Gift of Assets

You can use assets that you own to support Mercy Foundation today or sometime in the future. Giving other assets you own, rather than just cash, can provide you with additional tax-savings.

 

Gifts for Today

 

• Stocks, Bonds and Mutual Funds

o A gift of publicly traded securities could be right for you if you own publicly traded securities that you have owned for at least one year, especially if some of these securities provide you with little or no income.

 

o If you transfer shares of one or more publicly traded securities to Mercy you can deduct the full fair market value of your shares as of the date of your donation, regardless of the original purchase price. You also avoid capital gains tax on securities that you donate that have increased in value.

 

o Please consult with your broker for instructions.

 

 

• IRA Charitable Qualified Distribution

o If you are at least 70 ½ years of age and want to make a tax-smart gift today, you can use your IRA. For those who are 72 or older, a qualified charitable distribution counts toward satisfying the required minimum distribution from the IRA. You can give up to $100,000 in QCDs each year (a married couple could make a gift totaling $200,000 if they both make gifts of $100,000 from their IRAs).

 

o Contact your IRA administrator to direct an IRA qualified charitable distribution to Mercy Foundation.

 

• Donor Advised Funds

 

o There are two ways you can use your donor-advised fund. You can recommend a grant to support Mercy Foundation. Contact your fund administrator to request a distribution form or download the form from your administrator’s website.

 

o To continue your support after your lifetime, name Mercy Foundation as a successor of your account. Alternatively, you can designate Mercy to receive a portion of the account value. The remaining balance can be managed by your loved ones to continue your legacy of giving.

 

 

Gifts for Tomorrow

 

• Retirement Plan Assets

 

o Giving through your retirement account is one of the most tax-wise ways to give. Your retirement assets, an IRA or other retirement accounts such as a SEP IRA, 401(k), 403(b), if left to your family (other than a spouse), will be subject to income tax in addition to any applicable estate tax. If you wish to make a future gift, it is often better to leave other types of assets, such as cash, securities, real estate, to your heirs and give the more heavily taxed retirement asset to Mercy Foundation. These gifts avoid the probate process.

 

o Contact your retirement plan administrator for a change-of-beneficiary form. The beneficiary designation form can usually be mailed or completed online on the administrators' website.

 

• Life Insurance Policies

 

o If you’re still carrying a life insurance policy you or your family no longer needs, please consider donating it. You can transfer ownership of your paid-up insurance policy by naming Mercy Foundation as the owner and beneficiary. You’ll receive an immediate charitable income tax deduction based on the current value of the policy.

 

• Bank and Brokerage Accounts

 

o In addition to the assets mentioned here you can use other accounts you own to benefit the Mercy without changing your current finances. Contact your financial institution for a change-of-beneficiary form. The beneficiary designation form can usually be mailed or completed online on the institution’s website. Like retirement accounts, these also avoid the probate process and is an easy gift to make.

 

• Real Estate

 

o You may deed your home, vacation house or other property to Mercy Foundation and still be able to live in or enjoy the property for the rest of your life. You’ll receive an immediate income tax deduction for the charitable portion of the gift and avoid capital gains tax. An irrevocable gift of your home will be removed from any estate tax. This allows you to make a greater gift than you might have thought possible and receive immediate tax benefits without changing your living situation.

 

 

 

Call 541.677.4818 • email info@mercygiving.org

 

Learn more and download our estate planning guide