The Benefits of giving Appreciated Investment to Hawaii Family Forum
Did you know that Hawaii Family Forum has a brokerage account at Raymond James in Honolulu?
Why is that important to you as a friend of Hawaii Family Forum (HFF)? By giving stock or a mutual fund, instead of cash, you can benefit both you and HFF. Why? Tax savings. If you hold a stock that has increased in value from the time of purchase, you can avoid paying the capital gains tax by donating the security to HFF. When the security is being donated to HFF or any 501c3 charitable organization, the total value will still be eligible for a tax deduction on the giver’s tax return. In fact, since taxation is avoided on the stock donation, the giver will be able to make a larger donation if they so desire. For example, suppose you were looking to make a $1,000 donation to HFF. You could either give cash or donate stock. Let’s assume that you bought stock for an original purchase price of $300, but it is now worth $1,000. To make it simple, let’s assume the capital gains tax is 15% of the stock’s appreciation. The gain of $700 would be avoided, saving the giver $105 (700 X .15). When HFF sells the stock, it does not pay capital gains tax; so the tax is avoided all together.
Like many 501c3 charities, HFF will accept stock as a donation and the Executive Director Eva Andrade can provide you with the details of the account at Raymond James.