How Should I Donate a Non-Working Vehicle?


Welcome to Ask Clark, a column designed to answer your financial questions, by money expert Clark Howard.

Where Can I Donate a Non-Working Vehicle?

Kim asks: “What is the best place to donate a non-working vehicle?”

Clark’s Take on the Best Way To Donate a Non-Working Vehicle

Clark says: The IRS has stringent rules that you must meet before you can claim a car at its fair-market value. That’s why following this two-part process will take your dollars the furthest.

1. Sell the Vehicle for Parts

“You can sell the vehicle just for its parts,” Clark says, “and it will bring you more money than you’re going to be able to take as a tax deduction.”

2. Donate the Proceeds

“Then take that money and donate it to the charity you want to donate it to,” Clark says.

Even though charities may not like that particular process, that effectively will give more money to the charity, and you will able to have a bigger impact for your wallet.”

As for the best places to make your donation, Clark suggests that you find an organization that matches your passion. Here is a guide on how to choose a charity.

To hear Clark’s full take on this question, listen to the segment from his podcast:

Do you have a question for Clark? Use this form to ask him! And remember that you can listen to the Clark Howard Podcast at any time here.

If you have a question but don’t want to go on-air, contact Clark’s Consumer Action Center for free money help.


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