So, you’ve decided you’d like to give back before the end of year? Before you hit that “donate” button, make sure you’re getting the most out of your year-end gift. Keep on reading for a few tips from your friends at South County Outreach on how to make your gift go far.
1.Make Sure to Make Your Contribution Before December 31.
As you may know, by the time you fill out your income tax return in 2019, it will be too late to make a charitable donation for this year.
2. Donations Help the Donor! Consider Using No-Cash Assets.
Look at the stocks you have held for more than a year; it may be wiser to make a gift using stocks that have sizable appreciation instead of cash. You can receive an income tax deduction for the value of the stocks and avoid capital gain tax when the stock is sold.
3. If You Are Over 70.5 Years of Age, Consider Making a Direct Transfer from an IRA or SEPIRA to South County Outreach.
Neither you nor your heirs will pay income tax on the distribution of the assets. Also, because charities do not pay income taxes, your full amount will go directly to benefiting South County Outreach.
4. Did You Know That 65% of Large Companies Have Matching Gift Programs?
Local companies like Sage and UBS are just a few – make sure to talk with your business to see if this is an option.
5. Talk to Your Adviser.
Before making any significant gifts, have your CPS, attorney or other adviser help you plan and understand the impact of the gift on your estate and 2019 income tax return.