How Tax Law Changes Could Impact Osher and You

Now that we are firmly into 2018, it’s time to start thinking about how the new federal income tax law passed in December might impact your charitable giving plans.

What should be noted first is what has NOT changed.

Gifts to charitable organizations, such as the University of Pittsburgh including its Osher Lifelong Learning Institute (OLLI), are still tax deductible and estates will still be entitled to an unlimited estate tax deduction for charitable gifts.

There are other provisions in the new tax law that work in favor of making gifts to charities, including an increase in the adjusted gross income (AGI) limitation on charitable gifts of cash from 50% of AGI to 60% of AGI, according to the National Council of Nonprofits.

However, there are other items in the new tax law that have changed, or at least have been substantially modified that could impact giving to OLLI. There has been a near doubling of the “standard deduction” and substantial changes to the tax brackets that lower the tax rate for many Americans.

Luckily, most OLLI members and friends who choose to make charitable contributions to OLLI in general or the Bobenage/Szczepanski Honorary OLLI Membership Fund, which helps pay membership dues for those who cannot afford them, do so because they know the impact of their support goes far beyond any tax benefit. Gifts to OLLI, and the rest of the University of Pittsburgh, make it possible for us to continue to offer learning opportunities at all levels at rates that are as affordable as possible.

And there are several ways you can make sure you give to your favorite charity in a manner that takes full advantage of the new tax law, even if you no longer itemize deductions. Donors may: 

  • Make gifts of appreciated property including real estate and securities. 
  • Transfer all or a portion of the required IRA disbursement to a qualified charity. 
  • Include OLLI, through the University of Pittsburgh, in their estate planning.

We value your continued support and are happy to address any questions you may have about making a gift to OLLI in 2018. Please contact the University of Pittsburgh’s Office of Institutional Advancement by phone at 1-800-817-8943 or via e-mail at giveto@ia.pitt.edu. And plan to join us for a presentation sponsored by the University’s Office of Planned Giving on April 25, 2018 where we will explore “Simplifying Your Estate for Your Spouse and Other Heirs”. Registration for this event will take place in early April through the OLLI office.  For more information, please contact Lea Hoel at 412-648-0235.

This is not intended to be legal or tax advice. We encourage you to consult with a professional advisor.

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