New Update: Healthcare Costs Increasing by Over 60% in Some States. Will you be impacted?

Kimberly-Clark Employees: Should You Delay Charitable Giving Until 2026?

Healthcare Provider Update: Healthcare Provider for Kimberly-Clark: Kimberly-Clark does not typically provide direct healthcare services as a core aspect of its business. However, it does offer healthcare products under its brand portfolio, which includes items like medical gloves and protective wear used in various healthcare settings. The company primarily focuses on consumer products in personal care and hygiene, and while it may collaborate with organizations in the healthcare sector, it is not a traditional healthcare provider. Potential Healthcare Cost Increases for Kimberly-Clark in 2026: As we approach 2026, Kimberly-Clark and its consumers may face significant increases in healthcare costs due to anticipated steep hikes in health insurance premiums. The Affordable Care Act (ACA) marketplace is expected to see rate increases exceeding 60% in certain regions, driven by factors such as rising medical costs and potential loss of enhanced federal premium subsidies. Without intervention, these escalating premiums could drastically affect affordability for millions, with some policyholders at risk of experiencing up to a 75% rise in out-of-pocket expenses. This perfect storm of rising costs could pressure both Kimberly-Clark's employees and consumers, impacting the overall demand for its healthcare-related products. Click here to learn more

'For Kimberly-Clark employees, thoughtful timing of 2025–2026 charitable gifts can influence your long-term retirement strategy, making it important to consider your broader financial plan when making these choices.' – Michael Corgiat, a representative of The Retirement Group, a division of Wealth Enhancement.

'Kimberly-Clark employees can benefit from working with tax and legal professionals to revisit their 2025–2026 charitable giving timelines, as aligning these decisions with your broader financial picture can help you stay organized and make informed choices.' – Brent Wolf, a representative of The Retirement Group, a division of Wealth Enhancement.

In this article, we will discuss:

How the 2025–2026 rule changes may affect the tax benefits of your charitable gifts.
The different charitable deduction rules for standard deduction filers versus itemizers.
Strategies for timing your giving as a long-time Kimberly-Clark employee or retiree.

2025–2026 Charitable Giving: How New Regulations May Affect Your Tax Plan

By Wealth Enhancement's Kevin Land, CFP® and Wesley Boudreaux

Giving to charities at the end of the year has long been a December custom for many households, including long-time employees and retirees from Kimberly-Clark. However, the One Big Beautiful Bill Act has changed how charitable deductions work, with substantial updates taking effect in 2025 and 2026. As a result, the familiar “give by December 31” rule may not be the most tax-efficient approach anymore.

The law essentially establishes two different profiles of charitable donors starting in 2026:

1. Filers who take the standard deduction.
2. Filers who itemize deductions.

Depending on which group you belong to, the timing of your charitable contributions can lead to very different tax outcomes, which is especially important if most of your income and benefits come from years of work with Kimberly-Clark.

Below, we describe:

1. Who stands to gain from postponing some gifts until 2026.
2. Who stands to gain from increasing donations before or during 2025.

Group 1: Standard Deduction Filers

Why some people might prefer to wait and donate in 2026

Instead of itemizing, around 90% of Americans take the standard deduction, ¹ and many Kimberly-Clark employees and retirees may fall into this category. Under the current 2025 rules, standard deduction filers generally do not receive any direct tax benefit from charitable gifts unless they itemize.

In 2026, that will change. Specifically, a new above-the-line charitable deduction will be available to standard deduction filers beginning in the 2026 tax year: ²

- Up to $1,000 for single filers
- Up to $2,000 for married couples filing jointly

Key characteristics—written into the law:

- You do not need to itemize to claim this deduction.
- Only monetary donations given to approved public charities are covered.
- This deduction does not apply to supporting organizations or donor-advised funds.
- Non-cash gifts such as household goods, appreciated stock, and cryptocurrency are not eligible.
- The dollar limits are not indexed for inflation.

