprofblog.aals.org, 14. taxprofblog.aals.org, 15. taxprofblog.aals.org, 16. www.kiplinger.com, 17. www.linkedin.com, 18. www.kiplinger.com, 19. www.kiplinger.com, 20. taxprofblog.aals.org, 21. www.kiplinger.com, 22. www.kiplinger.com, 23. www.newsweek.com, 24. www.newsweek.com, 25. www.nerdwallet.com, 26. www.newsweek.com, 27. www.nerdwallet.com, 28. www.washingtonpost.com, 29. www.washingtonpost.com, 30. taxprofblog.aals.org, 31. www.kiplinger.com, 32. www.oc-cf.org, 33. www.kiplinger.com, 34. en.wikipedia.org, 35. www.kiplinger.com, 36. www.kiplinger.com, 37. taxprofblog.aals.org, 38. www.kiplinger.com, 39. www.kiplinger.com, 40. taxprofblog.aals.org, 41. www.nerdwallet.com, 42. taxprofblog.aals.org, 43. www.newsweek.com, 44. taxprofblog.aals.org, 45. www.kiplinger.com, 46. www.kiplinger.com
