In most normal years, the weeks between Thanksgiving and Christmas are the most productive for non-profit fundraising. Through a combination of a seasonal burst of goodwill and the realization that the tax year is coming to a close, many people pause to take a close look at where they might be able to stretch their dollars a little farther to both gain an extra tax break for themselves and help causes that are near and dear to them.
It’s already been well established that 2020 is anything but a normal year.
Along with many other changes we never fathomed, 2020 brought with it the Coronavirus Aid, Relief, and Economic Security (CARES) Act. And with the CARES Act comes some real opportunities for taxpayers to get a break while supporting their favorite charities and for charities to market fundraising opportunities even through an economic downturn.
Flint Avenue Marketing recently met with Doug Mitchell, JD, LLM, Principal at K-Coe Isom, the nation’s leading Food & Ag consulting and accounting firm, to learn more about helping non-profits use marketing to support their donors. Doug is an attorney with a master’s degree in tax law who is well-versed in the details of the Charitable Contributions portion of the CARES Act so that he can best advise his clients on how to garner the most from tax benefits that are unique for 2020.
Put simply, the CARES Act is the US government’s reaction to Covid-19. It was intended to provide “fast and direct economic assistance for American workers, families, and small businesses, and preserve jobs for our American industries.” The overall purpose of the act is to help Americans get through this year financially. By now, we’ve all heard of the SBA loans, Paycheck Protection Program (PPP), and other aspects of the CARES Act, but there are other parts that haven’t received quite as much attention.
The Charitable Contributions portion of the CARES Act is designed to help charities continue to receive funds and possibly even increase giving this year. Since not everyone is able to give charitable gifts as they normally do this year, the CARES Act added a few benefits to encourage those who can give to do so generously. This affords opportunities on both sides:
The Charitable Contributions portion of the CARES Act provides several parts that enable donors to reap benefits of added generosity in 2020*:
According to Doug, there are several ways qualified charities can market to their donor base to maximize, and even increase, 2020 giving:
While most people wait until closer to the end of the year to focus on charitable giving, the CARES Act has changed the rules for 2020, and Doug says he’s already had an increase in clients asking him how to use the CARES Act to maximize their giving and tax benefits. This means it’s a great time for charities to get out there and start marketing this information to increase 2020 donations. If you work for a charity and need assistance with this type of marketing, Flint Avenue Marketing is always here to help.
*The information in this article is provided for informational purposes only and is not intended to be used as tax advice. Contact a tax attorney, CPA, financial advisor, or other tax or financial professional for details on how best to take advantage of these unique charitable giving opportunities for your specific financial situation.
Need a hand in conceptualizing those ideas or fine-tuning them? That’s exactly what we do every single day! Reach out to Flint Avenue Marketing to find out more about all of the amazing services we offer.