Charity is on everyone’s mind at this time of year. The longest government shutdown in our nation’s history has caused knock-on effects of job losses, anticipated steep rises in health insurance premiums, and empty pantries for some of our neighbors. Non-profits that help those in need are also struggling with a loss of funding.
As donors consider how they can help non-profits, they are also struggling to understand how the new tax law, called the One Big Beautiful Bill (OBBB), will affect their giving options. The OBBB made extensive changes to the tax code. Some of those changes were discussed in the November 5, 2025, program called “The Good, the Bad, and the Unchanged: The Impact of the Big Beautiful Bill on Individuals and Families”.
This program was a community event sponsored by the Jewish Federation of Greater Nashville. It featured a panel discussion moderated by Mindy Hirt, Senior Vice President, Argent Trust, with panelists Eva Pulley, a CPA with Baker Tilly Advisory Group (formerly KraftCPAs), David Heller, an attorney with MHPS, PLLC, and Peter Deming, Senior Wealth & Tax Strategist with Truxton Trust. [A video recording of the program is available here.]
The November 5th program reviewed several of the changes to deductions that will take effect with the 2026 tax year. For example, a new universal charitable deduction of $1,000 for individuals and $2,000 for couples filing jointly will be available to taxpayers who don’t itemize their deductions. High income and high earner individuals who typically itemize their deductions will face less generous deduction limits for their charitable gifts beginning in 2026.
The panelists noted that we are all waiting for regulatory guidance regarding the tax law changes. The panelists also noted that there is still time to make charitable donations under the current tax law before the new deduction limits become effective. One recommendation coming from the panelists was to make planned gift payments before the end of December 2025.
Planned giving can take several forms. One option is for donors to add money to an existing endowment fund. Alternatively, a new endowment fund can be created with cash or company stock. The Foundation at the Jewish Federation of Greater Nashville offers a variety of endowment fund options, including donor advised funds. A donor advised fund allows a donor to obtain a tax benefit while streamlining charitable giving. Instead of writing checks to each non-profit, a donor can simply submit a request for a distribution to the chosen non-profits and rely on the Jewish Federation’s staff to ensure the gifts are distributed to the non-profits.
Another option available to donors is to set up an endowment fund that is designated to benefit a specific non-profit or worthy cause. A designated fund allows a donor to make an annual gift without further action by the donor. Each year, the interest income from the fund will be distributed to the designated organization. One more fund option is to create an annual campaign endowment fund with the Jewish Federation of Greater Nashville. Each year, the interest income is contributed to the annual campaign of the Jewish Federation which supports a variety of Jewish organizations locally and globally through its grants process.
Perhaps setting up a new endowment fund or adding to an existing fund before the end of 2025 is not on a donor’s to-do list. A longer-term option available to donors of all income levels is a legacy gift. A legacy gift made through the LIFE & LEGACY™ program allows a donor to use their resources now when their families need them. Later, after the donor’s lifetime, a gift will be made to the organizations chosen by the donor.
Since 2017, the LIFE & LEGACY™ program in Nashville has generated more than $29 million in promised gifts to 14 participating organizations. The organizations have already received $4,571,534 from donors. This program ensures the financial sustainability of the Nashville Jewish community for future generations.
An adage states that charity begins at home. At this time of year when many in our community are struggling, charity is top of mind for many of us. Consider how you can help others while also achieving the maximum tax benefit under current tax law before the new deduction limits take effect in 2026. If you have questions about the Jewish Foundation, the LIFE & LEGACY™ program, or the grants process, please contact the staff at the Jewish Federation of Greater Nashville for assistance.
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