Assets to Give
Cash is one of the easiest assets to donate, and is especially appreciated because it can immediately be put to use.
- A cash gift can be in the form of a personal check or credit card payment.
- You may be able to increase the size of your gift if a matching gift is available.
- You can give cash outright, through a bequest, or to fund an income-producing gift.
Gifts of Stocks and Bonds
Funding charitable giving with appreciated stocks or bonds can have tax advantages.
- To receive tax benefits, you must transfer stocks / bonds to Mount Olivet rather than selling them and donating the proceeds, which would turn the gift into a cash gift.
- You will avoid paying capital gain taxes while receiving a full-value charitable deduction, and Mount Olivet will receive a very liquid asset.
- You can give securities outright, through a bequest, or to fund an income-producing gift.
- A tax accountant can advise you about the most advantageous ways to make a gift of stocks and bonds.
Gifts of Real Estate
Unencumbered real estate that is readily salable in the marketplace can be a
wonderful gift. In fact, real estate is one of the most frequently given assets because
it is so easy to gift.
- You may give your personal residence, vacation home, or farmland, and still continue to live in or use such real estate.
- You can donate real estate outright, through a bequest, or to fund an income-producing gift.
Gifts of Life Insurance
You can give life insurance to Mount Olivet in a variety of forms to provide a significant gift to the church after your lifetime.
- You can give accumulated cash from an insurance policy.
- You also can purchase a new policy with Mount Olivet as the beneficiary or name the church as the beneficiary of an existing policy.
- You also can give the entire policy as an outright gift. Mount Olivet may wish to accept the policy ownership and continue to make premium payments in order to collect the proceeds at the time of your death.
Gifts of U.S. Savings Bonds
If you would like to make a gift using Series E, EE, H, or HH U.S. savings bonds, consider doing so through your will or living trust. Unlike your heirs, Mount Olivet pays no income tax when the bond is cashed. If you make a gift of your savings bonds during your lifetime, you may be responsible for the untaxed interest in the bond.
Gifts of Tangible Personal Property
The tax benefits associated with a gift of tangible personal property are affected by how long you have owned the asset and whether Mount Olivet intends to use the property in relation to its mission.
Ways to Give
An outright gift is the most immediate way to benefit Mount Olivet. You receive a charitable income tax deduction in the year of the gift. While virtually any asset can be given outright, cash and publicly traded securities are the most common outright gifts.
There are two common ways to leave a gift through a bequest.
- Using a specific bequest, you can designate either a specific dollar amount or asset to Mount Olivet.
- Using a residuary bequest, you can designate the entirety or a certain percentage of your estate to go to Mount Olivet.
You can make a gift by simply naming Mount Olivet as a beneficiary on specific assets with beneficiary designations, such as your retirement plan or life insurance.
- You can specify that Mount Olivet receives all or a specific percentage of your asset.
- You can change the beneficiary designation at any time.
A bargain sale is a gift-planning device in which a donor with charitable intent offers to sell an asset to Mount Olivet for less than its fair market value. If Mount Olivet is interested in entering into a bargain sale arrangement, you would be entitled to a charitable tax deduction and may bypass a portion of any capital gain resulting from the sale.
With an income-producing gift, such as a charitable gift annuity or charitable remainder trust, you can provide income for yourself and / or a loved one and benefit Mount Olivet.
- With a charitable gift annuity, you make a gift of cash or securities. The gift provides you a guaranteed annual income based on your age for the rest of your life. The remainder in the annuity at the time of your death is paid to the charity.
- With a charitable remainder unitrust, you make a gift of cash or securities to fund the trust, and the trust distributes income to you until your death, or a defined event, at which time the remainder is paid to the charity.
- In a charitable lead trust, assets are held in a trust, and the trust distributes income to a charity until your death or a defined event causes the asset to be distributed to your heirs.
Caution: Tax advantages should never be assumed. Various gifting strategies have certain tax implications, which may or may not affect a specific donor’s personal income tax liability. For expert advice about the best way for you to give, always consult your attorney, financial planner, or tax accountant.