Has anyone tried or know of others who have tried to donate their motorhome to a charity? My wife's medical condition is such that continued travel after this season looks extremely doubtful. We still have a loan attached to the Class A and was considering a go-fund-me approach to paying off the balance and then donating the motorhome to a charity that can actually use it. Any thoughts? What charity?

Do your research first, including with your tax advisors. (I know this is part of that research!) I was president of a not-for-profit that received an older Class C motorhome. The donor's valuation was far higher than its fair market value and we were only able to sell it for less than half the donor's stated value. Storage of the unit was a problem, too, since we were not in that business! (This was pre-recent tax code changes regarding this kind of donation, so the donor got his deduction...) It was more trouble than it was worth, to tell you the truth, because the "donation" was part of the executive director's target fundraising goal which triggered a bonus to her. Not a good situation at the time. I realize this was more of a problem for the recipient than for the donor, but the rules have changed.

Be careful as many of the common vehicle donation charities get only pennies on the dollar from an auction sale. How it works is the commercial charity promotion company will pick up the unit and get title (your bank won't release title until it is paid off) and then will arrange to auction off the vehicle. The promotion company keeps a large portion (sometimes up to 80% - 90%) and cuts a check to the charity for the leftover amount. If you still have a loan and you can't afford to pay it off you will be unable to donate it anyway because most places want clear title anyway. You are better off selling it yourself and if you like donating the amount over the loan balance directly to a charity.

Hmmm ... I didn't realize the promotion/auction company got so much and the charity so little! What about an organization that can actually use the vehicle -- not sell it but use it for their work?

bhivetravels wrote:Hmmm ... I didn't realize the promotion/auction company got so much and the charity so little! What about an organization that can actually use the vehicle -- not sell it but use it for their work?That is extremely rare to have a charity actually use an RV. Most charities are not set up to handle motorhomes. Depending on the motorhome and state it may even require a CDL to drive. This doesn't even count the commercial liability insurance required to operate it.

you are better off and the charity is better off if you sell it out right pay off the loan and then donate what is left to a GOOD charity. some who will use all the money for what it is intended and not for CEO salary or advertising. to me that is local charities like salvation army or little league teams. the local school band is another one.

Donate Motorhome | Good Sam Community

bhivetravels
Explorer
Jan 14, 2015
Tinstar wrote:
I had no idea Go-Fund-Me would do that.

Not sure that is the correct organization, it is one of those type sites. I've found my donation organization, the local NPR organization. Thanks all.
Tinstar
Explorer
Jan 14, 2015
I had no idea Go-Fund-Me would do that.
mowermech
Explorer
Jan 13, 2015
My local amateur Radio Club recently became a legal, non-profit, 501(c)3 or whatever. I think they would be quite interested in a donated Class C or small Class A to be used as a mobile radio communications command post.
Then all they would need would be a small trailer with a 40 foot telescoping tower on it!
Look around. There may be several non-profits that could use a donated RV. It doesn't HAVE to be a charity to be tax deductible!
bhivetravels
Explorer
Jan 13, 2015
TomB. wrote:
RoyB wrote:
Don't rule out the RESCUE SQUADs or LOCAL SHERIFF OFFICE. They sometimes might want to use something like this for some of their mobile setups for emergencies...

Roy Ken

Not to mention the crash truck crews could use it for training purposes. Back in the day, when I was running with our local rescue squad I taught our volunteers how to drive an emergency vehicle I would bring my class A out & boondock on a part of the parking lot & use the coach to keep bottled water cold & give the squad members some shade to take a break in.

OP - Had not thought of these organizations. Gives me a great place to start! Thanks for everyone's thoughts!
TomB_
Explorer
Jan 13, 2015
RoyB wrote:
Don't rule out the RESCUE SQUADs or LOCAL SHERIFF OFFICE. They sometimes might want to use something like this for some of their mobile setups for emergencies...

Roy Ken

Not to mention the crash truck crews could use it for training purposes. Back in the day, when I was running with our local rescue squad I taught our volunteers how to drive an emergency vehicle I would bring my class A out & boondock on a part of the parking lot & use the coach to keep bottled water cold & give the squad members some shade to take a break in.
J-Rooster
Explorer
Jan 12, 2015
wnytaxman wrote:
The tax law changed a few years ago about what may be deducted for a donation of a vehicle. It used to be the value the donor attached to the vehicle and now it is what the charity receives from the vehicle when it is sold. If the total is over $5,000 then you have additional rules to comply with to take the deduction.

As has been suggested earlier, it may be easier and less time consuming to sell the unit outright and donate the proceeds. From a tax perspective that is a much cleaner approach.
I agree with the taxman! Be aware of the IRS! If they feel the value is not right be prepared for a audit! I did like the post of donating the RV to search and rescue units.
wnytaxman
Explorer
Jan 12, 2015
The tax law changed a few years ago about what may be deducted for a donation of a vehicle. It used to be the value the donor attached to the vehicle and now it is what the charity receives from the vehicle when it is sold. If the total is over $5,000 then you have additional rules to comply with to take the deduction.

As has been suggested earlier, it may be easier and less time consuming to sell the unit outright and donate the proceeds. From a tax perspective that is a much cleaner approach.
bsinmich
Explorer
Jan 12, 2015
There is also the possibility the OP is underwater on his loan. That creates a bigger problem. The best bet is to try to sell it for as much as he can get and have a little less to pay off the loan. That is the common problem on long term RV loans. They depreciate faster than the loan amortization. When he bought it in 2007 the economy was better than now and that hurts resale values.
vermilye
Explorer
Jan 12, 2015
Out local NPR station takes them, (as well as boats, motorcycles, and, of course, cars & trucks) although it is through a recycler; they never actually see the vehicle. They get a large enough per cent of the actual sale price that they feel it is worth it. They do require a clear title...
kcmoedoe
Explorer
Jan 12, 2015
If you have equity, just sell the motorhome, payoff the loan and donate the remainder. The "Go fund Me" notation seems to imply you owe more than the rig is worth and want strangers to pay off the loan to get you out of debt. Then you are tossing in the donate part to make it seem like it is a charitable endeavor. But the fact is you need people to donate S10,000 (or whatever the payoff is) so you can donate a $5,000 (or whatever the value is ) motorhome. The people who donate would get a much better charitable bang for their buck just donating directly to the charity. Under that scenario you are really just trying to get other people to pay off your negative equity, not really a cool thing to do.

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