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.
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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
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Roth&Co, understands that your business is your life’s work. Taking this responsibility to heart, we apply over 40 years of industry experience to provide you with personalized accounting and advisory services tailored for your marked success. With over ninety specialized employees ready to serve as your trusted guide through the complicated maze of the financial world, you can rest assured that your business is always in the best of hands.
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).
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Roth&Co, understands that your business is your life’s work. Taking this responsibility to heart, we apply over 40 years of industry experience to provide you with personalized accounting and advisory services tailored for your marked success. With over ninety specialized employees ready to serve as your trusted guide through the complicated maze of the financial world, you can rest assured that your business is always in the best of hands.
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.
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Roth&Co, understands that your business is your life’s work. Taking this responsibility to heart, we apply over 40 years of industry experience to provide you with personalized accounting and advisory services tailored for your marked success. With over ninety specialized employees ready to serve as your trusted guide through the complicated maze of the financial world, you can rest assured that your business is always in the best of hands.
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.
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Roth&Co, understands that your business is your life’s work. Taking this responsibility to heart, we apply over 40 years of industry experience to provide you with personalized accounting and advisory services tailored for your marked success. With over ninety specialized employees ready to serve as your trusted guide through the complicated maze of the financial world, you can rest assured that your business is always in the best of hands.
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.
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Roth&Co, understands that your business is your life’s work. Taking this responsibility to heart, we apply over 40 years of industry experience to provide you with personalized accounting and advisory services tailored for your marked success. With over ninety specialized employees ready to serve as your trusted guide through the complicated maze of the financial world, you can rest assured that your business is always in the best of hands.