Does it make financial sense to donate large pieces of furniture? Joint income

S

Shannon

New member
of $180,000, married.?
I have an entire dining room set (11 pieces) and entire living room set (7 pieces). Everything is in excellent condition. The dining room set is valued at approximately $5,000 and the living room set is valued at approximately $3,000.

Thank you in advance!!
In the event that I can't sell the furniture (I'd rather not sell it for $500 or less), it sounds like donating might be my best option ...
 
No. First reason is the donation value may only be 2k entirely or even less. Second unless your Schedule C deductions are over the 7% you can deduct zero. Better off selling it
 
You are always financially better off trying to sell something rather than donating it.

Example 1) You sell it for $8000. Net cash to you = $8000

Example 2) You donate it to a charity. For a donation that large, you would need to have an appraisal done. Assuming that they agree with your value of $8000. Let's assume that you are in the 28% bracket. Therefore, a $8000 donation saves you $2,240 in taxes plus state taxes (If applicable) less the appraisal fee.

$8000 > $2200
 
No. First reason is the donation value may only be 2k entirely or even less. Second unless your Schedule C deductions are over the 7% you can deduct zero. Better off selling it
 
You are always financially better off trying to sell something rather than donating it.

Example 1) You sell it for $8000. Net cash to you = $8000

Example 2) You donate it to a charity. For a donation that large, you would need to have an appraisal done. Assuming that they agree with your value of $8000. Let's assume that you are in the 28% bracket. Therefore, a $8000 donation saves you $2,240 in taxes plus state taxes (If applicable) less the appraisal fee.

$8000 > $2200
 
Back
Top