Volunteerism among retirees is popular these days and the activity seems to help them live longer. Studies from the Corporation for National and Community Service show people who volunteer “report lower mortality rates, lower rates of depression, fewer physical limitations and lower levels of stress than those who don’t volunteer.” Data from their 2014 study shows that more than a quarter of adults aged 55 or older (more than 20 million people) average 3 billion hours of service in their communities annually. The value of this time is estimated at $75 billion.
Volunteering has some tax saving benefits, too. Though you can’t deduct anything for the time you spend volunteering, you can deduct the cost of gas and oil for your automobile while driving to the activity, or simply deduct mileage*. Other deductions can include uniforms and attending conventions.
(*NOTE: The mileage deduction allowable in 2016 was 14 cents per mile. If you have questions about tax impacts, contact us at Silverhawk Tax, 480.296.0200, and we will see if we will be able to elaborate further the result for your specific situation. Here is the link to IRS for allowable deductions in 2017.)
Finding the Right Activity
Like a job, volunteering requires the right fit. It may seem logical to offer the experience and skills you developed while working, but doing something completely different may be more rewarding. Make sure the activity offers the flexibility to fit your schedule and that it’s something you feel passionate about.
There are plenty of resources available to help you find the right activity. The federal government offers Serve.gov. Another great place to look is AARP’s Create the Good program. Your community needs your talents and your commitment. And with the positive benefits of volunteering, this is truly a win-win situation.
Do something good, and good for you.
To discuss this or to review your financial plan for retirement, call your wealth advisor at Silverhawk Private Wealth at our headquarters in Scottsdale, Arizona at 480.296.0200. We also have locations in Irvine, California and Seattle, Washington to serve you.
You’ve heard of foster parent programs, but did you know there are programs that pair children in need with foster grandparents? This is just one of the volunteer opportunities available through America’s Senior Corp program. Learn more.