Donations from generous people like you fund over 170 programs and services that bring hope and healing to Phoenix Children's patients and their families. With new tax laws going into effect in 2026, now is the perfect time to adopt a savvy giving strategy that maximizes your impact and your tax benefits. There are many ways you can potentially reduce your tax burden while giving the gift of hope to children in need of lifesaving care.
Why give in 2025?
This year offers unique opportunities to make your charitable gifts go further.
- Itemized charitable deductions are worth more in 2025 than they will be in future years.
- You can “bunch” your giving by making larger gifts this year to maximize deductions, then take the standard deduction in off years.
- State and local tax deductions are higher this year, making it easier to surpass the standard deduction threshold.
To qualify for a 2025 federal tax deduction, mailed gifts must be postmarked by December 31. Credit card gifts must appear on your statement by December 31. Gifts of securities, QCDs and assets may require extra time—be sure to start the process early.
1. Give and get back with the Arizona Charitable Tax Credit.
With this dollar-for-dollar credit—up to $495 for those filing individually and $987 for those filing jointly—you can get the value of your gift back on your state income taxes. Any charitable donation made by April 15, 2026, can still be used toward your 2025 Arizona Charitable Tax Credit.
2. Bunch your gifts for maximum impact.
Consider “bunching” your charitable gifts in 2025. By concentrating several years’ worth of giving into this year, you can itemize and maximize your deductions. For example, if you typically give $10,000 annually, giving $40,000 this year could increase your tax deductions by $25,000 compared to spreading gifts over four years. You can bunch gifts by paying multiyear pledges in advance or moving assets into your donor-advised fund. To learn more about this strategy, please reach out to a member of our Gift Planning team at giftplanning@phoenixchildrens.com.
3. Give a gift of stock.
By donating long-term appreciated stock directly to Phoenix Children's, you can bring hope to children and families while receiving an income tax deduction for the fair market value and avoiding capital gains tax at transfer.
If you want to maintain your portfolio, consider a “charitable swap” (donate appreciated stock, then repurchase the same stock with cash).
4. Make a QCD from your IRA.
IRA account owners age 70 1/2 and older can transfer up to $108,000 per year to charity through a qualified charitable distribution (QCD). If applicable, this can satisfy your required minimum distribution (RMD) and exclude the amount donated from taxable income. You don’t pay any income tax on the transfer and don’t need to itemize deductions to take advantage of a QCD. If you are required to take RMDs but don’t need or want the funds, this may be a good strategy for you. Your contribution can make a significant difference in the lives of children and their families. Simply contact your IRA custodian and direct them to make a transfer from your IRA directly to Phoenix Children’s
5. Direct a grant from a DAF.
If you've previously funded a donor-advised fund (DAF), you can direct a grant to Phoenix this year to take advantage of higher deduction limits and bunching strategies. This is a wonderful opportunity to turn your previous contributions into a heartfelt gift that brings joy and hope to the lives of those who need it most.
6. Create a charitable gift annuity.
Are you searching for a reliable way to safeguard your financial stability amidst the unpredictable stock and real estate markets? A charitable gift annuity (CGA) is a unique opportunity to support Phoenix Children's while ensuring your own financial security. By making a CGA, you can receive fixed payments for life, providing you with a stable and dependable source of income. These fixed annuity payments remain unaffected by economic fluctuations, giving you peace of mind in uncertain times. If you itemize your deductions on your income tax return, a CGA may qualify for a deduction, potentially reducing your tax liability. It's a win-win situation—you secure your financial future while contributing to the well-being of children and families at Phoenix Children's.
You can also use IRA funds for a one-time CGA, combining lifetime income with tax benefits.
7. Give a gift in your will or trust.
Consider naming Phoenix Children's as a beneficiary under your will or trust. Blending your current giving with future gifts can allow for your greatest impact. Creating your free will now gives you the power to shape the futures of Arizona children and extend your charitable giving beyond your lifetime. Your legacy becomes a testament to your compassion and the positive change you wish to see in the world.
By leaving a gift to Phoenix Children’s in your will, you ensure that your values and philanthropic spirit will continue to thrive for generations to come. You can choose to support specific programs, establish an endowed fund, or provide unrestricted funds to give Phoenix Children’s the flexibility to address emerging needs. This level of personalization allows your philanthropy to remain true to your vision and create the greatest possible impact.
If you have already included Phoenix Children’s in your will, we extend our heartfelt gratitude for your commitment to children’s health. Please let us know of your decision so that we may express our appreciation and keep you informed about the impact of your legacy.
8. Take advantage of a zero-tax gift and sale.
If you're looking for a way to access the equity in an appreciated asset, there are many ways we can work with you. Donating appreciated real estate, such as a home, vacation property, undeveloped land, or commercial property, can transform lives at Phoenix Children’s. Rather than losing capital to taxes, you can invest in children's health while benefiting from advantageous tax savings and even creating a lifetime income. Before you sell your business, land, or other items of value, consider exploring strategies to take one asset and create multiple outcomes.
9. Make a gift from a qualified retirement plan.
If you have a retirement plan such as an IRA or a 401(k), the individual beneficiaries of the plan will pay income tax when they eventually receive it. Instead, consider naming Phoenix Children’s as the beneficiary of some or all of it. Because charities don’t pay income tax, the full amount of the retirement account will directly benefit Phoenix Children's. You can also create a charitable gift annuity from your testamentary IRA distribution. This will allow you to stretch your gift to your heirs longer than the law allows you to give directly to them. This strategy will reduce their tax burden while creating your charitable legacy.
10. Make a gift of life insurance.
As the year draws to a close, it's an ideal time to assess your essential documents, including life insurance policies. Particularly, paid-up whole life policies often hold considerable value that can be transformed into a charitable gift, potentially offering you tax deductions. Consider the impact you can make by choosing to gift your life insurance policy to Phoenix Children's. If you have a policy that has fulfilled its original purpose, such as providing for minor children who have now become financially independent adults, redirecting its value to support our mission is a beneficial way to leave a lasting legacy.
11. Donate a vehicle.
Do you have an old car, truck, boat, motorcycle, or motor home taking up space and becoming a burden? Consider giving it new purpose by donating the vehicle to Phoenix Children's. Phoenix Children’s has partnered with the Arizona Humane Society’s to make donating your vehicle easy, from pickup to tax receipt. This partnership allows you to support both Phoenix Children's and the Arizona Humane Society while maximizing your tax deduction.
12. Donate cryptocurrency.
With crypto on the rise, now is the perfect time to make an impact. By donating to Phoenix Children’s, you can transform your digital gains into lifesaving care for kids, avoid capital gains taxes, and enjoy a tax deduction—all while growing hope for the next generation
*This information is not intended as tax, legal or financial advice. Gift results may vary. Consult your personal financial advisor for information specific to your situation.
Learn more about these and other savvy giving strategies.
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