About Donating Your Car

About Donating Your Car thumbnail
About Donating Your Car

If you have a car you are no longer using, donating it to charity can be a great option. Many charities will actually take your car even if it is no longer running! Not only are you helping those in need, but you get a tax deduction at the same time.

  1. The Facts

    • When you have a car you'd like to donate to charity, there are a number of different programs that will accept your car. Some programs give you a choice of which charity you'd like to donate to, and other programs accept cars for only a certain charity or type of charity.
      A great suggestion is to call your charity directly and ask them, "Do you accept car donations?" The charity should be able to give you the name of a car donation company that can help you. This is an ideal way to find a company you know will help the charity that you are most interested in.
      Contact the company and then make arrangements. Most companies will take cars whether they are running or not. Ideally, they want the title to the vehicle, so have that available when they pick up the car.

    Benefits

    • You are donating something to charity (your car) that you are no longer using, and the charity receives a donation that it can turn into much-needed funds. You also receive a tax deduction for the year. It is truly a win-win situation.
      For many, this choice to donate their cars can seem ideal. If you aren't using your car and you just don't want to sell it, donating it to charity can give a generous donation to a charity that is special to you. Your tax deduction may be worth more than what you could actually sell the car for. You car donation might be worth more than you could give monetarily. By giving your car, you are certainly helping the charity in a meaningful way.

    Risk Factors

    • Some claim that certain donation programs do not give enough of the actual car donation to charity. Every charity has administrative costs, and the typical charity will spend a small percentage (say, under 8 percent) of all donations simply to keep their office running. This is reasonable.
      Confirm with car donation companies before handing over the keys exactly how much of the donation goes to the charity itself. Get an answer that makes you feel comfortable. If you don't like what you hear, don't hand over the keys. Any program that helps a not-for-profit organization has overhead costs, and programs that donate cars are often not running as not-for-profit organizations. They are for-profit companies that help not-for-profit organizations by processing the cars.

    Effects

    • Your donation has the ability to help a charity that needs these funds. If you have a car that you are no longer using and you want to help out a charity, this can be an option to consider. Just about every charity is looking for ways to help more people, and they will gratefully accept your help. Your donation gives them the ability to continue their good work.

    Time Frame

    • Donating your car can be a quick process. The longer process is in the beginning: simply deciding which car donation company is best for you and which charity you want to support. They will ask you the condition of the car and then make plans to get the car or for you to bring it in.

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  • Photo Credit Agata Urbaniak

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