Best Charities for Car Donations

Are you prepared to donate an unused automobile, but are unsure of where to begin? Many organizations welcome gifts of vehicles. 

Finding a legal organization that is eligible for a charitable contribution deduction, has a goal you support, and uses money effectively is the challenging part.

The best-respected organizations that gladly welcome automobile contributions are listed below.


The Top 5 Car Donation Organizations

1 Home for Humanity

Automobiles, trucks, motorbikes, boats, snowmobiles, recreational vehicles, farm machinery, and construction equipment can all be donated to Habitat for Humanity. 

To collect money for the charity's goal of providing families in need with secure and affordable housing, vehicles are sold or recycled.

On a scale from A+ to F, CharityWatch assigns Habitat for Humanity International a grade of B for its financial management. According to CharityWatch, the group spends an average of $27 to earn $100 in donations, allocating 73% of its budget—relative to overhead—to activities.

In 2020, the nonprofit research organization Guidestar gave Habitat its Gold Seal of Transparency.

Use the Car Donation Wizard online or dial 877-277-4344 to schedule a pickup and give the details of your vehicle to Habitat for Humanity.

2. Ronald McDonald House Charities

Vehicle contributions of any kind are accepted by the local chapter of Ronald McDonald House Charities (RMHC)

To assist families to have a home away from home while a very ill or injured kid is being treated in the hospital, the group sells automobiles and donates the earnings to charity.

The national office of RMHC receives an A from CharityWatch. According to the watchdog, the nonprofit spends $9 to raise every $100 in contributions and allocates 88% of its resources to programming rather than overhead.

Contact RMHC at 855-227-7435 or go to the organization's website to donate an automobile. 

Your car will be picked up without charge by Charitable Adult Rides & Services (CARS), a nonprofit organization that collaborates with RMHC for vehicle donations, and you will receive the paperwork required to deduct the donation from your taxes.

3 Salvation Army 

In certain places, the Salvation Army welcomes automobile donations. The charity sells donated cars to raise money for a range of initiatives, such as disaster assistance, homeless shelters, food banks, veteran services, job training, and more.

The Salvation Army is divided into four regions: the Central, Eastern, Southern, and Western regions. All have a CharityWatch rating of B+ or above.

You may discover local Salvation Army car donation services on their website.

4. Generosity

However, the organization does accept donations of automobiles, RVs, boats, motorbikes, and many other specialty vehicles. 

You cannot drop off a car at any Goodwill donation facility. All donated automobiles are sold by Goodwill, and the money raised goes toward funding its vocational services.

According to CharityWatch, which awarded Goodwill Industries International an A grade, the group spends just $2 to earn $100 in donations and spends 87% of its money on programming as opposed to overhead.

Call 855-980-0171 or complete the car donation form at to get started. The company will arrange to take up your car and will also issue you a receipt.

5. Dog Partners for Independence

Canine Companions for Independence offers facility dogs to professionals in the fields of health care, criminal justice, and education as well as service dogs to adults, kids, and veterans with disabilities.

Canine Companions receives a B rating from CharityWatch because 68% of its funding is allocated to programs, and $20 is spent on fundraising for every $100 in donations.

Cars, trucks, boats, aircraft, motorbikes, and other vehicles, whether they are in operation or not, can be donated to the group. You may begin your gift by calling 866-398-4483 or doing so online.


Getting a Tax Break for Donating a Car

Read up on the IRS regulations for charitable gifts before giving your automobile to be sure you're eligible for the deduction you want to claim. These pointers might be useful:

  • Consider itemizing your deductions. You must itemize deductions to gain tax-wise from your car donation. Additionally, in most cases, your total itemized deductions must exceed the standard deduction allowed for your filing status, which includes charitable contributions, state and local taxes, mortgage interest, and out-of-pocket medical expenditures. That's a significant obstacle for many taxpayers, so you might want to crunch the numbers with your tax adviser to determine whether itemizing will be beneficial before donating.

  • Assemble the appropriate documentation. You must have the proper documentation to claim your write-off, since the IRS has specific guidelines for reporting automobile gifts. The majority of organizations sell given cars, and you may only deduct the money they made from the sale. When the charity sells the vehicle, it must notify you via Form 1098-C of the sale's time and price. Consult IRS Publication 4303, A Donor's Guide to Vehicle Donations, for further information.

To sum up

Your unwanted automobile donation may not provide you with a tax benefit, but the charity that accepts it is certain to value it. After all, even a broken-down vehicle that is unusable might be sold for scrap.

Simply do your homework on the nonprofit organization you want to give your automobile to and prepare your papers if you want to claim a tax deduction. Then giving your automobile to charity will benefit both you and it.

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