Real-world impact

In 2025, a cash donation made by a standard deduction filer is unlikely to produce any tax benefit unless that filer itemizes. If the same donor waits and gives in 2026, they may be able to deduct up to $1,000 or $2,000, depending on filing status.

For instance:

Let’s say you:

- Are married and filing jointly
- Typically donate $2,000 per year
- Expect to take the standard deduction in both 2025 and 2026
- Are in the 22% federal tax bracket

If you donate $2,000 in December 2025, you still take the standard deduction and do not gain any additional federal income tax savings from that gift.

If you instead donate $2,000 in January 2026, you can use the new $2,000 above-the-line deduction, which reduces your federal income tax by:

$2,000 × 22% = $440

Rules for documentation

Donors who give $250 or more in a single donation must obtain written confirmation stating that no goods or services were received in return for the contribution.

Who might use the standard deduction

While the standard deduction is available to all taxpayers, it may be used more often by:

- Retirees with relatively limited deductible expenses
- Younger individuals without many itemizable costs
- Higher earners who have few deductions left to itemize (for example, capped SALT deductions)

For these donors, including many who spent their careers at Kimberly-Clark, delaying certain cash gifts until early 2026 may turn previously non-deductible contributions into tax-efficient charitable giving.

Group 2: Itemizers

Reasons for wanting to accelerate gifts into 2025

For those who currently itemize, 2025 may be the final year before new deduction restrictions apply, so timing could matter for long-time professionals whose pay and benefits have grown over many years at Kimberly-Clark.

What changes in 2026?

New charitable “floor” of 0.5% of AGI

Starting in 2026, charitable contributions are only deductible to the extent they exceed 0.5% of adjusted gross income (AGI). ³

For example:

AGI: $300,000
0.5% floor: $1,500
Only the portion of your charitable contributions above $1,500 is deductible.

The 60% AGI cap on cash contributions remains

Itemizers can generally deduct up to 60% of AGI in cash contributions to qualifying public charities. ³ Any contributions above this limit may be carried forward for up to five years. This cap applies in addition to the new 0.5% floor starting in 2026.

Example for a higher-income itemizer:

Let’s say you:

- Have AGI of $500,000
- Are in the 35% federal tax bracket
- Typically donate $25,000 per year

In 2025, before the new floor applies:

- Subject to the usual AGI limits, you may be able to deduct nearly the full $25,000.

In 2026:

- 0.5% of AGI = $2,500
- Only contributions above $2,500 are deductible
- Of your $25,000 in gifts, only $22,500 may be deductible
- Losing a $2,500 deduction at a 35% tax rate may increase your federal income tax by $875

This difference can be especially important for donor-advised fund strategies or large gifts that Kimberly-Clark professionals may plan as part of a broader legacy or estate plan.

Who might itemize

Usually, itemizers have:

- AGI above the national average
- High state and local taxes
- Deductible expenses such as meaningful mortgage interest
- Long-term charitable goals and multi-year giving plans

For these individuals, accelerating larger gifts in 2025 may result in a more favorable deduction position than waiting until 2026.

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Which Group Do You Belong To?

Delaying charitable giving until 2026 might be worth considering if:

- You typically use the standard deduction
- You give $1,000 to $2,000 or more to charities each year
- You do not expect to itemize in 2025
- You could shift a cash gift from December 2025 to January 2026 and potentially use the new above-the-line deduction

Giving before year-end 2025 might be more appealing if:

- You will itemize in 2025, or already know you will have substantial itemized deductions
- You intend to make sizable, flexible charitable gifts (for example, to a major institution or to a donor-advised fund)
- The new 0.5% AGI floor in 2026 would reduce the amount you can deduct
- Frontloading your giving in 2025 allows you to keep more of your charitable deduction under the current rules

How We Help Clients Make These Decisions

At Wealth Enhancement, when we review charitable planning for employees and retirees from large companies such as Kimberly-Clark, we consider:

- Income tax planning under the One Big Beautiful Bill Act
- Health care and long-term care needs
- Multigenerational strategies and estate planning
- Business, stock option, or liquidity events that influence annual income

