How much will a $3,000 cash donation to a charity save me on my income taxes?

Assuming that you can itemize deductions because the sum total of all of your itemized deductions, including the $3,000 charitable contribution, exceeds the standard deduction for your tax filing status (e.g., single, married filing jointly), there will  be a tax benefit to making this contribution. To determine the savings on your federal income tax, multiply the amount of your charitable donation by your marginal tax bracket. For a list of federal income tax rates by filing status and income, see http://njaes.rutgers.edu/money/taxinfo/. A $3,000 contribution will provide $750 of tax savings to someone in the 25% tax bracket ($3,000 x .25). Donations of $250 or more require a written acknowledgement from the charity containing the date and amount of the donation and the value, if any, of products or services received in exchange for it.

We would like your feedback on this Personal Finance Frequently Asked Question.