April 2026
In this episode, host Chris invites Wealth Advisor Austin Overholt to explore how strategies like donor-advised funds and qualified charitable distributions can help you give more intentionally while potentially reducing taxes. From donating appreciated stock to planning around high-income years, they highlight how thoughtful giving can align with retirement, estate planning, and long-term legacy goals.
Tune in if you're interested in…
Watch previous episodes here:
Ep. 181 Cyber Threats You Should Know About
Ep. 180 From Earning to Living: The Retirement Mindset Shift
Austin, we’re going to have some fun today talking about charitable giving. One of the reasons I wanted to have you on is because you lead our charitable committee and are deeply involved in giving your time, energy, and dollars to causes that matter to you, our clients, and our community. I’m excited to have this conversation.
Thank you. This is definitely a conversation we’re having a lot right now, especially with taxes coming up. It’s top of mind for many people.
Our industry loves acronyms, but we’ll try to keep things simple. I was talking with a client recently who regularly gives to their church. When I asked how they were giving, they said cash. That opened the door to introduce a donor-advised fund.
They weren’t familiar with it, so I explained that it’s essentially a charitable account in their name. We could take appreciated stock, move it into that account, avoid capital gains taxes, and then use those funds to donate over time. It allowed them to keep giving while improving their tax efficiency.
That’s the key point. Many people default to writing a check or giving from their bank account without realizing there are more strategic ways to do it.
Another option is a qualified charitable distribution. This applies if you’re over 70½ and have an IRA. Instead of taking a distribution, paying income tax, and then donating, you can send the money directly from the IRA to the charity.
That’s important because it doesn’t count as income. With today’s higher standard deduction, many people aren’t itemizing, so this becomes a way to still get a tax benefit.
If you’re already required to take distributions, this can be a very efficient way to give. But you do need to plan ahead. The money has to go directly to a qualified charity, and timing matters, especially toward the end of the year.
Right. Waiting until December can create challenges, especially if the charity is slow to process checks or things get lost in the shuffle.
Another thing to be aware of is tracking. Even though the money goes directly to charity, your tax form will still show the full distribution. You need to work with your CPA to make sure the charitable portion isn’t taxed.
That’s a great point. There’s a little more responsibility on the client side to keep records.
And it’s worth noting that you can’t send a qualified charitable distribution to a donor-advised fund. It has to go directly to a 501(c)(3) organization.
So depending on where your assets are and what your goals are, different strategies may make more sense.
If you have assets in a taxable account, a donor-advised fund can be especially useful. We recently worked with a client who had a high-income year due to bonuses and stock payouts. We funded a donor-advised fund to cover several years of giving so they could take the deduction in that high-income year.
That’s where planning really comes into play. It’s not just about giving—it’s about aligning your giving with your income and tax situation.
Exactly. And these strategies go beyond tax planning. They tie into retirement planning, estate planning, and even family values.
We’ve seen clients involve their children in donor-advised funds, showing them how and why they give.
They can even name successor participants, so if something happens, the next generation continues managing those charitable dollars. It becomes part of the family legacy.
And that’s powerful. It’s not just about money—it’s about passing on values.
A lot of clients want to teach their kids about saving and investing, but also about giving. This is a great way to do that in a structured and meaningful way.
So how can we help clients navigate all of this?
It starts with a conversation. We look at their age, where their assets are, and what their goals are. Sometimes it’s one strategy, sometimes it’s a combination.
Some clients even “bunch” multiple years of giving into one year to get over the standard deduction and maximize the tax benefit.
And one of the advantages of a donor-advised fund is simplicity. You make one contribution, get one deduction, and then distribute to charities over time.
It’s also very easy to use. A few clicks and the money is sent exactly where you want it to go.
At the end of the day, there are many ways to approach charitable giving. The right strategy depends on your situation, but the key is knowing your options and planning ahead.
If you’re curious about what might make sense for you, reach out to your Morton Wealth advisor. We’re happy to help guide that conversation.