We help families:

- Evaluate the likelihood that they will itemize in both 2025 and 2026
- Set charitable giving goals over a three- to ten-year period
- Compare donating in 2025 versus shifting gifts into 2026
- Coordinate planning with estate planning attorneys and certified public accountants

How The Retirement Group Can Help Kimberly-Clark Employees

The Retirement Group can walk through the numbers with you and design a charitable giving approach that fits within your broader retirement strategy if you are unsure whether your 2025–2026 charitable plan should involve delaying or accelerating gifts as a current or former employee of Kimberly-Clark.

Call (800) 900-5867 to discuss how your charitable plans fit alongside your pension, 401(k), and other retirement benefits.

Next Steps

Before you write your next year-end charitable check:

- Confirm whether you expect to itemize or take the standard deduction.
- Review how the upcoming 2026 rules may affect your deductions.
- Consider whether shifting gifts into 2025 or 2026 could improve your overall tax outcome.
Reach out to Wesley Boudreaux or Kevin Landis, CFP®, at Wealth Enhancement, and consider coordinating with The Retirement Group to determine which path best aligns with your goals as a long-term employee or retiree from Kimberly-Clark.

Sources:

1. Forbes Advisor. ' Standard Deductions For 2024-2025 Tax Returns And Extra Benefits For People 65+ ,' by Taylor Tepper. Oct. 8, 2025.

2. “One Big Beautiful Bill (OBBB): Impact on Charitable Giving.” Fidelity Charitable , 2025,
https://www.fidelitycharitable.org/articles/obbb-tax-reform.html .

3. “Navigating Charitable Giving in the Wake of New Tax Reform.” National Philanthropic Trust , 30 July 2025,
https://www.nptrust.org/philanthropic-resources/philanthropist/navigating-charitable-giving-in-the-wake-of-new-tax-reform/ .

Other Resources:

1. “New Limitations on Charitable Deductions Take Effect in 2026.” Greenberg Traurig , 28 Oct. 2025,
https://www.gtlaw.com/en/insights/2025/10/new-limitations-on-charitable-deductions-take-effect-in-2026

2. “The OBBBA Clock Is Ticking: Why 2025 Might be the Year to Act for Maximum Charitable Deductions.” Vanilla , 28 Oct. 2025,
https://www.justvanilla.com/blog/obbba-year-end-charitable-planning-2026 .

3. “Charitable Organizations: Substantiation and Disclosure Requirements.” IRS , 30 Sept. 2025,
https://www.irs.gov/charities-non-profits/charitable-organizations/charitable-organizations-substantiation-and-disclosure-requirements .

What is the 401(k) plan offered by Kimberly-Clark?

The 401(k) plan offered by Kimberly-Clark is a retirement savings plan that allows employees to save a portion of their paycheck before taxes are taken out.

How does Kimberly-Clark match employee contributions to the 401(k) plan?

Kimberly-Clark provides a matching contribution to the 401(k) plan, which typically matches a percentage of what employees contribute, up to a specified limit.

Can employees at Kimberly-Clark choose how their 401(k) contributions are invested?

Yes, employees at Kimberly-Clark can choose from a variety of investment options within the 401(k) plan to align with their retirement goals.

When can employees at Kimberly-Clark enroll in the 401(k) plan?

Employees at Kimberly-Clark can enroll in the 401(k) plan during their initial onboarding period or during designated open enrollment periods.

Is there a vesting schedule for Kimberly-Clark's 401(k) matching contributions?

Yes, Kimberly-Clark has a vesting schedule for matching contributions, meaning employees must work for the company for a certain period before they fully own the matched funds.

What is the maximum contribution limit for Kimberly-Clark's 401(k) plan?

The maximum contribution limit for Kimberly-Clark's 401(k) plan is subject to IRS regulations, which are updated annually. Employees should refer to the latest guidelines for specific limits.

Does Kimberly-Clark offer any financial education resources for employees regarding their 401(k)?

