For years, one of the most common frustrations we’ve heard from clients who take the standard deduction goes something like this:

“I give thousands of dollars to charity every year, but I can’t claim any of it on my taxes.”

And unfortunately, that frustration has been justified. Under current law, charitable deductions are only available to taxpayers who itemize. But thanks to the Tax Cuts and Jobs Act of 2017, the standard deduction nearly doubled, which meant far fewer taxpayers found it worthwhile to itemize. In fact, today more than 85% of U.S. households use the standard deduction, leaving the overwhelming majority with zero tax benefit for their charitable donations.

The One Big Beautiful Bill Act (OBBBA) changes that dynamic in a very significant way. Beginning in 2026, non-itemizers will finally have the ability to deduct certain charitable contributions, giving everyday taxpayers a long-awaited reason to feel that their generosity is recognized in the tax code.

Here are the details:

• Single filers will be able to deduct up to $1,000 in cash contributions to qualified charities.
  
• Married couples filing jointly will be able to deduct up to $2,000 per year.
  

Now, these amounts aren’t unlimited, but they’re far from insignificant. Consider this example: a married couple who donates $2,000 annually to their local church, a community food pantry, or another qualified nonprofit will now be able to claim that full amount as a deduction, even without itemizing. Depending on their tax bracket, this could translate into several hundred dollars of real tax savings.

Important caveat: Contributions made to donor-advised funds will not qualify under this new deduction. Lawmakers designed this provision to encourage direct, immediate giving to charities that put donations to work in communities right away, rather than allowing funds to accumulate in long-term charitable accounts.

So, what does this mean in practical terms for everyday taxpayers?

• It provides a direct incentive to continue giving, even if you’re not an itemizer.
  
• It creates a small but meaningful tax break for millions of households across the country.
  
• It helps level the playing field between itemizers and non-itemizers, ensuring that more donors feel rewarded for their generosity.
  

While the deduction may be capped at $1,000 for individuals and $2,000 for couples, this reform represents a major philosophical shift in U.S. tax law: charitable giving is no longer recognized only for higher-income households who itemize. For the first time in decades, average families who give from the heart will also see a benefit on their tax return.

It may not transform the tax landscape overnight, but it is a big win for middle-class generosity and it signals that lawmakers want to encourage broad-based, grassroots charitable giving moving forward.