Is it worth the time and effort to itemize just to get a deduction for charitable giving?
The answer to that varies from person to person. The standard, automatic deduction the IRS provides is $4,850 a year for single people and $9,700 for a married couple filing jointly (2004 amounts). This is more than most people contribute to charity in a year. However, when charitable deductions are added to other potential deductions, including interest on a home mortgage, medical expenses that exceed certain base amounts, education expenses, casualty or theft loss, or additional deductions you plan to itemize, your charitable donations may help to lower your tax bill. As with any major tax decision, confer with your own tax or financial advisor so you’re sure you get the most out of all your deductions.
