Many Ways to Gift the Capital Campaign

Many of you have already made a pledge to the Build. Gather. Grow. Capital Campaign to finish the new building. Thank you! In the weeks to come, someone will be in touch with you to discuss how and when you plan to give your gift. The campaign cycle is three years—some people may choose to pay their pledge all at once, others will spread it out over the next three years. Here are some strategies—apart from writing a good old check or giving via Realm—that may help you save money on taxes or double your giving through an employer match.

  • Transfer stock shares or mutual fund shares from your investment portfolio. This is a good way to give appreciated stock that you may have wanted to reduce in your portfolio. You can gift shares by transferring the shares directly to the church’s investment account and avoid paying capital gains on those shares as well as have a charitable deduction for your gift. If you sold the shares yourself you would end up paying capital gains on the sale, if you donate the shares and have the Church sell the shares, you avoid paying capital gains! This maximizes your tax savings while allowing you to make a charitable contribution, a win-win for everyone. Talk to your accountant for tax related details.
  • Donate through work. You can often make a donation through the company you work for. Many large companies have programs where you can do charitable giving through your paycheck. Frequently, they will so some sort of match, particularly for a brick-and-mortar campaign—even for a church, which might normally be exempt from such a program.
  • Gift your Required Minimum Distribution. If you are subject to a RMD (required minimum distribution) each year on your IRA, you can have that distribution go directly to the church and avoid paying taxes on the distribution. This is called a qualified charitable distribution (QCD) and can be made using your Traditional IRA, SEP, Inherited IRA, SIMPLE plan or even a ROTH IRA. The annual QCD limit is $100,000 per account owner. This gift is not a charitable deduction for taxpayers but allows the donor to exclude the amount from taxable income on their income taxes. Please see your tax advisor for details.

It’s always important to speak with your Tax Advisor & Financial Advisor before making any decisions regarding your financial assets.