As we enter Giving Season, nonprofits are not only navigating more than year-end appeals but also preparing for the biggest tax reform in years. The One Big Beautiful Bill (OBBB), signed in July 2025, makes several charitable giving changes taking effect on January 1, 2026. 

The real story for nonprofits is strategy: how these shifts could affect your donors’ behavior this year and for future giving. In this post, we’ll unpack what the OBBB means for charitable donations, outline the key tax changes ahead, and share how you can turn complex financial updates into clear, actionable conversations that inspire generosity before December 31.
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Here are the 5 key messages to share with your donors and partners this Giving Season

1. “If you’re planning a big gift, 2025 is better than 2026.”

Beginning in 2026, donors will only get a 35% tax benefit on charitable deductions (a decrease from the previous 37%). For now, they can still take advantage of the extra 2%. It’s time to connect with your donors who are considering transformational non-cash gifts (such as appreciated stock or crypto), or multi-year commitments, and encourage them to accelerate these gifts to 2025. This is especially true for donors who like to give stock, as they’ll get the current, more favorable tax advantages by donating by the end of this calendar year.

Nonprofit talking point: “If you’re considering a larger or asset-based gift, making it in 2025 will likely give you the maximum tax benefit before the new 2026 rules apply.”
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2. “DAF gifts won’t qualify for the new universal deduction.”

Starting in 2026, taxpayers who don’t itemize can take a simple charitable deduction of $1,000 for individuals or $2,000 for couples, but only for direct cash gifts to charity. Gifts to donor-advised funds (DAFs) and some private foundations won’t count. This could come as a surprise to some donors, especially those sitting with money in a DAF that they haven’t planned to give (yet). Nonprofit leaders can and should get ahead of it now and encourage their giving partners that if they want to see the universal deduction in 2026, the gift has to come straight to your organization.

Nonprofit talking point: “In 2026, you’ll be able to deduct up to $1,000 per individual / $2,000 per couple even if you don’t itemize, but only if you give directly to the nonprofit, not to a DAF.”

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3. “There’s a new ‘floor’ coming.”

For 2026 and after, itemizers can only deduct charitable gifts above 0.5% of the adjusted gross income (AGI). This makes giving slightly less tax-efficient for some donors, another reason to make larger gifts in 2025 while the rules are simpler. 

Nonprofit talking point: “Next year the tax rules get a bit tighter, so if you’re planning to give, 2025 is a good year to do it.”

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4. “Planned Giving or ‘give now, grant later’ are still smart options” 

Some advisors are already telling donors to pre-fund philanthropy in 2025 to take advantage of the current rules, then grant out over time. Nonprofits can lean into that by making the case for multi-year pledges funded now or DAF-to-charity transfers this December. And a reminder from above: that new 2026 universal deduction won’t apply to DAFs.

Nonprofit talking point: “Because of federal tax changes taking effect on January 1, making a gift by December 31, 2025, is an especially good idea, particularly if you’re giving appreciated stock or considering a larger contribution. Some of the tax benefits will be more limited next year, so a gift this Giving Season will go further for you and for our mission.”

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5. “Crypto giving is smarter than ever”

Bitcoin has maintained its value of $100K+, reminding everyone that cryptocurrency remains a significant (and appreciated) asset class. Donors who give crypto directly to nonprofits avoid capital gains tax and can still deduct the full fair-market value of the asset, making this a win-win that mirrors the benefits of stock giving.

Nonprofit talking point: “If you’ve seen gains in crypto this year, donating a portion directly can help you avoid capital gains tax while making a meaningful impact.”

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What Your Nonprofit Can Do Right Now for Giving Tuesday on Dec. 4, 2025

Here's what to add to your marketing, communications, and development plans as we head into year-end giving

• Create a Giving Season blog post or social media update
• Make sure your nonprofit is ready to receive non-cash donations (stocks, crypto, DAFs) and knows how to steward them with investments
• Email major donors and board members with a “2025 is the year” call-to-action
• Remind DAF donors to make distributions to your organization this year
• Encourage your high-capacity donors to talk to their tax advisor about planned giving: your role is not advising but helping your giving partners to think strategically about their impact

If you tell the story this way, you stay donor-friendly, you look proactive, and you give people a clear reason to give now, not “sometime next year.”

Infinite Giving is here to help your nonprofit, and we’d love to be your partner in shifting generosity into transformational impact. Let's get started.
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