Yes, Kimberly-Clark provides financial education resources and tools to help employees make informed decisions about their 401(k) savings and investments.

Can employees take loans against their 401(k) savings at Kimberly-Clark?

Yes, Kimberly-Clark allows employees to take loans against their 401(k) savings, subject to specific terms and conditions outlined in the plan.

What happens to my 401(k) if I leave Kimberly-Clark?

If you leave Kimberly-Clark, you have several options for your 401(k), including rolling it over to another retirement account, cashing it out, or leaving it in the Kimberly-Clark plan if allowed.

How often can employees change their contribution amounts to the 401(k) at Kimberly-Clark?

Employees at Kimberly-Clark can typically change their contribution amounts to the 401(k) plan during designated enrollment periods or as specified by the plan guidelines.

With the current political climate we are in it is important to keep up with current news and remain knowledgeable about your benefits.

Kimberly-Clark offers both a defined benefit pension plan and a defined contribution plan. The defined benefit plan provides retirement income based on years of service and compensation, with benefits frozen but payable upon reaching specific milestones. In 2015, the company transferred payment responsibilities for retirees to Prudential and MassMutual.

Restructuring and Layoffs: Kimberly-Clark announced it will lay off approximately 1,000 employees globally as part of a restructuring plan to improve operational efficiency (Source: Reuters). Cost Management: The company aims to save $500 million annually through these measures. Financial Performance: Kimberly-Clark reported a 5% increase in net sales for Q3 2023, driven by strong demand for personal care products (Source: Kimberly-Clark).

Kimberly-Clark grants RSUs that vest over time, providing shares upon meeting vesting conditions. Stock options are also part of their compensation plan, allowing employees to purchase shares at a fixed price.

Kimberly-Clark has been actively enhancing its employee healthcare benefits to adapt to the current economic, investment, tax, and political environment. In 2022, the company introduced several new healthcare initiatives aimed at improving employee well-being. These included comprehensive health insurance plans covering medical, dental, and vision care, along with mental health support through Employee Assistance Programs. The company also offered flexible work arrangements and wellness programs to help employees manage stress and maintain a healthy work-life balance. These enhancements reflect Kimberly-Clark's commitment to fostering a supportive and healthy workplace, which is essential for maintaining productivity and morale in a competitive market. In 2023, Kimberly-Clark continued to build on these initiatives by introducing additional benefits, such as increased access to telemedicine services and expanded support for mental health and wellness. The company's focus on employee healthcare aligns with its broader strategy to create a resilient and engaged workforce capable of navigating the complexities of the current economic landscape. These efforts are particularly important given the ongoing economic uncertainties and the increasing importance of employee well-being in driving business success. By investing in comprehensive healthcare benefits, Kimberly-Clark aims to attract and retain top talent, ensuring long-term sustainability and growth.

Additional Articles

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For more information you can reach the plan administrator for Kimberly-Clark at 100 centurylink drive Monroe, LA 71203; or by calling them at 800-871-9244.

https://annualreport.stocklight.com/nyse/kmb/23601986.pdf - Page 5, https://www.kcpensions.co.uk/documents/kimberly-clark-pension-scheme-2022.pdf - Page 12, https://www.kcpensions.co.uk/documents/kimberly-clark-pension-scheme-2023.pdf - Page 15, https://www.kcpensions.co.uk/documents/kimberly-clark-pension-scheme-2024.pdf - Page 8, https://www.kimberly-clark.com/documents/benefits-guide-2023.pdf - Page 22, https://www.kimberly-clark.com/documents/benefits-guide-2024.pdf - Page 28, https://cache.hacontent.com/documents/kimberly-clark-retirement-guide-2022.pdf - Page 20, https://cache.hacontent.com/documents/kimberly-clark-retirement-guide-2023.pdf - Page 14, https://cache.hacontent.com/documents/kimberly-clark-retirement-guide-2024.pdf - Page 17, https://www.kimberly-clark.com/documents/healthcare-plan-2023.pdf - Page 23