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Making your impact go further with a donation of stock

Jul 08, 2014
Myth: Planned gifts only factor into estate plans.


Fact: Planned gifts are simply gifts that require planning. They come in a number of varieties, each designed to fill an individual’s financial and philanthropic priorities. It’s using both your heart and your brain when making your gift.

There are a number of gifts that you can make at any time and can make a significant impact in your personal financial situation. These may include cash, securities, life insurance, or other assets.

If you are considering a significant gift this year, a stock gift may make sense for you. A stock that has increased in value is an extremely popular asset for charitable giving if it has been held for longer than one year. It is a way to make a gift to an organization go even further while also realizing important benefits for yourself.

A donation of stock to the Kiwanis International Foundation offers a U.S. federal income tax deduction based on the current fair market value of the security, regardless of its original cost. Also, if the donor transfers the stock directly to the foundation, they are exempt from paying capital gains taxes on any increase in the value.

So by giving the stock instead of making a cash donation, a donor is able to make just as big of an impact with the Kiwanis International Foundation while also making a bigger impact with their personal tax situation.

The Kiwanis International Foundation can help you get started in talking about a planned gift that best fits your personal situation. For more information, contact manager of major and planned giving Steve Hinson at shinson@kiwanis.org or +317-217-6234. You should also be sure to consult your personal financial advisor as well.