Donate A Car to Charity - Or Raffle a New One !


All of us want to help our favorite charity but because of our financial commitments we might think twice, even though we are willing to make a difference in someone else’s life and willing to help a good cause. Always be positive - if you cannot donate money you can also donate items that are of no further use to you. It will still make a lot difference to someone else’s life, and aany donation is profitable for the charity group, so why not donate a car.

Donate your Car and More

There are many charity organizations who are working for society, and helping a good cause is a proud moment for anyone. If you are not comfortable donating money you can take the decision to donate your unwanted belongings and by donating items, such as a car, clothes or furniture you can help organizations to carry out their mission in your community. Indirectly you will also be responsible for the growth of the cause.

Be smart - the key is finding the right charity for your items. Usually charities are grateful for any donations and they would be happy to receive donations of helpful items, but it’s important to remember that not all charities can use all items.

Always remember to do a research on the fundraising companies, know what they do and how they are active in the field. It's always better to talk to them and check with the organization to which you’d like to make a donation. Find out what their needs are and how you can help them.

Usually we all think what we donate helps but in some cases certain donations could become a burden, especially to groups that are operating in tiny office spaces and have no room to store donations of large items or bags of clothes and toys.

Many organizations are professional now; they have developed a “wish list” of items that they need most. Always check with your charities what their needs are, let them know what are the specific items you can share with them and also ask for a copy from the charities you’d like to help.

If the items you have cannot find any group the best things is to donate them to your local Salvation Army or Goodwill Thrift Store. The organization will sell the items in the store and the money will help to fund the charitable projects sponsored by each group.

There are some goods like your old vehicle for which you can always ask for tax deduction, in addition to helping a worthy cause you can always ask for a receipt and claim your taxation. Always check with your tax professional to learn details about deductions for charitable donations.

Be proud to donate what you have and never feel like your donation of goods is less important than money. It’s the generous donations of all supporters that make it possible for charitable organizations to fulfill their vision.

10 Tips to Donate a Car to Charity


Have you decided to help your favorite charity, but worried about whom to donate and worried is it the right cause.

Do research to which organization you want to donate and once you are convinced and guaranteed that they are working on the cause which you wanted to support, donate car to them and score yourself a nice big fat tax deduction. But make sure to have some knowledge before taking this task of donating.

1) Always decide on a worthy charity. Always do your research before finalizing the organization. Check with them and make sure they take such donations. Check out our using Charity Navigator and the Better Business Bureau

2) Deal directly to the charity. Always make a note middlemen will have their share and try to keep as much as 50 to 90 percent of the car’s value. So work directly with non- profit organization as you see there are many of these for-profit middlemen companies who advertise aggressively on TV, billboards and magazines but be careful these companies may be for-profit organizations.

3) Recipient’s status. First and foremost check whether the companies are IRS approved 501 (c) (3) charity? If you want your donation to be tax certified then they have to be (most churches qualify). But always search on IRS home page and check for the qualified charities that will take your car.

4) Know your math. Are you using middlemen for-profit charity, take a look at how much of the car’s value will go to the cause. If it is just a flat fee of $50, you might not be eligible for any tax deduction from the IRS.

5) Personally drop the car. One of the important and must to do task is to take the car in yourself to the organization if it is running or you can afford the tow charge. Usually the charity has to pay for this towing, so you will be guaranteeing the maximum benefit to your chosen cause.

6) Do the transfer yourself. Transfer the car registration yourself directly to Charity, else you may end up receiving a parking ticket or other violation in the mail.

7) Don’t guess at your write off. Arrange for a proper paper work if the car or boat worth over $500 because most charities take your car and immediately flip it for cash, so be careful and usually reputable charities will happily supply you with this information.

8) Fair market value. To report the amount of deduction use Kelly Blue Book if the charity keeps the vehicle and uses it for its own charitable work or if your car or boat is worth less than $500.

9) Keep all records. Always make sure to complete the IRS form 8283 if your car is worth more than $500, If it’s worth more than $5,000 you must include an appraisal from a reputable company and avail the receipt from charity.

10) Rinse repeat. Make a detailed oriented task list and complete all the formalities and paperwork before completing one donation, Once you do this store all the details together so the next one will be easy. Remember, large tax deductions such as a car get scrutinized by the IRS. Take it seriously and make sure to complete all the formalities.

These are the best tips to follow in order to have no problems.