All assets you contribute are treated as a gift to a 501(c)(3) public charity. This allows you to contribute up to 60% of adjusted gross income (AGI) in cash. For stocks, property, and other noncash assets you’ve held for more than a year, the limit is 30% of your AGI.
Combining multiple asset types can help maximize your allowed deduction. Check your AGI with a tax professional to see what works best for you.

Donor-advised funds (DAF) like The OJC Fund manages your donations (cash, stocks, and other assets) on your behalf. Even after deposit, you retain the right to advise them over how, when, and to which charities to give. The benets to you are many:

• You get a full, instant tax deduction no matter in which years funds are distributed
• You avoid capital gains and estate taxes on contributions of appreciated assets
• Charity is issued with privacy and confidentiality; no disclosure of your tax returns
• The DAF handles all administrative/ bookkeeping duties related to your donations
• The DAF ensures your transactions are 100% tax-compliant and audit-proof

Selling appreciated stocks incurs capital gains taxes before you can write a check to charity. By contributing securities, real estate or other illiquid assets directly to a donor advised fund (DAF), you benefit in three ways:

1. You avoid capital gains tax.
2. You give more to charity.
3. You get a bigger tax deduction. As long as you held the asset for longer than a year, the deduction is equal to its fair market value (not its cost).

There are 4 main reasons:

1. Compliance for foundations is more costly and time-consuming than for a DAF.
2. DAF donors maintain an advisory role in directing grants to their favorite charities.
3. Tax deductions for contributions to private foundations have more limitations, including minimum contribution requirements and investment income excise tax.
4. DAF donors enjoy more privacy and discretion. Gifts can be anonymous, without the need to publish Form 990-PF.

One great idea is opening a donor-advised fund account (for example, The OJC Fund) or making a deposit in December. Among other benefits, this account gives you the flexibility to distribute charity over multiple years, but claim all tax deductions in a single year. Funds deposited into your account by 12/31 reduce your 2018 taxable income. You get the full deduction upon deposit, even if funds are only given to charity years down the line.

It’s true that the Tax Cuts and Jobs Act made it both harder and easier to deduct charity from taxable income. The good news is a Donor Advised Fund account (for example The OJC Fund) helps you in two ways:

1. The new standard deduction limits charity’s tax benefit for most taxpayers. But by ‘bundling’ charitable giving in one calendar year (by depositing into a DAF) it pays to itemize your tax return and reap its full tax benefits.

2. The deduction ceiling for single-year contributions to public charity was raised to 60% of adjusted gross income (AGI). In general, DAF’s are publicly supported.