SUSTAINING SWEET BRIAR’S EXCELLENCE
THE JOY OF TAX-SAVVY YEAR-END GIVING
As the holiday season arrives, our thoughts turn towards giving to others and organizations we cherish. Fortunately, our current tax law provides several significant giving opportunities that save income, capital gain and estate taxes, which the “fiscal cliff” may change.
Experience the joy of making a holiday “stocking” gift to Sweet Briar, perhaps in memory or in honor of someone you love. Make a true difference at Sweet Briar through a tax-savvy gift of appreciated stock or real estate that averts capital gains taxes. Your gift will not only sustain Sweet Briar’s excellence into the future but also offer you and your family significant tax advantages.
This newsletter offers a brief explanation of some special gift opportunities for Sweet Briar that are especially important between now and the end of the calendar year.
Thank you for your generosity.
Happy holidays to you, your family and friends from Sweet Briar College!
For more information about how you can make a difference for Sweet Briar College this holiday season, contact:
Margie Lippard, director of major and planned giving
In This Newsletter
“Stocking” Gifts of Appreciated Securities
By making a gift of appreciated securities, you save income taxes twice. First, you save by receiving a charitable deduction for the current value of the stock. Second, you save by eliminating the payment of a capital gains tax on the stock's increased value. Stock gifts are deductible up to 30 percent of your adjusted gross income, a deduction which may be carried forward for five years. To receive a full market value deduction, the stock must be held over 12 months.
- By giving rather than selling the stock, you eliminate capital gains tax, receive a charitable tax deduction, minimize estate taxes and avoid transaction costs. Stock gifts are truly gifts that keep on giving!
How Do You Make Stock Gifts to Sweet Briar College?
Your Investment Advisor Can Contact:
Scott and Stringfellow; Mr. Mike Madden, Broker
Broker’s E-Mail: [email protected]
Broker’s Phone Number: (800) 868-0413
Scott & Stringfellow DTC # 0702
The Sweet Briar Development Office: (888) 946-5722
Gifts from Traditional IRAs
By making a gift from a traditional IRA or 401K to Sweet Briar, you offset the ordinary income tax due with a charitable deduction. Since traditional IRA and 401K plan stock sales are not subject to capital gains tax, you can liquidate stocks with no capital gains tax consequences, though you may still pay transaction fees.
By giving stock directly from an IRA to Sweet Briar, you not only receive the charitable tax deduction which offsets the ordinary income tax due but also eliminate transaction costs.
To avoid a 10 percent tax penalty, you must be 59 ½ years of age or older for IRA distributions and 55 years of age or older for 401K distributions.
- By giving stock or cash from an IRA to Sweet Briar, you reduce and even eliminate ordinary income tax and lower estate taxes. By giving stock, you also eliminate transaction costs.
Gifts of Cash
Cash gifts are deductible up to 50 percent of your adjusted gross income, a deduction that can be carried forward for five years.
- By giving cash (including check or credit card), you receive a charitable income tax deduction and minimize estate taxes.
Gifts of Real Estate
By contributing appreciated property, you save income taxes twice. You receive a deduction for your charitable contribution (the current property value), and you also eliminate the payment of capital gains tax on the property's increased value. You also avoid any transaction costs involved in the sale of the property.
- By giving rather than selling real estate, you eliminate the capital gains tax, receive a charitable income tax deduction, minimize estate taxes and avoid transaction costs.
Perhaps you would like to make a significant gift now but feel you cannot because you need the income your assets earn. If so, you may want to consider a "life income gift." A life income gift such as a Charitable Remainder Trust or a Charitable Gift Annuity allows you to give to Sweet Briar and provides life income for you and another if you wish. These gifts increase your income; save income tax, capital gains tax and estate tax; and benefit Sweet Briar.
- By giving appreciated securities or real estate, you can receive an income for life and an immediate charitable deduction, reduce capital gains tax, reduce estate taxes and avoid transaction costs.
Gifts of Home or Farm
You can give your residence or farm to Sweet Briar now and keep the use of the property during your own and another's lifetime. You donate your home or farm to Sweet Briar, yet you keep control of the use of the property for life. You receive a current income tax deduction for your future gift to Sweet Briar and save income tax now.
- Deed your home or farm to our organization by December 31 and keep the use of the property for your lifetime.
- Discuss with us several tax-wise alternatives, should you later decide to sell your interest in your home or farm.
- Receive a current income tax deduction immediately, lower estate taxes and avoid transaction costs
The Best Gift
During this holiday season, please consider making a significant gift to Sweet Briar College while protecting and enhancing your personal and family financial situation.
We welcome the opportunity to visit or to consult with you, so please feel free to contact Margie Lippard, director of major and planned giving, at (434) 381-6538 or [email protected]. All communications will be treated confidentially and with no obligation.