How Do You Create a Value Chart for Goodwill Donations?

How Do You Create a Value Chart for Goodwill Donations?

A valuation chart should list the approximate value for typical types of items donated to Goodwill. The prices should reflect how Goodwill prices the items for sale and not the item's original price when new. Goodwill offers a downloadable donation value guide on its official website.

People use valuation charts to calculate the worth of their Goodwill donations so they can deduct the donation amount on their tax returns. Taxpayers can claim the donation amount on Schedule A of their return, but they must file IRS Form 8283 if their annual donation exceeds $500.

To create a worksheet that calculates the value of a Goodwill donation, use a valuation chart to determine the correct price of each type of item, and then multiply by the number of that type of items donated. Add the calculated dollar amounts to reach the total amount of the donation.

Some online tax preparation programs calculate the value of a donation, so users can just keep a list of the items they donate until tax time and then let the software make the calculations.

When donating items to Goodwill, ask for a receipt for your records. If the value of a single item ranges from $250 to $500, the IRS requires a receipt acknowledging the gift.