3

2026 Charitable Giving Tax Rules: What Nonprofits Should Know

#
giving
Joel Pollick
Founder & CEO
January 6, 2026

The U.S. tax code is changing in 2026 in ways that will directly affect how nonprofits communicate with supporters, steward donors, and collaborate with workplace giving partners.

This guide breaks down the changes in plain English — so your nonprofit can update messaging, encourage giving behavior, and strengthen corporate partnerships in the year ahead.

Nonprofits searching for terms like “2026 charitable tax rules,” “universal charitable deduction,” “how nonprofits should prepare for tax changes,” and “corporate giving 2026” will find everything they need here.

What’s Changing in 2026 (in Plain English)

Two tax changes matter most to nonprofits:

1. A new universal charitable deduction for individual donors

Beginning Jan 1, 2026, donors who take the standard deduction (about 90% of Americans) can deduct:

  • Up to $1,000 of their charitable donations (individual filers)
  • Up to $2,000 (married filing jointly)

This is big. For nearly a decade, standard-deduction filers received no tax benefit for charitable giving. In 2026, they finally do.

2. A new 1% “floor” for corporate charitable deductions

Corporate donors can only deduct contributions that exceed 1% of their taxable income.

This means small, scattered corporate donations may no longer be deductible — which nudges companies toward more structured, strategic giving programs.

Both changes create opportunities for nonprofits to improve donor messaging, employer partnerships, and year-end fundraising strategies.

How Nonprofits Should Update Messaging to Supporters in 2026

Your donors may not understand the new rules — and they may not hear about the change until well into 2026. You can help by adjusting your messaging early.

1. Educate donors simply and clearly

Suggested language for your website or newsletter:

“Starting January 1, 2026, most people who take the standard deduction can now deduct up to $1,000 (or $2,000 for married couples) of their charitable giving. This is the first time in years that everyday donors receive a tax benefit for giving.”

Keep it short, factual, and easy to understand.

2. Add a “2026 Giving Advantage” callout to your donation pages

A short explainer near your donate button can increase conversion:

“New in 2026: Most donors now qualify for a charitable tax deduction of up to $1,000 or $2,000.”

3. Update your year-end fundraising scripts

Your 2026 calendar-year-end messaging should highlight:

  • The new deduction
  • Examples of tax savings
  • A reminder to give before Dec 31

4. Train your development team

Gift officers should be able to say:

  • What changed
  • How donors benefit
  • What qualifies (and what doesn’t)
  • How to download receipts or get documentation

If your nonprofit receives donations through Percent Pledge’s Giving Platform, donors will automatically receive IRS-compliant receipts — saving you a lot of time and administrative costs.

How to Encourage Smart 2026 Giving Behavior

The universal charitable deduction creates new psychological and financial motivations for donors. Here’s how nonprofits can take advantage of them.

1. Encourage donors to set a giving goal

Because the tax deduction caps are fixed ($1,000 / $2,000), donors now have a clear target.

Encourage:

  • $1,000 annual giving for individuals
  • $2,000 for married couples

Many donors appreciate simple goals that help them maximize impact and tax benefit.

2. Promote recurring giving early in the year

Recurring donors are far more likely to reach the $1,000 threshold without thinking about it.

For example:

  • $85/month ≈ $1,020/year

Recurring giving also increases donor retention and forecasting capacity.

3. Show donors examples of their tax savings

A simple example makes the benefit feel real:

“If you donate $1,000 and you’re in the 22% tax bracket, you may save $220 on your 2026 taxes.”

When nonprofits show tangible savings, donors are more motivated to act.

4. Remind donors that company matching can double their impact

Company matches do not count toward the donor’s deduction — only their personal gift does — but matches dramatically increase total impact.

Nonprofits benefit when employers use Percent Pledge’s Matching Gifts, because matches are automated, fast, and reliably delivered.

How Nonprofits Can Collaborate More Effectively With Workplace Giving Programs in 2026

The 2026 rules create the strongest alignment in years between:

  • Employee donors
  • Employer match programs
  • Nonprofit fundraising teams

Here’s how to capitalize on that alignment.

