Some drivers take pride in hanging on to their vehicles for as long as possible, pushing the limits on the odometer to see how long they can keep driving until their beloved car or truck finally stops running. Others prefer to sell or trade in their cars every two or three years.
Unfortunately, most drivers don’t consider another alternative to selling or trading in their ride: donating their used vehicles to charity. Making this type of donation can help people in need, gets you a great tax deduction, and may have some additional benefits you’ve never considered.
High Costs of Vehicle Repair
There always seems to be a pivotal decision in the life of a vehicle when you must decide whether it makes the most sense to keep it and pay a lot to have it repaired, or to sell it (or donate it) and move on to another car.
Typically, this decision is dictated primarily by finances – whether or not the cost of the immediate and expected future repairs is more or less than the market value of your vehicle. In other words, is it worth putting all that money into fixing it up, or would you be better off selling it or getting a tax deduction for donating it and moving on?
When that costly repair will set you back more than your vehicle is worth, donating it may be your best option. Most people or dealerships won’t really want to buy your automobile if it requires expensive repairs, or they’ll lowball you and pay you barely anything at all, knowing they have to turn around and fix it.
In that case, it makes sense to donate the vehicle due to the tax deduction you can receive, which can be up to the car’s fair market value or auction sale price. In turn, you could use the money you saved with your tax deduction to purchase another vehicle down the line.
Another sign it’s time to donate your vehicle to charity is a major lifestyle change such as the birth of a child or a new job requiring a significantly shorter or longer commute. A sports car may be a nice luxury for you and yours, but having children means you might want to consider an SUV or a minivan.
You may have taken a new job with a better salary, but having a longer commute means some of that money will be going toward fuel if you aren’t getting good enough mileage from your current vehicle. You may want to switch to something that gets more miles per gallon, and donating your older gas guzzler to those in need would still be a welcome addition to many families who just need a better option for getting around town.
On the other hand, if you now live very close to your workplace, you might be able to take public transportation or even walk to work, which would save you money on vehicle operating costs, allowing you to donate it to charity.
Donating Your Vehicle to Goodwill Cars to Work
Some people incorrectly believe that donating a vehicle to a charity requires extensive paperwork and is a long, arduous process. Goodwill Cars to Work has made the process simple and hassle-free.
- Call 1-866-654-2277 or fill out our convenient form
- You can bring your vehicle donation to downtown Louisville, or we will provide a free towing service to pick it up from you.
- Goodwill Cars to Work will provide you with all of the documents you need to receive your tax deduction from the IRS.
Goodwill Cars to Work is accepting vehicle donations year-round and can accept vehicles at many locations across Kentucky. We are always available to answer any questions you may have about the vehicle donation process.