Other Ways to Give

Gifts of Stocks, Bonds and Mutual Funds

Gifts of long-term, highly appreciated securities are the most common type of outright property gift. Donors typically give individual stocks, but bonds or mutual fund shares are also attractive gift options. Outright gifts of securities can be made quickly, and these gifts let you have a bigger impact thanks to the tax advantages.

A charitable gift of appreciated securities held long term is not considered a sale and does not generate any capital gains tax, no matter the amount of the gain. To encourage gifts of appreciated property, Congress provides a valuable tax incentive—a charitable income tax deduction for the full fair market value of the securities (including the gain) for itemizers.

For example, if you give shares of stock worth $10,000, you can deduct the full amount on your income tax return (subject to certain income limitations) even if you bought the stock for $1,000. In addition, when we sell the stock, we keep every penny of the proceeds since we are a tax-exempt organization.

Note: Be sure to transfer the stock directly to us. Do not sell the stock, or you will lose this important tax advantage.

Contact us for more information about gifts of securities.

Additional information and instructions on making a gift of stock can be found on the Gifts of Securities page.

Gifts of Retirement Account Assets

Many donors use qualified retirement account assets in their charitable gift planning. This is an easy gift to make and has distinct planning advantages.

Retirement account assets left to loved ones may be subject to higher taxation than other types of assets. By using retirement account assets to make a gift (and selecting alternative assets to leave to family members), you may be able to reduce taxes that otherwise would be imposed on those assets and leave more to your intended beneficiaries.

Contact us for more information about gifts of retirement account assets.

Gifts of Life Insurance

Life insurance is also an excellent tool for accomplishing philanthropic goals while realizing other important financial objectives. Life insurance may even allow you to make charitable gifts you would never have dreamed possible.

Making a gift of life insurance is quite simple. If you are the insured policy owner, you simply transfer physical possession of your paid-up policy to us and file an absolute assignment or transfer of ownership form with your insurance company. Your company will then send a letter to us showing that we are the sole owner of the policy.

Hypothetical Example

Emmett owns a $100,000 life insurance policy with a cash value of $40,000. No further premiums are due, and he no longer needs the coverage. He can ensure that we will receive $100,000 at his death by making us the beneficiary, or he can transfer ownership of the policy to us now. When he transfers ownership, Emmett receives an itemized charitable deduction equal to the lesser of his cost basis or the policy's replacement value.

Gifts of Real Estate

A donor who gives us appreciated real estate owes no capital gains tax on the appreciation and qualifies for a charitable income tax deduction for the full fair market value of the property.

Gift of a Remainder Interest in a Personal Residence or Other Types of Real Estate

A special provision of the tax law allows an immediate income tax charitable deduction for a gift of a remainder interest in your home or farm. With a remainder interest gift, you retain an absolute right to occupy the home or farm for your life (or the life of a family member). The property passes to us only after termination of the life estate(s).

The charitable deduction allowable for this future gift is the present value of our right to receive the property at some later date. The age of the life tenant is the primary factor in determining the present value of our deferred interest and the charitable deduction. The gift is deductible in the year of the transfer (subject to certain income limitations and assuming the donor itemizes).

Gift of a Fractional Interest in Real Estate

Federal tax laws let donors take a charitable deduction for gifts of fractional interests in real estate. This type of gift can be especially rewarding when you own a vacation home that you use only part of the year.

Example: Mary and Jim own a $300,000 vacation home that they use for only two months of the year. They can give us a 50% interest in the property, qualify for a tax deduction for the value of our interest in the property, and still have a right to use and occupy the property for up to half the year.

Revocable Living Trust

Create a trust that can be revoked or changed during your lifetime that directs the disposition of your assets, including charitable gifts. Used alone or in conjunction with a will, a revocable living trust can minimize the cost and delays associated with probate, facilitate asset transfer, provide privacy and, unlike a will, ensure asset management continuity in the event of disability.

Retained Life Estate

Donate a home and retain the right to live in the property for the rest of your life. Qualify for a current income tax charitable deduction for the value of our remainder interest in the home.

Charitable Lead Trust

Create a charitable lead trust that benefits us for a number of years, returns assets to your beneficiaries, and minimizes taxes.

Download our information sheet on charitable lead trusts here.

Closely Held Stock

Donate closely held stock. You enjoy a charitable deduction equal to the appraised value of the stock with no capital gains tax due.

Tangible Personal Property

Donate gift property that can be used for our exempt purposes, and qualify for an income tax deduction for the full fair market value.

Donor-Advised Fund

Make an irrevocable gift to a fund maintained by a charitable organization and enjoy an income tax charitable deduction for the full amount of the gift. As the name implies, you can advise the fund regarding distribution; however, you may not place material restrictions on the fund.