1. Encourage supporters to give through their employers

Workplace giving often increases:

  • Donor consistency
  • Total annual giving
  • Donor lifetime value
  • Matching gift utilization

If your nonprofit receives funds via Percent Pledge’s employer network, you benefit from automated delivery, faster processing, and improved donor visibility.

2. Strengthen relationships with companies whose employees support you

With the new 1% corporate floor, companies are rethinking CSR budgets.

This is the perfect time to:

  • Introduce grant proposals
  • Pitch volunteer events
  • Highlight your nonprofit’s impact
  • Offer pilot projects for employee groups

Workplace giving partners with real-time reporting, like Percent Pledge’s Giving Platform, help nonprofits demonstrate alignment and value to corporate teams.

3. Ensure your nonprofit is “match eligible” everywhere

Make sure your profiles on major giving and matching platforms are:

  • Accurate
  • Up-to-date
  • Optimized with program descriptions and EIN
  • Tagged to the correct cause categories

Percent Pledge’s charity vetting ensures nonprofits meet IRS requirements, reducing friction for donations and corporate matches.

4. Partner with employers on campaigns

Campaigns such as:

  • Pride Month
  • Breast Cancer Awareness Month
  • Hispanic Heritage Month
  • Giving Tuesday

…are easy entry points for nonprofits to collaborate with companies.

Percent Pledge offers turnkey Campaigns with built-in communications, themes, and live impact tracking — making collaboration even easier.

How Percent Pledge Helps Nonprofits Grow Through Corporate Giving

Nonprofits gain several advantages when they partner with Percent Pledge, either directly or through employer programs:

Administrative relief

No manual matching forms or chasing corporate contacts. Donations and matches flow through one clean system.

Verified, compliant giving

Every nonprofit in our ecosystem is fully vetted through IRS and third-party verification.

Better donor data

Nonprofits can receive visibility into gifts coming from workplace donors (where employer policies allow), helping improve stewardship.

Faster distributions

Percent Pledge distributes donations quickly and reliably — no delayed checks, lost match forms, or administrative bottlenecks.

Opportunities to participate in campaigns

Nonprofits regularly become featured organizations in employer-led giving campaigns, increasing awareness and donations.

Tools relevant to nonprofits include:

Final Thoughts

The 2026 charitable giving rules present nonprofits with a unique opportunity: donors finally have a new tax reason to give, employers have a new reason to structure giving programs, and nonprofits have a new reason to engage both audiences with clear, compelling messaging.

Nonprofits that update their fundraising strategy early — and collaborate more closely with workplace giving partners — will put themselves in a strong position for 2026 and beyond.

If your nonprofit wants help connecting with employer giving programs, activating workplace supporters, or participating in corporate campaigns, we’d be glad to help.

Other blog posts

Blog
A CFO’s Decision Framework for Corporate Charitable Giving in 2026
A CFO’s Decision Framework for Corporate Charitable Giving in 2026
#
giving

A CFO’s Decision Framework for Corporate Charitable Giving in 2026

A simple decision framework for CFOs to evaluate corporate charitable giving under the new 2026 rules, including the 1% floor and 10% cap.
Blog
The New 2026 Universal Charitable Deduction in Plain English
The New 2026 Universal Charitable Deduction in Plain English
#
giving

The New 2026 Universal Charitable Deduction in Plain English

A simple guide explaining the new 2026 universal charitable deduction—who qualifies, how much you can deduct, and how to claim it.
Blog
See How Much You’ll Save on Taxes by Giving to Charity in 2026
See How Much You’ll Save on Taxes by Giving to Charity in 2026
#
giving

See How Much You’ll Save on Taxes by Giving to Charity in 2026

See how much you'll save on taxes with the new charitable giving tax incentives. Free calculator and examples for each tax bracket.
bright red decorative half circle shape
light blue decorative hexagon

See your new platform live

Get a personalized demo

Percent Pledge is different, by design:

  • Modern design. No training required.
  • Dedicated Social Impact Managers.
  • Lowest donation fees in the industry.

Over 50% of employees engage.