Six Tips for Year-End Giving

Dec 1, 2019

At the Community Foundation, we can help you think strategically about how you give and how to make our community a better place. We work to ensure that your donations make the greatest impact on the causes you care about while maximizing your tax advantages. Even with the increased standard deduction under the new tax law, there are still tax-wise ways you can give to your favorite causes.

Consider a gift of appreciated stock or mutual funds.

If you have stocks or other publicly-traded securities that are worth more than what you paid for them, consider using these for your charitable giving this year. Appreciated stock and mutual funds can offer a more cost-efficient deduction, based on current fair market value, not your cost basis. The Foundation can accept marketable securities of any kind. We recommend initiating year-end mutual fund and stock gifts by Wednesday, Dec. 18.

"I was able to start our family fund at the Foundation by selling stock that had more than doubled in value over time. It was really easy to do, and I especially appreciated avoiding the capital gains since it was a charitable gift. Our fund will enable us to support great causes over many years." -Cynthia Druley, former Foundation Trustee

Bunch multiple years’ gifts into a Donor-Advised Fund.

With the increased standard deduction ($12,000 for individuals, $24,000 for couples), it may be difficult for some people to receive a tax benefit from charitable giving every year. One solution? Bunch multiple years worth of donations into a gift to a Donor-Advised Fund at the Community Foundation. You'll get the full tax deduction now, while spreading out grants to your favorite charities over time, and benefiting from the larger standard deduction in those later years. We can set up a Donor-Advised Fund for you in one meeting.

“I love being able to get the tax benefit of year-end gifts with one simple transaction. I can check my year-end charitable giving off my to-do list, and then select the non-profits I want to support in a meaningful way over discussions with my family when things are less hectic.” -Marilyn Calciano, Foundation Board President

Recycle your dollars for good, with a gift to our revolving loan fund for nonprofits.

Our low-interest loan fund helps nonprofits solve social challenges on key issues in our community like housing, sustainable agriculture, and entrepreneurship. When paid back, these local dollars get recycled to fund new initiatives into the future. Join us and other donors in making these loans possible.

Use your required IRA distribution for giving, skip the taxes.

Age 70 ½? Charitable IRA Rollovers allow donors to avoid paying income taxes on their required minimum distribution, while supporting their favorite causes in the community. These tax-free rollovers can benefit any public charity, although they can’t be donated to a donor-advised fund. You may contribute qualified charitable distributions to any of our non-donor-advised funds, or we can help you set up a new fund that benefits an interest area of your choice, a specific nonprofit, or greatest needs grantmaking.

“I wanted to support the Capitola Library and realized that my required IRA distribution provided the perfect opportunity. The Foundation staff made it easy and I pay no income tax on the IRA distribution.”

- David Campbell, Capitola

Give in someone's honor.

Donate in lieu of a holiday gift. Whether it's to your own Donor-Advised Fund or one of our other funds, be sure your gift is postmarked or submitted online by 11:59 p.m. on Dec. 31.

Let the Community Foundation do the legwork.

Working with the Community Foundation gives you access to our extensive knowledge of the local nonprofit community and the broad charitable needs of our region—so you can stay informed about the organizations you support and the effect your giving will have on the future of our community. We’re happy to discuss any options for accomplishing your charitable giving.

Our Philanthropic Services Director, Sam Leask, is available to chat. Contact him.

Call or email Sam

Written by

Sam Leask

To learn more, please contact Sam Leask, Philanthropic Services Director, at sleask@cfscc.org or (831) 662-2060.