Gifts of Stock
Give More with Gifts of Stock
Many people have experienced large gains in the stock market over the last 5 years. If you’re in that camp and you also want to support local Gunnison Valley nonprofits, giving gifts of stock is one of the best ways to maximize your ability to invest in the causes you care about.
How Gifts of Stock Save You Money
If you’ve made gains in a stock and you choose to sell it, you’ll most likely be subject to capital gains tax on any increase in value. Depending on how long you’ve held the stock, your annual income, and some other factors, your capital gains tax rate can vary from 0% to 20% or even more.
If you know you’d like to donate money to a qualifying charitable organization, it can be a better choice to donate stock directly to the organization. By donating the appreciated stock to the charity, they get the full value of the stock, which they can then sell at that appreciated price. If you sold the stock yourself and then donated the proceeds minus the money you needed to set aside for capital gains taxes, you would likely need to set aside 20% of the value of the stock or more to pay the taxes on the sale.
If you make a donation of this type before the end of 2021, you may also be able to reap the benefits of the increased charitable deduction limit for 2021. Your tax deduction would be the amount of the fair market value of the donated stock on the date of the donation.
Can CFGV Accept Gifts of Stock?
Of course! We are familiar with these types of transactions and are happy to help you invest in a future for the Gunnison Valley where everyone can thrive.
We can accept gifts of stock to contribute to the CFGV Annual Fund, donate to Community Grants, or even to donate to a new or established Field of Interest Fund or Designated Fund. It’s also possible to establish a Donor Advised Fund with a gift of stock. However, contributions to Donor Advised Funds are not eligible for the expanded charitable giving deduction limits in 2021, so it’s not the most strategic choice for this year.
If you would like to make a contribution to CFGV or establish a fund to provide long-term support to causes or organizations you care about by making a gift of stock, please call 970-641-8837 or email lauren@cfgv.org.
If You Want to Contribute Stock to a Local Nonprofit
Some organizations in the Gunnison Valley are unable to accept gifts of stock. We suggest you call your favorite local nonprofit organization and ask if they can accept your gift of stock. If they aren’t able to, we can help facilitate the transaction. For a small fee, CFGV can accept the stock directly from the donor, sell the shares, and pass the proceeds on to the organization (or organizations if you’d like to support more than one with your gift).
If you would like to speak to CFGV staff about making a gift of stock to a Gunnison Valley organization through the Community Foundation, please call 970-641-8837.
Need More Info?
For more information on CFGV funds, please contact Lauren at lauren@cfgv.org or 970-641-8837.
Everyone’s specific tax situation is different. If you’re interested in maximizing the benefit of charitable contributions via gifts of stock, we recommend speaking to your financial advisor or tax professional.
This post should not be construed as tax or legal advice.
