There’s just something about the giving season that brings out the best in people. We know you might be a regular supporter of that animal shelter down the road, or that you give monthly to the youth music program in your neighborhood. But as we approach this year’s giving season, are there simple ways to get more out of your giving? Below, you’ll find our 12 Days of Giving highlighting 12 common scenarios and the easy solutions that will help your charitable gift benefit both your community and your pocketbook.
Give Now, Choose a Charity Later With an Advised Fund
Time is ticking, and you know you want to make a gift before the year-end to enjoy a tax benefit. What you don’t know is which charity you want to support. Do you have enough time to find the perfect organization to benefit from your charitable contribution before the clock strikes midnight on January 1?
Solution: A donor advised fund. By establishing a donor advised fund, you receive an immediate tax deduction for your gift and can decide which charitable causes to support later – like next year! Learn more.
Maximize Your Charitable Deduction by Bundling Donations
You’re still weighing the pros and cons of the new charitable deduction limit. Can you really afford to increase your annual giving to reach the new threshold?
Solution: Consider bundling several years’ worth of charitable gifts to create a donor advised fund. This strategy will allow you to exceed the standard income deduction for this tax year and use your donor advised fund to support your favorite charitable causes over several years. Learn more about advised funds.
Give the Gift of Appreciated Securities and Lower Your Taxes
You’re trying to figure out how to best benefit from the sale of your appreciated securities. Do you really want to pay that hefty capital gains tax in April?
Solution: Use your appreciated securities to make a charitable gift and avoid capital gains tax, enjoy the benefits of a charitable tax deduction for the fair market value and preserve your cash flow. Transfer your appreciated securities, including widely- and closely-held stock, bonds and mutual funds, directly to the Oklahoma City Community Foundation to support your favorite charitable cause. Maybe you could even establish your own scholarship fund or donor advised fund to memorialize your great aunt. Learn more.
Make a Real Difference With Your Real Estate
You don’t have the extra cash to make a charitable contribution significant enough to make a difference on your taxes this year. What you do have is real estate property that you would like to benefit from during your lifetime.
Solution: With a charitable life estate, you can make a gift of your home or vacation property this year, receive an immediate income tax deduction and continue to live in your home for the rest of your life. This type of gift gives you the right to use your home, farm or even a houseboat for the rest of your life even after you have transferred the deed to the Oklahoma City Community Foundation. You benefit from the charitable income deduction now and the eventual proceeds of your property will support the charitable cause of your choice – like the community health center you give to every month. Learn more.
Fuel Your Giving With Oil and Gas Royalty Interests
The income tax on your oil and gas royalties is more than you care to pay, especially since you don’t really need the extra income.
Solution: Use all or a portion of your royalty interests as a charitable gift to reduce your taxable estate and preserve your liquid assets. Through our experience facilitating gifts of complex assets, we can help you quickly and easily turn these assets into a charitable gift to support your favorite charitable cause. Learn more.
Secure the Future With a Gift of Unneeded Life Insurance
You’re the owner of a life insurance policy that has outlasted its original purpose, such as a policy to provide for minor children who are now adults.
Solution: Gift the existing policy to the Community Foundation and you may receive an immediate income tax deduction based on the cash value in the policy. Gifting life insurance policies can be an easy way to support your favorite charitable cause without a significant outlay of cash. Learn more.
Give More for Less With an IRA Charitable Rollover
You’re age 70 ½ or older and you don’t really need the required minimum distribution from your Individual Retirement Account (IRA). In fact, your IRA is probably hurting your financial situation more than helping because of the taxes you incur from the distribution.
Solution: Consider gifting up to $100,000 per year directly from your IRA to the Oklahoma City Community Foundation to support or create a new scholarship fund or a charitable organization endowment fund. IRA Charitable Rollover gifts, or qualified charitable distributions (QCD), can be used to meet your required minimum distribution and are not subject to income taxes. By using your pre-tax IRA assets, your charitable gift costs you less. Learn more.
Give to Charity and Receive Lifetime Income
You’ve seen the value of your investments fluctuate with the markets and are wondering if there is a way to use your assets to create a more secure source of fixed income for yourself or a loved one.
Solution: A charitable gift annuity (CGA) or a charitable remainder trust (CRT). By transferring cash, stock or other assets to the Oklahoma City Community Foundation, you can create a CGA or a CRT that will make payments to you or a loved one for life, after which the remainder will support the charitable cause of your choice. Rates are especially attractive if you are of retirement age. Learn more.
Make a Difference With a Scholarship Gift
You have a million reasons why you want to give to charity. You want to memorialize your mother, support arts in the community or make a difference for tomorrow’s leaders. How do you fulfill your charitable intentions with just one gift?
Solution: Making a gift to a scholarship fund is a simple and enduring way to help students further their education while also memorializing a loved one or supporting an area close to your heart. We administer nearly 200 permanently-endowed scholarships, each with unique application criteria. By making a gift to any of the scholarships we administer, you can help ensure that award amounts increase to meet rising education costs. Review our Scholarship Directory to find an existing scholarship that meets your charitable goals. Learn more.
Make a Greater Impact With a Charitable Organization Endowment Gift
You want to make a gift that will help ensure future sustainability for your favorite charity.
Solution: Make a gift to an endowment fund. An outright gift to charity provides a one-time benefit, but a gift to a permanent endowment at the Oklahoma City Community Foundation provides lasting support and grows over time. Search our list of more than 360 local charities with endowment funds at the Oklahoma City Community Foundation and make an online gift. Learn more.
Make Your Gift go Further With a Match
You want to make the most of your charitable gift.
Solution: The Kirkpatrick Family Fund Endowment Match offers matching dollars for eligible gifts to participating organizations. Learn more.
Know More, Give More With GiveSmartOKC
You have a heart for charity and your family gives every year, but you really aren’t all that familiar with the ins and outs of that children’s theatre you support. What exactly do they do and how is your charitable gift supporting their mission?
Solution: By researching your favorite nonprofit on GiveSmartOKC.org, you can learn about the organization’s areas of impact in the community and see how they are allocating your charitable gift to fulfill their mission. Check out the 360+ nonprofits featured on GiveSmartOKC.org.