Good stewardship includes wise planning. Wise planning allows people to give more to the Lord’s work. Those who own securities and who want to make substantial gifts to any of SAM’s ministries have a number of ways to help.
If you have securities with long-term capital gains, US tax law allows donors to give appreciated securities and deduct the full market value as a charitable contribution. SAM can sell the securities without paying capital gains taxes. Our policy is to sell the gifted stock upon receipt and apply the funds to the ministry designated by the donor.
If the securities are now worth less than you paid for them, the wise thing to do is sell the securities and give the cash. This allows you to claim the loss on your taxes and then to deduct the amount of the gift as a charitable deduction if you itemize.
If you would like to make a donation to SAM by giving stock, please contact SAM’s Development Department, at (803) 802-8580, or send an email to firstname.lastname@example.org.
Great Reasons to Give Appreciated Stock
- Pay Less Tax
- Give More
- Improve Your Personal Cash Flow
- Simplify the Process of Supporting SAM Ministries
The Key Benefit is in Capital Gains Tax Savings
|Sell Stock, then Gift Proceeds||Gift Stock|
|Value of Asset||$10,000||$10,000|
|Capital Gains Tax (29.8% Fed and State)*||-$2,682||N/A|
|Proceeds to SAM||$7,318||$10,000|
|Your Tax Savings (45% Fed and State)**||$3,293||$4,500|
* Assumes a holding period of more than 12 months, 23.8% capital gains tax rate (20% top rate plus 3.8% to fund Affordable Care Act), and a 6% state tax rate. However, tax rates vary from state to state.
** Assumes a holding period of more than 12 months, 39% federal income tax rate, and a 6% state tax rate. However, tax rates vary from state to state.