Year-end dynamics: Tax law changes and increasing community needs

You are likely aware that many families in our community are struggling, and you may be wondering how you can help most effectively. Whether increased community needs are triggered by a government shutdown that disrupts paychecks, services, and community programs, a natural disaster, or economic factors, the Kitsap Community Foundation is committed to helping you structure charitable giving plans that make a real difference in the lives of people in our region, especially with year-end giving planning.

Here are a few examples of how our team can help:

Real-time identification of needs.

The team at Kitsap Community Foundation has its finger on the pulse of which organizations are helping families in crisis. As federal employees and contractors grapple with missing income and federal benefits become uncertain for families in need, charities in our community can be stretched thin as they attempt to meet the rising demand for food, rent, and utility assistance. KCF knows where dollars are most needed and how those dollars translate into immediate impact.

Offering fast and flexible charitable solutions.

If you have already established a donor-advised fund at Kitsap Community Foundation, or are considering doing so, you can use it to support charities on the front lines of emergency assistance in our community. KCF makes it fast and easy for grants to flow from donor-advised funds to qualified, vetted organizations doing the work on the ground.

Leverage important timing.

The urgency of community needs in late 2025 coincides with an important window of opportunity for people who itemize their income tax deductions. Under the One Big Beautiful Bill Act (OBBBA), limits on charitable deductions will tighten beginning in 2026. That means it may be advantageous to certain donors to “front-load” or “bunch” contributions—such as by giving more this year through establishing or adding to a donor-advised fund—to maximize both tax benefits and impact.

Plan for the future.

Unfortunately, community crises are not unusual. Kitsap Community Foundation works with you and other donors and fundholders to strengthen our community’s ability to respond to urgent needs, regardless of when or why they occur. For this reason, many donors not only give to their favorite charities through donor-advised funds but also use their donor-advised funds to support KCF’s dedicated response funds, ensuring dollars are in place to support people in need the moment the next crisis hits.

At Kitsap Community Foundation, we encourage you to reach out anytime. At this moment, when urgent needs and tax opportunities coincide, we encourage you to reach out as soon as possible. It is our honor to work with you and your fellow donors who care so deeply about our community.