Gift Planning Ideas and Opportunities
Gift planning includes a range of possibilities . . .
From making a gift in the near future by dropping it off or mailing it to church or via Electronic Funds Transfer. Click here to setup a one-time or recurring donation.
To sharing a gift intention for the coming year by filling out a 2021 pledge card.
To creatively planning how you will use your assets now or sometime in the future.
To putting plans in place for a legacy gift extending beyond your lifetime.
Donor Advised Funds
If you have established a Donor Advised Fund, please consider a grant to support the ministry of Saint James.
Who Says It Has to be Cash?
Did you know that only about 5% of our wealth is in the form of cash? The remaining 95%, not found in our bank accounts or in our pockets, includes stocks, mutual funds, homes, and retirement accounts.
Qualified Charitable Distributions (QCD)
Those already 70-1/2 or older by 2019, may be familiar with Required Minimum Distributions (RMD), if they have traditional retirement accounts. In 2020, there will be no required minimum distributions. In 2021, according to current tax law, required minimum distribution will resume, and begin for those who are at least 72.
Making a qualified charitable distribution can provide tax advantages. And while there is no RMD in 2020, you may still find it advantageous to make a gift directly from a retirement account, and/or to plan for how you will make a gift through RMDs in 2021.
Gifting Appreciated Stock to Saint James
When you are considering your gift to Saint James, one of the most effective means of tax savings available is gifting appreciated stock or mutual funds. When you donate qualified appreciated stock (generally stock held for at least one year), you may be able to deduct as a charitable deduction the fair market value (FMV) of the stock (even though you may have paid substantially less when purchased) and not be subject to the capital gains tax for stock gift.
For example, if you gifted $10,000 FMV qualified stock to Saint James assuming a 35% tax rate, you may be able to realize up to $3500 of tax savings and not pay capital gains tax on the stock gift. If instead, you sold the stock and donated the proceeds, you would likely be assessed a capital gains tax on the FMV less your cost basis.
To be included in the 2020 tax year, the gift needs to be transferred or stock certificate(s) postmarked by December 31, 2020.
Remember . . . you don’t have to wait until the end of the year. Consider whether this is a good time to make a gift and contact the church office for more information on how to do so.
These descriptions are not intended to provide financial or tax advice so please consult with your investment and tax professional for financial advice and further information.
Consider the possibilities!
There are creative plans and instruments available to make a charitable gift now . . . or plan for one in the future.
Possibilities might include provisions for:
A gift of property, such as a home or other property, with options for:
Gifting it now, or in the future
Continuing to live in your home or moving out
Receiving annual income for life, or a set period of time
Providing favorable tax advantages for you or your heirs