I’ve been going through this with a handful of clients, so it’s topical.

Starting next year, recent tax law changes reduce the benefit of charitable deductions a bit. In short: you lose 0.5% of your AGI.

So if your AGI is $1M, the first $5K of your donations doesn’t generate a deduction.

Annoying.

Here are some of the topics we’ve discussed:

1. Bunch 2–3 years of giving into this year using a Donor Advised Fund (DAF)

You make a large contribution to your own DAF now, get the full deduction this year, and then send money out to charities over time on your own schedule.

2. Donate your most appreciated positions, not cash

At QFS, we’re contributing the biggest winners in client accounts.

Example: positions up 700–900%. The entire unrealized gain (a big deferred tax bill) disappears, and the client still gets a deduction for the full market value.

3. Diversify DAFs and foundation portfolios, not 100% equities

If you’re granting, say, 5–10% per year from a DAF or private foundation, a 100% equity portfolio creates a lot of sequencing risk.

In many cases, a lower‑volatility, higher risk‑adjusted‑return mix lets your charitable dollars go further and last longer for the causes you care about.

4. Use this year to front‑load giving, then use tax‑aware hedge funds going forward

Some clients are front‑loading several years of charitable contributions now, then using more tax‑aware hedge funds and other structures going forward to reduce their ongoing income tax burden.

If your income is going to be seven figures in 2025+ and you care about both generosity and tax efficiency, these nuances matter a lot more than “should I write a bigger check.”