Gifts of Appreciated Securities Planned Giving at THE ASSOCIATED Associated.org - Planned Giving
Jewish Community Federation of Baltimore
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Gifts of Appreciated Securities
(Complete gift description)

Give appreciated securities to THE ASSOCIATED and you shall receive — a tax break. Whether it's 100 shares of blue-chip stock or a new high-tech gadget, our government does indeed allow you to deduct these gifts as charitable donations. Moreover, you also avoid capital gains tax on the transfer.

This double benefit means that you can leverage a larger donation by using appreciated securities rather than cash to make your gift. Here's how it works:

Assumptions: Donor in 33% Income Tax bracket; Capital Gains Tax rate 15%

$10,000
Cash

$10,000
Stock
Cost Basis $5,000

$15,000
Stock
Cost Basis $7,500

Charitable Deduction

$10,000

$10,000

$10,000

Tax Savings @ 33%

$3,300

$3,300

$4,950

Capital Gains Tax Saved

$0

$750

$1,125

Net Cost of Gift

$6,700

$5,950

$8,925

The extra tax saved by using appreciated securities instead of cash to make a $10,000 gift is clear. Now look at the results for the $15,000 gift of securities. With total tax savings of $8,925, it costs you just $2,225 more to make this contribution than the $10,000 cash gift ($8,925 - $6,700) — and to deliver 50% more benefit to THE ASSOCIATED.

We welcome gifts of publicly traded stocks, bonds, and mutual fund shares. Some donors own stock in closely held corporations; click here to learn about using those assets to make a gift. The securities you use to make your gift must have been held by you for more than one year to be fully deductible.

Securities fluctuate in price - how will my gift be valued?

We take the average of the high and low prices for the security on the date of its transfer to us. If the high bid was $80 and the low was $70 on the day you made your gift, your gift will be $75 per share.

If the stock you donate is held by your broker, the gift date is the day the stock reaches our account. If you hold the certificates yourself and mail them to us, the gift date is the postmark date on the envelope.

Donors of mutual fund shares use the fund's net asset value on the day the shares reach our account.

Is it difficult to transfer securities?

Not at all, and we can help you through every step of the process. Click here for all the details.

Creative plans for securities gifts

Use your gift of appreciated securities to fund a life-income gift at THE ASSOCIATED like a charitable gift annuity or a unitrust. Pay no upfront capital gains tax on the transfer, and receive lifetime payments from your gift plan that equal or surpass the dividends the securities are paying now. The result? You make a gift to THE ASSOCIATED while diversifying your portfolio and securing a stream of income.

For more information

Email us, complete the personal illustration form, or call us at 410-727-4828 so that we can assist you through every step of the process.




THE ASSOCIATED
101 W. Mt. Royal Avenue
Baltimore, MD 21201
410-727-4828 | Fax: 410-837-1342
E-mail: mfriedman@associated.org

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THE ASSOCIATED: Jewish Community Federation of Baltimore
101 W. Mt. Royal Avenue, Baltimore, MD 21201, 410-727-4828
www.associated.org