Getting rid of an unused car is often a bigger hassle than it seems. Selling it means getting it ready, advertising it, meeting with potential buyers, dealing with low-ballers, and more. Donating a car to a worthy non-profit organization, however, can make unloading your old vehicle a breeze.
More importantly, there are a variety of benefits of donating a car that makes this choice even easier than alternative options.
Here are just some of the top benefits of donating a car:
Help An Organization In Need
Non-profit organizations typically rely on external funding to keep their operations running. These organizations can use a donated car in a number of ways. Some groups will use the donated car for transportation for their employees, volunteers, or members. Having access to reliable transportation makes it possible for organizations to deliver meals, pick up other donations, or attend important meetings.
Other organizations sell donated vehicles. The sale not only helps someone else get a new ride but also puts money back into the organization. The sale could be a typical private sale, an auction, or something else completely.
Some non-profit schools might even use the vehicle as fodder to teach students auto mechanics or auto body skills. In this case, the programs wouldn’t exist without generous donations.
One of the most significant benefits of donating a car is a tax write-off come tax time. This deduction is only possible if you donate to an official 501(c)(3) organization, so make sure to double-check your intended recipient meets the appropriate criteria. Most non-profits that accept car donations will help you with the proper paperwork.
Your deduction will either be the fair market value of the vehicle or the price the organization sells it for. Fair market value is essentially the comparable price in your area for similar makes and models in the same kind of condition. If the organization sells the car, you get to deduct whatever they get for it. That even includes any improvements, repairs, or upgrades they make before selling it.
The Community Benefits Too
You might think that getting a tax deduction and helping a local non-profit is enough to justify making a vehicle donation. The benefits of donating a car go beyond you and your favorite organization; the community also gains from the transaction.
In many communities, transportation is the biggest barrier to employment and education. Many donated vehicles end up in the hands of families in need either through donation or sale. Now families can get to work on time, attend doctor’s appointments, enroll the kids in daycare, or just access basic needs more easily. Something as simple as unloading your used car can have a positive impact on an entire community, one family at a time.
Enjoy Those Benefits Today
Instead of letting your old car collect dust in the garage, consider donating it to a worthwhile non-profit organization. Not only can you earn a tax credit for yourself, but you can also help the organization and community. The best part is that donating your car is straightforward, so you don’t have to deal with the headache of selling or trading in your car. There’s never been a better time to enjoy the benefits of donating a car than today.