Charity Begins at Home: Putting the Universal Charitable Deduction to Work for You and Your Community

Abraham Lincoln said, “when I do good, I feel good”. That good feeling you get when you donate to a charitable organization is its own reward. Even better, and new for 2026, the IRS now offers philanthropic donors a new way to save on their taxes with the Universal Charitable Deduction (UCD).

In the past, taxpayers who didn’t itemize deductions did not receive a tax benefit from their contributions. But now, the UCD allows you to deduct up to $1,000 per person or $2,000 per couple in addition to taking the standard deduction. Remember, always consult your tax professional on your personal tax situation.

“Set it and forget it “using a recurring automatic withdrawal is a great giving strategy, no matter your age or experience with charitable giving. Start by picking a donation that doesn’t strain your budget, such $60/month or about two dollars a day. When tax time comes, you’ll get a portion of it back by claiming the UCD, and the records are all there in your bank account. Invite some friends to do the same.

I like knowing how my money is spent and who benefits from my charity dollars. I like reinvesting in my community. That is why I’ve chosen to donate to several of the funds managed by the Faribault Foundation. Established in 1999, the Foundation is a non-profit, 501(c)3 tax-exempt public charity whose mission is “to develop, manage and distribute financial resources… channeling them into multiple organizations and projects that address the needs of our community”. As opposed to single purpose charities, the variety of funds managed by the Foundation improve the quality of life for all.

You may wish to donate to the Community Opportunity Fund, the source of our microgrants to local organizations. These grants support education, art and physical fitness for people of all ages, sobriety and mental health and resilient families. You may wish to donate to the Faribault High School Distinguished Alumni Fund, and support grants made to active community youth groups striving to be the next generation of distinguished alumni. Maybe River Bend Nature Center or the Paradise Center for the Arts have brought you hours of enjoyment and you’d like to give something back. These are only a few of the funds sponsored by the Foundation. I encourage you to explore our website at faribaultfoundation.org. Read our story, click “Find a Fund” to learn more, and be inspired to take the next step.

–Sarah Beckmann serves on the Board of Directors of the Faribault Foundation.