As ConocoPhillips employees prepare to give at the end of the year, they should 'plan ahead to maximize the impact of your donations,' says Michael Corgiat of The Retirement Group at Wealth Enhancement Group. Knowing how to maximize tax benefits and timing your giving can help you maximize your giving to charities.

In this article, we will discuss:

• 1. We pause to give thanks for our bounties and the people in our lives as the holiday season and the end of the year approach.
• 2.This also is a time when charities are often thought of. These tax benefits may make you want to donate more.
• 3. We recommend all able-bodied ConocoPhillips employees and retirees do this in their year-end tax planning. That would suggest that charitable giving may be an important consideration for people approaching retirement age and could be a meaningful way to give back to causes they care about.
  
  No tax deduction for charitable gifts.
  
  Donations generally are deductible if you itemize deductions on your federal income tax return. This may help you increase your donation as well.
  
  Example(s): Assume you want to make USD 1,000 in charitable donations. A possible way to potentially increase the value of the gift is to add the amount of any income taxes saved through the charitable deduction. You might give USD 1,316 to charity at a 24% tax rate [USD 1,000 (1 - 24%) = USD 1,316]. [USD 1,316 x 24% = USD 316 in tax savings]. Alternatively, you could donate USD 1,471 at a 32% tax rate to charity [USD 1,000 (1 - 32%) = USD 1,471; USD 1,471 x 32% = USD 471 in taxes saved].
  
  Yet ConocoPhillips employees and retirees should be aware that their deduction may be limited to a certain percentage of AGI. You can, for example, deduct 60% of your AGI for the year on cash gifts to public charities versus 30% or 20% for other gifts to charity. Generally speaking, charitable deductions in excess of the AGI limitations can be carried forward and deducted over the following five years subject to income percentage limitations for those years.
  
  For charitable donations, the normal rules apply: Direct cash donations to public charities may not exceed 60% AGI. You can take a USD 400 charitable deduction for direct cash donations to public charities from even if you do not itemize deductions.
  
  Document your charitable donation properly. Any contribution of cash, a check, or other monetary gifts that you make must be recorded as either a bank record (such as a canceled check, a bank or credit union statement, or a credit card statement) or a written communication (such as a receipt or letter) from the charity giving its name, date, and amount. Any deduction you claim for a USD 250 or more charitable contribution must be accompanied by a contemporaneous written acknowledgment from the charity. You face additional requirements if you make non-cash contributions.
  
  Year-end tax planning Employees and retirees of ConocoPhillips should plan for such charitable contributions when making year-end tax contributions. The timetable of your income and expenses usually has some bearing on you. Generally speaking, you should time recognition of your income so it is taxed at the lowest rate and recognition of your deductible expenses so they can be claimed in years when you are in the higher tax bracket.
  
  If you expect to be in a higher tax bracket the following year, for example, delay making the charitable contribution until January so you can claim the deduction the following year when you will be able to take the larger tax benefit. Or you could roll the charitable contribution and other deductions over to a year where your itemized deductions are greater than the standard deduction. And if those income percentage limits apply to you in a given year, you may wish to move income into that year or move deductions out of that year to allow a larger charitable deduction for that year. A tax expert can evaluate your individual tax situation.
  
  A word of caution For employees and retirees of ConocoPhillips, stick with reputable charities and avoid ones with similar names. Fraudsters often imitate charities on phony websites, emails, phone calls, social media, and in person solicitations. Search for the charity through the Tax-Exempt Organization Search tool at irs.gov. Don't send cash; instead, use a check or credit card.
  

The research shows that charitable giving benefits both the recipients and the donors as well—especially in their 60s. A study in Psychology and Aging in November reported lower stress, higher life satisfaction, and better health among older adults who regularly gave. Giving back and making a difference in others' lives can provide meaning and fulfillment in retirement.

Added Analogy:

Charitable giving is like planting bulbs in the fall in a garden. ConocoPhillips workers are like gardeners who have harvested plenty during their careers. Like these experienced gardeners who choose and plant bulbs which will bloom in the spring, retirees can choose charities and organizations to support. With every charitable donation comes hope in initiatives and programs that will change things for the better. Just as the gardener's work produces flowers, retirees' charitable gifts make an impact on others and last a lifetime. Remember that like a well-tended garden, charitable giving takes planning, tending, and joy in seeing the results grow.

A Roth IRA conversion decision hinges on your full tax picture, including the employer benefits ConocoPhillips provides. According to publicly available information, ConocoPhillips maintains a cash balance pension plan, which defines your retirement benefit as a hypothetical account balance that grows over your career through pay credits and interest credits. Under ERISA, cash balance plan benefits vest on a three-year cliff schedule. ConocoPhillips also offers retiree healthcare benefits to eligible employees. Because the specifics of your cash balance account balance, vesting status, and benefit options depend on your individual employment history and plan documents, We encourage you to review your Summary Plan Description (SPD) or speak with ConocoPhillips's HR or benefits team for the most current details.

Sources:

1. 'Tax Wise Charitable Gifting Tips and Secure Act 2026 Updates.'  Jewish Foundation , 2023,  www.pajewishendowment.org . 

2. 'Tax-time Charitable Giving Questions.'  Rose Community Foundation , ,  www.rcfdenver.org . 

3. Accounting Insights Team. 'Maximizing Tax Benefits Through Strategic Charitable Giving.'  Accounting Insights , 11 Jan. ,  www.accountinginsights.org . 

4. '7 Tax-Smart Charitable Giving Tips Before Ends.'  San Diego Foundation ,  www.sdfoundation.org . 

5. 'Tax-time Charitable Giving Questions.'  Rose Community Foundation , ,  www.rcfdenver.org .