How to Tithe Smarter in 2026 by Giving Stock Instead of Cash

Quick question. When you tithe, how does the money leave your account?

For a lot of us it's a recurring transfer through the church app. You set it up once, years ago, and it just runs (which is a great habit, by the way).

From a tax point of view, though, cash is usually the most expensive way to give. A new federal deduction lets you write off some cash gifts even if you don't itemize, and it pairs well with an old move plenty of faithful givers have never tried: giving shares of stock instead of dollars. Your church gets the same gift while your tax bill shrinks.

What changed for givers in 2026

Since 2022, if you took the standard deduction, your tithe did nothing for your taxes. You could give $500 or $15,000 and your return looked exactly the same. That was about 9 in 10 filers in the most recent data.

The One Big Beautiful Bill Act, signed in July 2025, changes that starting with 2026 returns (the ones you'll file in spring 2027):

The 2026 standard deduction is $32,200 for married couples and $16,100 for single filers, so the new $2,000 stacks on top. It isn't indexed to inflation either. It stays at $2,000 until Congress changes it.

Gifts to your church count, as long as they're cash (app and card gifts count) and you keep the records.

Why stock can beat cash

Say you bought an index fund years ago for $6,500 and it's worth $13,000 today. If you sell it, you owe tax on $6,500 of gain. For a married couple in Ohio in the 22% federal bracket, that's 15% federal plus Ohio's new flat 2.75%, or about $1,154.

Give the shares directly to the church instead and nobody pays that tax. Churches are tax-exempt, so when they sell the shares, the gain just… goes away.

Then you take the $13,000 in cash you were planning to tithe anyway and buy the same fund back. You own the same investment you did yesterday, but your cost basis is now $13,000 instead of $6,500, so that old gain is tax you won't owe when you eventually sell. (The wash-sale rule only applies when you sell at a loss, so buying back right away is fine here.)

The version I see most often is the one that costs the most: someone sells shares to "free up cash" for a big gift, pays the $1,154 in tax, and then writes the check.

A $15,000 tithe, three ways

Let's run it on one example household. A married couple in central Ohio earns $150,000, takes the standard deduction, and tithes 10%, so $15,000 a year. They also own an index fund that has roughly doubled since they bought it.

The mix comes out ahead because stock gifts don't qualify for the new non-itemizer deduction. So the first $2,000 goes out as cash to claim it, and the other $13,000 goes out as shares.

The gap between all cash and the mix is about $1,154 a year. Tithe that way for ten years and it's more than $11,500 in tax the family won't owe (or more for the offering, if that's where you want it).

Your numbers will move with your bracket and how much your shares have grown. If your taxable income is under $98,900 as a married couple ($49,450 single), the federal rate on long-term gains is 0%, so giving stock mostly saves you Ohio's 2.75%. And if you'd never sell those shares and plan to leave them to your kids, the math changes, because heirs usually get a fresh cost basis. That one is worth running with your CPA.

If you itemize, stock gets even better

When you itemize, you deduct the full market value of the shares (as long as you've held them more than a year) and you skip the capital gains tax too.

A few limits to know. Stock gifts to a church are capped at 30% of your AGI for the year, and anything over that carries forward for up to five years. The new 0.5% floor applies to your total giving. And if a stock has lost value, don't give it. Sell it, claim the loss on your taxes, and give the cash.

How to give stock to your church

• Ask the church office if they accept stock. If they do, they'll have a brokerage account and transfer instructions to send you. If they don't, the treasurer or finance team is the right person to ask.
• Pick shares you've held more than a year with the biggest gain. Those carry the most tax savings.
• Tell the church it's coming. Stock transfers often show up without your name attached, and you want credit for the gift.
• Start early. A transfer can take several days, so a gift you start on December 29 might not land until January.
• Get a written acknowledgment for any gift of $250 or more. For stock, the church describes the shares and the date. It doesn't have to put a dollar value on it.

How much you give is between you and God. Once that's settled, ten minutes with your CPA or advisor about which account the gift comes from can make the same tithe cost you less.

Cheers.

Common questions

Can I deduct my tithe if I don't itemize in 2026?

Yes, up to $1,000 for single filers or $2,000 for married couples filing jointly, starting with 2026 tax returns. It has to be cash (checks and app transfers included) to a qualifying charity, and churches qualify. Gifts of stock and gifts to donor-advised funds don't count toward it, and anything above the cap doesn't carry forward.

Is it better to give stock or cash to a church?

Shares you've held more than a year that have grown in value are usually more tax-efficient than cash, because no one pays capital gains tax on the growth. Cash is still the way to claim the new non-itemizer deduction, and it's the better choice when shares have lost value. The right mix depends on your tax bracket and how much gain you have.

Do churches accept stock donations?

It depends on the church. Those that do keep a brokerage account for gifts, so ask the church office for transfer instructions, and let them know the gift is coming so it gets credited to you.

What is the 0.5% floor on charitable deductions?

Starting in 2026, itemizers can only deduct charitable gifts above 0.5% of their adjusted gross income. With $100,000 of AGI, the first $500 of giving doesn't count. It doesn't apply if you take the standard deduction.

Is giving stock worth it in the 0% capital gains bracket?

Less so. For 2026, married couples with taxable income up to $98,900 (single filers up to $49,450) pay 0% federal tax on long-term gains, so giving stock mostly saves state tax. In Ohio that's 2.75% of the gain.

Written byShane DuckworthPartner | Private WealthView bio →

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