Share the love: Five philanthropy tips for February

February is the month for Valentine’s Day and full hearts. It is also the perfect time to reflect on how we can give back to our communities and make a meaningful impact, especially in light of recent tragedies such as the fires in Los Angeles and the hurricanes in the Southeast. The following are a few ideas to fulfill your loving and giving spirit this month:

1. Make a charitable gift to support your favorite cause or to honor a loved one – A charitable donation is simple and gratifying, but making a charitable gift to support those weathering a catastrophe or to honor a loved one can be extremely rewarding. For instance, if you feel called to support a community enduring a tragic event, you can help by making a donation to a charity directly supporting the suffering community. And if the community is local, you may volunteer your time as well as your treasure. If you want to honor a loved one, a donation to a cause that closely connects with your loved one’s personal interests may be a cherished gift (like a donation to an animal shelter in honor of an animal lover). Charitable donations can be made directly to a charitable organization or through a giving platform like GoFundMe.

1. Make a qualified charitable distribution (QCD) from your IRA – A QCD is a way for individuals age 70½ or older to donate directly from an IRA to a qualified charity. The QCD amount is not included in taxable income, potentially lowering overall income tax liability, and counts toward the annual required minimum distribution (RMD). Note that for 2025 the amount of the QCD can be up to $108,000.
2. Set up a donor-advised fund (DAF) – A DAF is a charitable giving vehicle that allows you to make a charitable contribution to a separate account at the managing charity, receive an immediate tax deduction, and then recommend grants immediately or over time to your favorite charitable organizations, all without much administrative responsibility or cost on your part.

1. Consider the potential of cryptocurrency – While our Investment Team views cryptocurrency as a speculative investment given its current stage of development, we recognize investors may hold it in their portfolios. Cryptocurrency is gaining traction in today’s charitable giving landscape, particularly among younger donors. Organizations like The Giving Block have made it easier for charities to accept cryptocurrency and for donors to give it. For those who already own cryptocurrency, donating it can offer tax advantages, as gifts of non-cash assets can be one of the most tax-efficient ways to support charitable causes.
2. Engage in impact investing – With this type of investing, you put your money to work for good by investing in companies or funds that aim to generate social and/or environmental impact alongside a financial return. Before diving into impact investing, it pays to do some due diligence to ensure that the funds or companies that you invest in align with your values.

During this month of February, take the opportunity to embrace the true meaning of love by giving back to your community and creating a lasting impact. Be sure to talk to your tax advisor to make sure that you are sharing the love in a way that meets your philanthropic goals in the most tax-efficient manner.

For more information on philanthropy, visit our Effective Philanthropy resource page or reach out to your Relationship Manager.

Leslie Kehoeis a senior wealth strategist for CIBC Private Wealth in Atlanta with 25 years of industry experience.