I should give stock or cash to charity? What steps do I need, if I want to give the stock?
Whether it makes more sense to give or sell shares of stock and cash donations depending on whether the stock increase or decline in the value, since you bought it . If its value increases over time, it is better to donate the stock. If you already own the stock more than a year, you have to take the current value as a charitable deduction if you itemize, you do not pay taxes appreciation (capital gains tax on profits you owe, if you sell the stock first, then wrote a checks). If the investment has lost value, but it is better to sell the stock, and give the proceeds to charity. You DED, tax cuts are still based on the current value of the stock, but you used to offset the loss of other income. If there is excess of loss, you can deduct $ 3,000 of income and other types.
If you want to give stock to charity, you need to act quickly. Please contact your broker to find out what steps need to be taken; Under normal circumstances, you need to fill out a money order. Be sure to inform the charity, the money is on its way. “You need to let the organization know the name of the stock, the number of shares being transferred and you want the date of their arrival,” Alyssa Herman, for the food bank’s chief development officer, said in New York City, which has seen the value of stock increased gifts. “If stocks go straight through electronic TRA broker nsfer, information donors do not come through, we can be on our hands trying to figure out where they came from is a mystery.” You want to know a charity stock is who you are, so you you can get a gift receipt in your tax files.
Your gift will be calculated from the date the shares are transferred, and if you want a 2014 charitable tax cuts must be December 31. Ask your broker, if possible, in order to meet deadlines. See Charity: to stock rather than more information
If you would like to donate stock in 2014, but need more time to support charities which to decide, you can open a brokerage firm through a donation who informed the Fund, together. Underlying fund companies or communities. You are eligible for you to date Meng Ernst & Young tax funds, but you have a fewAlmost unlimited time to decide how to allocate it. At the same time, funds continue to grow in mutual funds or investment pools. Schwab and Fidelity have $ 5,000 you need to establish a donor informed the Fund; T. Rowe Price’s need $ 10,000. But some Community Foundation allows you to create a less informed donor fund (see How to establish an endowment fund advisor for more information).
You may want to consider throughout the year, rather than waiting for charitable donations, until the next time around December. View smarter way to a charity related to the establishment of the charity throughout the year, so that more information on the program. See how best to use your charitable donations.