Consider these opportunities for smart charitable giving:
Donor Advised Funds
Establish a Donor Advised Fund (DAF) to receive immediate tax benefits with the flexibility to support charities of choice over time. DAFs provide a simple, efficient giving solution, allowing the opportunity to take immediate action or create a long-term difference. This option can be a smart alternative to a private or family foundation.
Contact Shelly Bateman, Foundation Executive Director, at sbateman@trisigma.org with questions or to find out how to make a grant from your donor advised fund.
IRA Qualified Charitable Distributions
Utilize a retirement account to make charitable donations. A Qualified Charitable Distribution (QCD) allows traditional IRA account owners aged 70 ½ and above to direct up to $100,000 each year to qualified charities without treating the distribution as taxable income. For more information on QCDs, click here.
Highly Appreciated Assets
Translate earnings into impact by donating stock or another appreciated asset. Instead of selling, donors receive a tax deduction based on the stock’s full market value and avoid capital gains taxes.
Contact Shelly Bateman, Foundation Executive Director, at sbateman@trisigma.org for more information.
Charitable Bunching
Combine multiple years of charitable contributions in one calendar year to exceed the standard deduction in that year and receive maximum tax benefits for those donations. Donors can use a charitable fund, such as a DAF, to bunch or “stack” donations in a single year. Gifts to charitable funds are tax-deductible and the assets can be invested, so charitable dollars grow tax-free. Donors can use those assets to provide ongoing support for their favorite nonprofits, even in the years they claim the standard deduction.
Questions? Contact Shelly Bateman, Foundation Executive Director, at sbateman@trisigma.org.
Benefits of Smart Charitable Giving:
I give to the Tri Sigma Foundation through my Qualified Minimum Distribution from my IRA. It reduces taxes and helps the Foundation fund the leadership and character education programs that are vital to our survival as an organization. I am also designating the Foundation as a beneficiary of my IRA to save taxes for my heirs. I love helping Tri Sigma thrive while reducing taxes for me and my family!
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