Questions for financial advisors to ask clients about taxes and charitable giving

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Talking about charitable giving is one of the most effective ways financial advisors can connect clients' values with tax-smart financial planning. In 2026, changes to charitable tax deductions, itemizing rules, and tax brackets make these conversations even more important for proactive planning.

This guide provides simple conversation starters for financial advisors to naturally introduce three tax-smart charitable giving strategies, including the use of donor-advised fund (DAF) accounts. These prompts are designed to support more meaningful discussions around tax-efficient charitable planning, income tax reduction strategies, and year-end giving decisions for 2026.

Pair these questions with our client-ready article to support more confident, values-driven giving decisions.

Before you get started, consider starting with a few framing questions:

• When you look back at your 2025 tax return, what surprised you most (refund, amount due, or your effective tax rate)?
• Do you expect any major income changes in 2026 that could increase your tax liability or change your tax bracket (for example: bonus, equity comp, business sale, inheritance, Roth conversion, etc.)?
• Are there any deductions you’ve leveraged in the past that might not be available to you in 2026?
• Is charitable giving something you’d like to do more of… if we can do it in a more tax-smart way?
• Which causes or organizations matter most to you right now?

Help clients understand how the 2026 tax law changes impact the value and timing of their charitable giving. The following questions can help your clients understand how the latest changes impact whether they itemize or take the standard deduction.

Example questions to ask your clients:

• Have you historically itemized deductions, or do you typically take the standard deduction? Do you expect to itemize deductions in 2026?
• If you plan to itemize, are you aware that due to tax law changes, charitable deductions now only apply once total giving exceeds 0.5% of adjusted gross income (AGI)? Should we estimate that threshold for you?
• Are you aware that if you’re in the 37% income tax bracket, the itemized deduction value now phases out at 35%?
• Are you planning any large gifts (cash or non-cash) this year? Should we estimate your cash vs. non-cash deduction limits?
• For 2026, do you think your itemized deductions (including charitable gifts) will exceed the standard deduction amount ($16,100 single filers or $32,200 married filing jointly)?
• If you plan to take the standard deduction, would you like to discuss whether you may qualify for the additional cash giving deduction ($1,000 for single and $2,000 for joint) and which charities qualify as operating charities?

Advisor actions to consider:

• Estimate the client’s AGI and 0.5% charitable gift deduction threshold.
• Evaluate deduction limits based on AGI limits (cash vs. non-cash).
• Run an itemizing vs. standard deduction comparison.
• Share our article on how the One Big Beautiful Bill Act (OBBBA) affects charitable giving.

Strategy 1: Potentially eliminate capital gains taxes by donating appreciated non-cash assets held for more than one year

Example questions to ask your clients:

• Are you open to giving assets other than cash (like appreciated stock or other investments)?
• Do you have appreciated investments you’ve held for over a year (stocks/ETFs, concentrated positions, or other assets) that you’ve considered selling or trimming?
• If you sold those assets, are you aware that you may owe meaningful capital gains tax? Would you consider donating shares instead of cash?
• Are there any portfolio rebalancing moves you’ve been postponing because of taxes?
• Would you like to compare “selling assets first and then donating cash” versus “donating appreciated assets directly to charity” to see how much you could potentially save in taxes?
• Should we identify which assets are most tax-efficient to give (cash vs. appreciated securities) and which to maintain?

Advisor actions to consider: 

• Identify potential long-term appreciated assets suitable for donation.
• Quantify potential capital gains tax savings.
• Consider the donation recommendation as part of portfolio rebalancing decisions.
• Demonstrate how this strategy can increase dollars available for charity using our article as an example of donating stocks.

Strategy 2: Offset unexpected income with a charitable contribution and deduction  

Example questions to ask your clients:

• Are you anticipating any one-time income events in 2026 (bonus, equity vesting/exercise, Roth conversion, business transaction) where a deduction could help?
• Is there a specific tax bracket or tax bill amount you’d like to try to stay under this year?
• If you had a “high-income year,” would you be comfortable accelerating some of your future charitable giving into this year?

Advisor actions to consider:

• Identify income spikes (bonuses, Roth conversions, etc.)
• Model how charitable contributions can offset taxable income.
• Recommend timing strategies to maximize deduction value in high-income years using our Roth conversion article as an example of how to offset unexpected income.

Strategy 3: Bunch charitable contributions to maximize deductions (or clear the new AGI floor)

Example questions to ask your clients:

• Would you be open to lowering your taxes by combining two years of charitable giving into one year — so you could potentially itemize in 2026 and take the standard deduction in 2027?
• Do you have the cash flow or appreciated assets to fund a larger contribution this year (even if you plan to give to charities over time)?
• Should we evaluate whether bunching helps you itemize in 2026 (exceeding the 0.5% of AGI threshold for deductibility)?

Advisor actions to consider:

• Run multi-year tax scenarios (bunching vs. annual giving).
• Determine if bunching helps:
  • Exceed the standard deduction.
  • Clear the 0.5% AGI threshold.
• Introduce solutions that allow upfront funding with ongoing giving flexibility using our article as an example of bunching contributions.

Introduce how DAFs are a flexible tool that supports multiple strategies discussed above.

Example questions to ask your clients:

• Have you used a donor-advised fund (DAF) before?
• Are you familiar with the tax benefits of giving through a DAF rather than donating directly to charities?
• Would it help to take a tax deduction now but decide on specific charities (and when to grant) later?
• Would you like your charitable dollars to potentially grow tax-free while you plan your grantmaking over time?
• Do you plan to donate non-cash assets (like appreciated securities) where a DAF could simplify the process?
• Would you like to involve family in charitable decisions (for example, recommending grants to charities together over time)?

Advisor actions to consider:

• Introduce DAFs as a simple, tax-smart vehicle for charitable giving.
• Use DAFs to:
  • Facilitate bunching strategies.
  • Accept non-cash asset contributions.
  • Separate tax deduction timing from grantmaking decisions.
• Incorporate DAFs into broader wealth, tax, and legacy planning.
• Encourage donors to learn more about DAFs through our website.

Use these questions to guide more meaningful client conversations, uncover giving goals, and identify opportunities to make charitable giving more tax efficient.

Example questions to ask your clients:

• Do you want to coordinate this plan with your tax advisor before year-end, so deductions and AGI limits are handled appropriately?
• What would make you feel most confident that your giving plan supports both your tax goals and your charitable goals?

Advisor actions to consider:

• Share our article — How to lower taxable income with charitable giving — with your clients.
• Explore how a DAF account works for you and your clients.
• Help clients contribute to their DAF accounts using the strategies above.
• Review our article about tax law changes affecting giving.
• Work with clients to create a charitable giving plan.

Coauthors: 

Caleb Lund, CAP®
Director of Charitable Strategies Group
DAFgiving360™

Hayden Adams, CPA, CFP®
Director of Tax Planning and Wealth Management
Schwab Center for Financial Research