Smart Giving in December: How to Give With Intention (and Maximize the Impact)

December is generosity season. Whether you’re inspired by Giving Tuesday, year-end appeals, your faith community, or simply the desire to help, a little structure turns “random acts of giving” into a purposeful plan that fits your life and your taxes. Below, we break down practical giving strategies by life stage—with plain-English explanations of donor-advised funds (DAFs), qualified charitable distributions (QCDs), gifting appreciated stock, and even supercharging a 529 for the (grand) kiddos.

Quick note: This article is educational, not tax advice. Your situation is unique—loop us in before you act so we can tailor the strategy to you.

Early in Your Career: Build the Giving Habit

  • Start simple and make it automatic.
    Most charities (and churches) allow monthly recurring gifts. Picking an amount or percentage and putting it on autopilot turns generosity into a habit—without monthly decision fatigue.
  • Give where it’s meaningful to you.
    If tithing is part of your faith tradition, great. If not, choose causes that align with your values—local food banks, Habitat for Humanity, environmental groups, animal rescue, you name it. The point is to be intentional.
  • Create a small “do-good fund.”
    Set aside a bit each month for unexpected needs—a neighbor’s house fire, a classmate’s family in crisis, disaster relief. You’ll be ready to act when something tugs at your heart.

Builders & Busy Families: Make Your Dollars Work Harder

  1. Consider appreciated stock (or mutual fund/ETF shares) instead of cash.
    If you own investments with sizable gains in a taxable account, donating shares directly to a qualified charity can avoid capital gains tax and may provide a charitable deduction—often allowing you to give more than if you sold first and gave cash. It’s also a handy way to trim an overgrown position without the tax bill.
  2. Use a Donor-Advised Fund (DAF) for flexibility and control.
    A DAF is a giving account that allows you to contribute cash, appreciated investments, or even certain complex assets today—generally receiving an immediate tax deduction—then recommend grants to your favorite nonprofits over time. Through providers such as Raymond James Charitable, you can:
    • Make contributions of a variety of assets, including cash, securities, restricted stock, and business interests.
    • Take your time deciding which charities to support (now or over years to come) and even choose to give anonymously.
    • Involve family members by naming successor advisors who can continue your legacy of giving.
    • Simplify recordkeeping and reporting: your charitable activity is consolidated in one place, streamlining taxes and paperwork.
    • Enjoy accessibility: DAF minimums with many sponsors, including Raymond James Charitable, are designed to be approachable for donors—not just the ultra-wealthy.
  3. In short: a DAF allows you to contribute now, recommend where and when to give later, and potentially enhance your tax flexibility and charitable impact.

Pre-Retirees: Coordinate Giving With Your Tax Picture

  • Harvest gains/losses thoughtfully and pair with charitable gifts.
    In a year when markets increase unevenly, you may have positions with large gains. Donating appreciated shares (instead of selling) can offset concentration risk and give tax-efficiently. If you’re doing broader tax-loss harvesting, coordinate the timing with your charitable plan so the pieces work together.
  • Use a DAF to “bunch” deductions.
    High-income year? Front-load several years of giving into a DAF now to potentially itemize this year, then recommend grants to charities on your usual schedule later.

Retirees (and Almost Retirees): Put IRAs to Work With QCDs

Qualified Charitable Distributions (QCDs) let IRA owners age 70½+ send money directly from an IRA to a qualified 501(c)(3) charity. Done correctly, a QCD doesn’t show up in your taxable income—a powerful benefit that can also help with Medicare IRMAA brackets and taxation of Social Security. For 2025, the per-person annual QCD limit is $108,000, indexed for inflation.
At RMD age, QCDs can satisfy part or all of your Required Minimum Distribution.
Under current rules, most people must start RMDs at age 73. A QCD counts toward that required amount while keeping the distribution out of taxable income—a win-win for givers who don’t need all of their IRA withdrawals for spending.

Tip: QCDs must go straight from your IRA to the charity—don’t take receipt of the funds. We’ll help you handle the paperwork so the contribution is completed properly.

Multi-Generational Giving: Teach (and Pass On) Your Values

  • Host a family conversation.
    Share how you evaluate charities (impact, transparency, alignment with values). Review an annual report together. Invite kids or grandkids to nominate a cause and explain why it matters. These rituals shape hearts and habits.
  • Use a DAF to involve heirs—without re-drafting your will.
    You can name successor advisors (often your children) to recommend grants after you’re gone. Or direct the DAF to distribute to named charities—flexibly and without constantly updating estate documents if your preferred charities change over time.
  • Fund education thoughtfully with 529 “superfunding.”
    If you want to do something for your family, contributions to a 529 count as gifts, but there’s a special election that lets you front-load five years of annual exclusions at once. In 2025, the federal annual gift-tax exclusion is $19,000 per recipient ($38,000 for married couples), so you can contribute up to $95,000 (or $190,000 for couples) in a single year per beneficiary using the five-year election.

Pulling It Together

Smart giving isn’t about giving more—it’s about giving on purpose. Pick causes that matter to you, automate what you can, and use the right vehicles (DAF, appreciated stock, QCDs, 529s) to amplify both impact and tax efficiency.

If you’re ready to turn year-end generosity into a year-round plan, we’re here to help.

Let’s Personalize Your Plan

  • Thinking about a DAF to bunch deductions this year?
  • Want to donate stock instead of cash?
  • Curious if a QCD could lower your taxable income?
  • Ready to involve kids or grandkids with a family giving meeting?

Email or call our team—we’ll map out a smart-giving plan that fits your goals and your taxes.

Material Prepared by Tic Tac Toe Marketing, an independent third party. Any opinions are those of the author, are subject to change without notice and are not necessarily those of Raymond James. This material is being provided for information purposes only and does not purport to be a complete description of the securities, markets, or developments referred to in this material and does not constitute a recommendation. The information has been obtained from sources considered to be reliable, but we do not guarantee that the foregoing material is accurate or complete. Investing involves risk and investors may incur a profit or a loss regardless of strategy selected. As with other investments, there are generally fees and expenses associated with participation in a 529 plan. There is also a risk that these plans may lose money or not perform well enough to cover college costs as anticipated. Most states offer their own 529 programs, which may provide advantages and benefits exclusively for their residents. Investors should consider, before investing, whether the investor’s or the designated beneficiary’s home state offers any tax or other benefits that are only available for investment in such state’s 529 college savings plan. Such benefits include financial aid, scholarship funds, and protection from creditors. The tax implications can vary significantly from state to state. Neither Raymond James Financial Services nor any Raymond James Financial Advisor renders advice on tax or legal issues, these matters should be discussed with the appropriate professional.

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